Riot Sells 20,264 Bitcoin for $1.5 Billion to Fund Data Centers
Key Facts
Riot Platforms said in a filing with the U.S. Securities and Exchange Commission that it sold 20,264 bitcoin during the nine months ended September 30, 2026, generating proceeds of about $1.5 billion. The company said the proceeds were used primarily to fund data center development, as well as to repay and fully terminate a $200 million credit facility. The move links its bitcoin mining business with plans to expand its digital infrastructure operations. On November 4, Riot announced a new long-term contract for its Corsicana campus, as it shifts toward contracted lease revenue. Its shares closed at $16.71 on November 6, according to EL7 data.
Riot's bitcoin balance fell to 2,418 coins as of September 30, 2026. The company said it expects to continue selling most of what it mines to fund development, expenses and working capital, and does not expect to build significant holdings in the near term. That means the coin sales are not a one-off transaction tied to Corsicana financing, but part of the company's stated approach to managing liquidity as it expands. Riot said the decline and volatility in bitcoin's price reduced the value of its production and holdings during 2026. It added that this led it to sell more than expected to cover operations and working capital, while data center development aims to reduce its exposure to currency volatility and build more stable lease revenue.
In the third quarter of 2026, Riot's bitcoin mining revenue fell to $116.0 million from $160.8 million in the corresponding period of 2025. The company said a lower average bitcoin price was the main reason for the decline, despite a 16% year-over-year increase in production. The divergence highlights the effect of price on revenue even as production volumes rise, while the company directs part of its bitcoin sale proceeds to its data center business. The new contracts are intended to provide long-term lease revenue, but the company will meanwhile continue selling most of its mined production, as stated in its outlook. These factors place mining proceeds and available liquidity in the context of financing a project whose execution will extend into later stages.
The Corsicana contract includes a land and power lease for an initial term of 15 years and covers 910 megawatts of IT capacity, with a contract value of about $28 billion over that term. Riot said the contract with a leading artificial intelligence lab became effective and binding on November 4, 2026, after board approval and completion of technical approvals. The contract represents the largest part of the data center contract portfolio the company has announced, but is not equal to its total value. According to the filing, contracted capacity across the data center portfolio stands at 1,151 megawatts, while contracted revenue totals about $38 billion. The portfolio includes the Corsicana contract, as well as the AMD contract and the Rockdale contract with the same AI lab.
Corsicana capacity is scheduled for delivery in three phases: 400 megawatts in September 2027, 200 megawatts in January 2028, and 310 megawatts in July 2028. The company targets full commencement of the first phase on September 11, 2027, the second on January 28, 2028, and the third on July 30, 2028. The lease for each phase begins within 60 days of delivery of its powered shells. Riot is responsible for building, delivering and maintaining the power and site infrastructure, making execution and timing key to converting the announced contract value into revenue. The filing provides the tenant with the right to terminate the relevant phase if it is not delivered within 270 days after its target date, subject to notice periods, cure rights and specified contractual exceptions.