CleanSpark Secures $100M Bitcoin Credit Facility with Two Prime

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CleanSpark, a Bitcoin mining company based in the United States, announced on Thursday that it has secured a new $100 million Bitcoin-backed credit facility with digital asset firm Two Prime.

According to the press release, the financing will support the company’s growth in mining activities, digital asset management, and high-performance computing strategies. The company said that this agreement brings its total collateralized lending facilities to $400 million.

This comes as the company expanded its Bitcoin-backed credit facility with Coinbase Prime by another $100 million earlier this week. The additional capital will give the miner more resources to grow without diluting shareholder value.

Chief Executive Officer Matt Schultz said the financing will help CleanSpark move faster across all business lines. “We have a range of exciting opportunities to maximize current megawatts in our portfolio, accelerate potential development of high-performance compute campuses, and further invest in our digital asset management strategies,” he said.

Meanwhile, Two Prime Chief Executive Officer Alexander Blume said the firm is committed to supporting companies like CleanSpark as the industry grows. “We take pride in being a trusted partner to leading institutional bitcoin firms, delivering fair pricing and reliable capital as the industry matures,” Blume said.

Chief Financial Officer Gary A. Vecchiarelli added that the miner is using its Bitcoin treasury to finance expansion responsibly. “I am proud that we have so effectively utilized our treasury balance of nearly 13,000 bitcoin to finance growth through responsibly sized leverage with excellent partners like Two Prime, at a market-leading cost of capital,” he said.

Notably, CleanSpark operates several data centers in the U.S., located in regions with affordable energy prices. The company reported reaching 50 exahashes per second of operational hashrate in June, while its Bitcoin treasury was valued at more than $1 billion at the end of the month.

CleanSpark trades on Nasdaq under the ticker CLSK. Its shares fell 0.28% to $14.41 on Thursday morning, according to Yahoo Finance.