Galaxy Digital’s Future Lies in AI Data Centers, Analysts Report

Galaxy Digital's acquisition of Argos' Helios data center in late 2022 has transformed into a strategic asset amid the rising demand for AI infrastructure.

Galaxy shifted focus from BTC mining to AI data centers, which analysts argue offer more lucrative business models.
AI data centers generate stable cash flows with lower capital expenditures compared to BTC mining.
BTC mining revenues decline by approximately 50% every four years due to halving events.
Galaxy’s Helios facility earns high-margin revenue through long-term leases to large cloud providers.
Galaxy holds $1.8 billion in net cash and investments, providing a strong financial position.
Concerns over CoreWeave's creditworthiness are considered exaggerated; 96% of its revenue comes from stable long-term contracts.
Galaxy has completely exited BTC mining to focus solely on AI ambitions, enhancing its appeal to potential clients.

This pivot could represent a significant strategic advantage for Galaxy Digital in the evolving landscape of crypto and AI.