What to know:
- Bitcoin miner Hut 8 secured a $200M FalconX facility, cutting its fixed rate to 7%.
- The refinancing freed 3,300 BTC from collateral, worth about $260M at the announcement.
- Hut 8 shares rose pre-market as the company expanded further into AI data centers.
Hut 8, a Nasdaq-listed Bitcoin miner, secured a $200 million Bitcoin-backed credit facility from FalconX on Monday. The deal replaces its earlier Coinbase Credit facility and lowers its fixed interest rate from 9% to 7% as part of a refinancing.
As per the announcement, the company said the refinancing supports its plan to reduce debt costs. It also fits Hut 8’s effort to lower its cost of capital while keeping Bitcoin reserves available for strategic use.
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Bitcoin Miner Hut 8 Expands Financial Flexibility
According to Hut 8, the FalconX plant released about 3,300 BTC of the collateral package belonging to the former Coinbase facility. That Bitcoin is worth about $260 million at the time of the announcement.
The relocation demonstrates that a Bitcoin miner can utilize BTC holdings to maintain liquidity without liquidating reserves. It arrives as Hut 8 makes a move into AI data center infrastructure and prepares to announce first-quarter earnings on Wednesday.
According to Chief Executive Asher Genoot, the Hut 8 capital strategy aims at lower capital costs, risk reduction, and enhanced flexibility. He said the new facility reduces debt costs on Bitcoin-backed credit and increases the amount of Bitcoin available to the company.
The refinancing comes after Hut 8 had a challenging fourth quarter. On Feb. 25, the company reported a net loss of $279.7 million, compared with income of $152.2 million a year earlier.
The results included a $401.9 million loss on digital assets in the quarter. A year ago Hut 8 registered a $308.2 million growth in digital holdings.
Hut 8 is listed as one of the largest mining companies in terms of market values. CompaniesMarketCap data ranked the Bitcoin miner as the third largest in market capitalization at about $8.59 billion.
The company is ranked lower in terms of operation of hash rate. Hut 8 ranked as the 17th-largest Bitcoin miner by hash rate, as per BitcoinMiningStock data.
The FalconX credit deal is positively welcome by investors. Hut 8 shares increased by over 1.1% during pre-market trading Monday, according to Yahoo Finance data.
The share has appreciated over 67% over the year. The rise followed stronger market attention after the Bitcoin miner moved further into AI data center infrastructure.
On Dec. 17, 2025, Hut 8 signed a 15-year lease of 245 megawatts of AI data center capacity at its River Bend campus. The deal was valued at $7 billion and included payments financially backstopped by Google.
Other Bitcoin mining firms are also shifting towards AI infrastructure. These companies are CleanSpark, Core Scientific, HIVE Digital, and MARA Holdings.
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