Riot Platforms Secures $100 Million Bitcoin-Backed Credit Line from Coinbase

Riot Platforms Secures $100 Million Credit Line from Coinbase

Riot Platforms, a Bitcoin mining company, has obtained a $100 million credit line from Coinbase.
The facility uses 19,223 BTC as collateral, valued at over $1.8 billion.
The loan will be accessed over two months to support corporate expansion, avoiding dilution of shareholder ownership.
CEO Jason Les highlighted the advantages of non-dilutive funding and diversification of financing sources.
The credit facility has a 364-day term with a possible extension, featuring an interest rate based on the federal funds rate or 3.25%, plus an additional 4.50%.
Riot operates Bitcoin mining facilities in Texas and Kentucky, focused on enhancing the Bitcoin ecosystem through infrastructure investments.
Coinbase previously entered a similar agreement with Hut 8, which also established American Bitcoin Corp. for large-scale mining initiatives.