Empery Digital is redirecting its corporate strategy by investing $65 million to acquire a 25% stake in a new AI data center project located in the Midwest. This move marks a significant departure from its previous focus as a Bitcoin treasury firm, following extensive shareholder pressure and large-scale sales of its Bitcoin holdings to manage mounting losses.
The planned data center will leverage an industrial property with an existing power capacity of around 150 megawatts, with potential expansion to 300 megawatts based on recent load studies. The project is managed jointly with Hunt Properties, a Dallas-based real estate firm experienced in large-scale developments, owning the remaining 75% through its subsidiary TexStack Infrastructure. Empery’s initial contribution was approximately $2.9 million, with the balance due at closing, expected in the third quarter of 2026.
Empery Digital’s pivot reflects the harsh impact of Bitcoin’s price decline on its treasury holdings. The company had accumulated over 4,000 BTC at an average cost exceeding $117,000 per coin, but faced unrealized losses surpassing 40% when Bitcoin prices fell below $70,000. Under mounting pressure from shareholders, including a major investor who demanded the CEO’s resignation and advocated liquidating Bitcoin assets, Empery sold hundreds of BTC to repay a sizable margin loan and fund share buybacks. Currently, Empery retains roughly 2,900 BTC according to tracking websites.
Besides the investment details, Empery announced it will discontinue its Bitcoin treasury dashboard, signaling a shift toward broadening its valuation beyond cryptocurrency holdings alone. The company indicated the reported net asset value based exclusively on crypto no longer fully represents its financial position.
The acquisition price for the AI data center property totals about $230 million, with due diligence scheduled to conclude in late July. Hunt Properties has negotiated a non-binding triple net lease with a leading global AI hardware compute provider, though the tenant’s identity remains undisclosed. Lease payments under this agreement could potentially reach $1 billion over the contract’s lifetime, highlighting the scale and ambition of this infrastructure venture.
This strategic repositioning reflects broader market trends where firms with exposure to volatile crypto assets seek stability and growth in AI-related infrastructure amid surging demand for computing power.