Riot Platforms Sells $200M in Bitcoin to Fund AI Data Center Pivot

According to its December production and operations report, Colorado-based Riot Platforms sold 2,201 Bitcoin across November and December. The sales netted the firm approximately $200 million, a stark contrast to its activity in 2023 when it sold no Bitcoin and instead added over half a billion dollars worth to its treasury. This capital is now seen as the fuel for its strategic redirection. VanEck Head of Digital Assets Matthew Sigel directly linked the sale proceeds to the company’s AI ambitions, stating on social media platform X that the $200 million “is roughly the entire capex Riot has guided for the first 112 MW core/shell build at Corsicana, targeting completion in Q1 2027.” Sigel concluded, “one winter of BTC sales ≈ funding Phase 1 of the AI data-center pivot.”

Despite these significant sales, Riot Platforms remains a major holder of Bitcoin. The firm finished 2024 with 18,005 BTC in its treasury, valued at around $1.65 billion at current prices, securing its position among the ten largest publicly traded holders of the cryptocurrency. However, this balance is more than 1,300 BTC below its October 2024 holdings of 19,324 BTC and only 293 BTC above its year-end 2023 balance, illustrating the scale of the recent divestment.

Riot’s pivot is not an abrupt change but the execution of a declared long-term strategy. The firm’s third-quarter earnings presentation outlined a “power-first strategy,” where Bitcoin mining is viewed as a “tool to monetize Riot’s large-scale power portfolio in advance of data center development.” The company’s approach to BTC mining has “evolved,” with the ultimate goal of fully converting its megawatts of power capacity to data center use. While the company did not immediately comment on the recent sales, CEO Jason Les had previously stated that proceeds from BTC sales would be used to “fund ongoing growth and operations.” Those operations are now increasingly focused on artificial intelligence.

This strategic evolution reflects a fundamental business model shift. Instead of being solely a Bitcoin producer, Riot is positioning itself as a large-scale power infrastructure and data center operator, using Bitcoin mining as an interim, revenue-generating application for its energy assets. The Corsicana facility in Texas represents the first major phase of this conversion from a mining site to an AI data center hub.

Riot Platforms is not alone in this transition. A clear trend is emerging across the publicly traded Bitcoin mining sector, with several major firms announcing plans to expand into AI and high-performance computing. CleanSpark and Marathon Digital (MARA) have both signaled strategic shifts toward these new technologies. In a more definitive move, Bitfarms has stated it will completely wind down its Bitcoin mining operations to focus exclusively on AI.

The scale of this new opportunity is underscored by deals inked by other miners. Both Cipher Mining and Hut 8 have secured billion-dollar AI deals that are backstopped by tech giant Google, demonstrating significant institutional validation and demand for the computing power these firms can provide. The industry-wide pivot suggests that miners see a more stable and potentially lucrative long-term future in powering the AI revolution than in the cyclical crypto mining business alone.

The market has responded positively to Riot’s strategic direction. Shares of RIOT finished the trading day up 1.3% following the news and have surged more than 23% over the past six months, currently trading at $14.98. This investor optimism aligns with the bullish sentiment in the broader cryptocurrency market. Bitcoin itself has risen nearly 6% over the last week, recently trading at approximately $92,773. The concurrent rise in both RIOT’s stock and the Bitcoin price indicates that investors may view the AI pivot not as an abandonment of crypto, but as a savvy diversification that leverages the firm’s core competencies in energy and computing for a high-growth adjacent market.