Bitcoin mining and AI infrastructure company Hyperscale Data announced on Thursday that it has sold approximately 100 Bitcoin (BTC) and secured a Bitcoin-backed credit facility to help finance the construction of its AI data center campus in Michigan.

According to the company's announcement, proceeds from the Bitcoin sale are being directed toward ongoing construction as well as the purchase of critical infrastructure and long-lead equipment for the Michigan facility. The Bitcoin-backed credit facility is expected to provide financing at variable interest rates ranging from approximately 4.5% to 5.0%.

The Michigan campus is being developed to support a previously announced master services agreement with an unnamed AI infrastructure provider. The agreement initially covers roughly 20 megawatts of AI compute capacity and spans a 10-year term, with two optional five-year extensions. If fully exercised, the contract is expected to generate more than $1.2 billion in revenue.

The AI provider also holds an option to expand capacity by an additional 32 megawatts within the first two years of the agreement. If this expansion is exercised and maintained through the extension periods, the total contract value would exceed $3 billion, according to the company.

The move reflects a broader trend among Bitcoin mining companies repurposing their energy infrastructure and data center expertise to capture demand from AI and high-performance computing workloads. Firms such as Core Scientific, Hut 8, and Iris Energy have similarly pursued AI hosting contracts as generative AI adoption drives sustained demand for dedicated compute capacity. Hyperscale Data's ability to offer both power-ready sites and long-term contracts has positioned it within this competitive landscape.

Formerly known as Ault Alliance, the company rebranded as Hyperscale Data in 2024 as part of a strategic shift toward AI infrastructure while continuing to operate its Bitcoin mining business. The company's shares trade on the NYSE American exchange under the ticker symbol GPUS. According to Yahoo Finance data, the stock was up more than 5% in late-morning trading on Thursday.

Data from BitcoinTreasuries.NET shows that Hyperscale Data still holds approximately 1,006 BTC following the sale, making it the 44th-largest public corporate Bitcoin holder. The company's decision to combine a partial Bitcoin sale with a BTC-backed credit facility illustrates a hybrid approach to capital raising, tapping treasury assets while preserving the majority of its cryptocurrency holdings.

Bitcoin-backed lending has become an increasingly common treasury management strategy among public companies holding significant BTC reserves. Such facilities allow firms to access liquidity without fully divesting their cryptocurrency holdings, using Bitcoin as collateral rather than selling it outright on the open market.