Bit Digital and WhiteFiber Lock in $100M Credit Facility
Bit Digital (BTBT) originated a $100 million delayed draw credit facility for WhiteFiber on May 27, backing the AI infrastructure company’s near-term growth plans. B.
Riley Securities purchased a portion of the term loans from Bit Digital Capital, Inc. under the arrangement. The deal marks one of the larger institutional financing moves by a publicly listed cryptocurrency company into AI infrastructure this quarter.
The Deal Structure
Bit Digital Capital, the lending arm of the Nasdaq-listed firm, originated the facility through a PR Newswire announcement published May 27.
WhiteFiber separately confirmed the arrangement in a companion release the same day. A delayed draw facility allows a borrower to pull down funds in tranches over time rather than receiving the full amount at closing.
WhiteFiber said the capital is intended to support near-term expansion, though neither company specified target deployments in their announcements.
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What Bit Digital Does
Bit Digital describes itself as a Strategic Asset Company with three operating pillars: Ethereum (ETH) treasury strategies, AI and high-performance computing infrastructure, and broader digital asset management. The company holds ETH as a primary treasury reserve asset, distinguishing it from Bitcoin (BTC)-focused peers.
Its expansion into originating credit facilities for infrastructure operators represents a newer capital-deployment strategy, one that generates yield on assets while building exposure to the AI buildout cycle.
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Background
Bit Digital has shifted its business model substantially over the past two years. The company began as a bitcoin miner before pivoting toward Ethereum staking and, more recently, AI and HPC infrastructure as data center demand accelerated.
That pivot mirrors a broader pattern among listed crypto miners seeking more stable revenue streams. The $100M WhiteFiber facility is the company’s most visible financing transaction to date in the AI infrastructure vertical.
B. Riley Securities’ participation signals third-party institutional appetite for the paper, rather than Bit Digital carrying full credit exposure alone.
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What to Watch
WhiteFiber has not disclosed specific capital deployment timelines or the assets being financed under the facility.
The delayed draw structure means actual cash outflows from Bit Digital Capital will depend on WhiteFiber’s draw requests over the facility’s term. Investors will watch whether additional co-lenders join B.
Riley in syndicating the paper, and whether WhiteFiber discloses operational metrics tied to the capital raise. Bit Digital’s ability to generate yield from structured lending, alongside its ETH staking revenues, will be a key margin driver in upcoming quarters.
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