Bit Digital Provides $100 Million Loan to WhiteFiber, Secured by Ethereum Credit Line

Foresight News reports that Bit Digital will provide a $100 million delayed draw term loan to its subsidiary WhiteFiber, a New York-based provider of AI infrastructure and high-performance computing. Bit Digital stated that it expects the prepayments under this financing arrangement to be fully or partially funded through an Ethereum-denominated secured credit line. This arrangement allows the company to retain ETH exposure while earning the financing spread on the loan assets. The financing can be expanded to $150 million upon mutual agreement between the parties and is intended to support WhiteFiber's recent high-performance computing and AI expansion plans. This transaction comes as Bit Digital has fully exited the Bitcoin mining business. In January of this year, the company announced its plan to completely cease mining operations.