Why Galaxy Digital Is Doubling Down on Crypto and AI Infrastructure
Mike Novogratz, CEO of Galaxy Digital, is spearheading one of the boldest transformations in tech finance. His company—once best known for bitcoin trading—is evolving into a dual-purpose infrastructure giant, powering both:
- Institutional-grade crypto platforms
- AI and high-performance compute data centers
As of May 2025, Galaxy isn’t just a crypto firm—it’s positioning itself as the core infrastructure provider for Web3 and AI.
🔁 From Bitcoin Mining to Hyperscale AI Compute
Following Galaxy’s Nasdaq debut this year, Novogratz posted:
“We’re advancing crypto and AI infrastructure together. That’s why we’re transforming Helios… into one of the largest AI data center developments in North America.”
— @novogratz
The Helios campus, located in Dickens County, Texas, originally built for bitcoin mining, is now being reimagined as a hyperscale AI hosting facility—supporting workloads like generative AI, LLM training, and cloud inference.
🛠️ What Galaxy Digital Is Building
Here’s how the company’s infrastructure strategy is shaping up:
| Aspect | Crypto Infrastructure | AI Infrastructure (Helios Campus) |
|---|---|---|
| Core Function | Digital asset trading, custody, staking | High-performance AI & HPC compute |
| Compute Focus | BTC mining optimized | 130–140 kW rack density for GPU clusters |
| Power Capacity | ~180 MW active (legacy mining) | 800 MW provisioned, scalable to 2.5 GW |
| Revenue Stream | Spreads, fees, mining margin | 15-year AI hosting leases (e.g. CoreWeave) |
| Key Clients | Institutional investors, hedge funds | Hyperscalers, AI/cloud infrastructure firms |
💸 Financial Deep Dive: Crypto Still Wins, but AI Is the Future
In Q4 2024, Galaxy reported:
- $68M in trading/advisory revenue
- $22M in mining income with 46% margins
- $8.6M in asset management fees
- ~12,830 BTC held, worth over $1.5B at current prices 1
And yet, the real story is Helios.
⚡ Helios: Galaxy’s Secret Weapon for AI Infrastructure
The Helios campus is being upgraded to meet hyperscale-grade demands:
- 133 MW leased to CoreWeave under a 15-year agreement
- 260 MW more under option for expansion
- Total of 393 MW capacity committed
- Deliveries to begin early 2026, with scale through 2027 2
Estimated revenue potential:
$700M–$900M per year in hosting fees—based on analyst models for MW pricing and long-term escalators 3.
📈 Galaxy’s Capital Strategy
Following its public listing:
- Galaxy raised capital at $23.50/share, closing at $24.89 4
- Novogratz forecasts $550M+ free cash flow within two years
- Plans to use IPO proceeds and free cash flow to leverage $4B in debt for expansion
This hybrid business model helps Galaxy hedge crypto market volatility by anchoring revenue in the AI/hyperscale sector.
✅ Why It Matters: Infrastructure > Hype
While much of the world debates short-term AI trends or crypto headlines, Galaxy is quietly building the foundation these technologies run on:
- Crypto rails for trading, custody, and staking
- High-density compute campuses for AI models and cloud workloads
That’s why Mike Novogratz is bullish. And that’s why Galaxy is emerging as a unique hybrid in the modern digital economy.
✉️ Want to learn more?
Follow @GalaxyHQ and @novogratz for updates. Or sign up for Galaxy’s newsletter at galaxy.com.
📚 Sources
- Bitcoin Treasuries – Galaxy Digital ↩
- Galaxy-CoreWeave Lease Press Release ↩
- AI Invest – Galaxy’s AI Revenue Forecast ↩
- Reuters – Nasdaq Debut Coverage ↩
– Man Who Knows Nothing
