Riot Platforms Doubles Bitcoin-Backed Credit Facility with Coinbase to $200 Million to Bolster Mining Expansion
Riot Platforms, a leading US-based Bitcoin mining company listed on NASDAQ (RIOT), has expanded its secured credit facility with Coinbase Credit from $100 million to $200 million, using a significant portion of its Bitcoin holdings as collateral. This strategic partnership with Coinbase, a prominent crypto exchange, enhances Riot’s liquidity and financial flexibility to support Bitcoin mining operations amid volatile crypto markets. The additional capital will be deployed for acquiring new mining equipment and boosting power capacity, especially through renewable energy. CEO Jason Les noted that the move diversifies Riot’s financing options and reduces capital costs, aiming for long-term shareholder value. Riot recently reported holding 19,223 BTC, having mined 1,530 BTC in Q1 2025, and acquiring Rhodium’s mining assets, adding 125 MW of power. With a current hashrate of 33.7 EH/s, Riot’s operational expansion is contributing to Bitcoin network security and is fostering greater institutional investor confidence. This development aligns with rising capital inflows into US spot Bitcoin ETFs and heightened institutional adoption of digital assets.
Bullish
The expansion of Riot Platforms’ Bitcoin-backed credit facility with Coinbase to $200 million signals improved financial flexibility and increased operational capacity for one of the largest US Bitcoin miners. By leveraging its significant BTC holdings, Riot can make strategic investments in mining equipment and renewable energy infrastructure, supporting network growth and long-term resilience. The move is likely to boost trader sentiment due to the demonstration of institutional confidence and operational scaling. Additionally, the increase in available capital and alignment with broader trends such as rising institutional adoption and Bitcoin ETF inflows enhances the outlook for Bitcoin’s stability and growth. Historically, such investments from major mining firms tend to have a positive impact on Bitcoin price sentiment in the short and long term.