Bit Digital Extends $100 Million Loan to WhiteFiber Using Ethereum-Backed Credit Strategy

Bit Digital has announced a $100 million delayed draw term loan facility for a subsidiary of WhiteFiber, the artificial intelligence and high-performance computing company in which it holds a majority stake. The funding is aimed at supporting WhiteFiber’s -term expansion in AI and computing infrastructure.

Company said the loan facility could increase to $150 million if both sides agree to expand the arrangement in the future.

Ethereum Credit Facility Supports Loan Funding

A key part of the strategy involves an Ethereum backed secured credit facility. Bit Digital said loan advances may be funded partly or fully through Ethereum-based borrowing, allowing the company to maintain exposure to ETH while generating additional returns through financing spreads.

Chief Executive Officer Sam Tabar described the move as a disciplined capital strategy that strengthens the company’s investment in AI infrastructure while targeting better returns than traditional Ethereum staking rewards.

Bit Digital Shifts Away From Bitcoin Mining

The development comes after Bit Digital fully exited the Bitcoin mining business. Earlier this year, the company said mining had become a less efficient use of capital and shifted focus toward Ethereum holdings and AI infrastructure.

For the first quarter of 2026, Bit Digital reported $27.9 million in revenue and a net loss of $146.7 million. Company shares closed at $2.03 on Wednesday, gaining just over 2% during trading.