Bitcoin miner CleanSpark (CLSK) has obtained a substantial $100 million credit line from Coinbase Prime, backed by its Bitcoin holdings. This strategic move provides the company with immediate capital without the need to liquidate its BTC assets or issue new shares, preventing shareholder dilution.
Following the announcement, CLSK shares surged approximately 6% in after-hours trading, reflecting positive market sentiment.
According to the official press release, the newly acquired funds are earmarked for key strategic investments. These include the expansion of CleanSpark's energy infrastructure, scaling up its Bitcoin mining operations, and significant investments in high-performance computing (HPC) capabilities.
This financing approach allows CleanSpark to use its Bitcoin as collateral to fuel growth while retaining the cryptocurrency it mines. CFO Gary A. Vecchiarelli emphasized that "delivering accretive growth using non-dilutive financing is at the core of CleanSpark's capital strategy," aligning with the company's proven 'Infrastructure First' approach to enhance shareholder value through diversification.
The funding follows recent leadership shifts signaling a broader strategic pivot beyond pure Bitcoin mining. The focus on HPC aligns with an industry-wide trend where Bitcoin miners are leveraging their energy-intensive data centers to support high-demand computing sectors like artificial intelligence (AI).