Riot Platforms (RIOT) and Hut 8 Mining Corp. (HUT) disclosed third‑quarter results that show each company liquidating a substantial portion of its Bitcoin treasury to fund strategic initiatives. Riot sold 10,599 BTC in the quarter – part of a total of 20,264 BTC sold in 2026 – to finance the construction of AI‑focused data centers, while Hut 8 sold 3,102 BTC since July to finance a $250 million share‑repurchase program and acquire additional mining capacity.

BTC / USD
Source: CoinGecko. Prices are indicative.

Riot Platforms redirects Bitcoin proceeds to AI data‑center build‑out

According to Bitcoin Magazine, Riot’s Bitcoin holdings fell from 11,380 BTC in June to 2,418 BTC at the end of September, a 79% reduction. The company mined 1,637 BTC during the quarter but sold 10,599 BTC, generating roughly $1.5 billion in cash. Those funds are earmarked for a 15‑year triple‑net lease with an unnamed “Frontier AI Lab” covering 910 MW of IT capacity at Riot’s Corsicana, Texas campus, a contract valued at about $28 billion over its term. Combined with a prior lease at Rockdale, Riot now has 1,151 MW under lease for an estimated $38 billion in long‑term revenue. The capital cost for the Corsicana project is projected at $5.5 billion, with phased deliveries from September 2027 through July 2028. Riot’s Q3 revenue stayed flat at $181.4 million, bolstered by $18.4 million from data‑center services and $47 million from engineering, offsetting a 28% decline in mining revenue.

Hut 8 uses Bitcoin sales for share buybacks and expansion

Hut 8 reported holding roughly 16,787 BTC across its parent and majority‑owned American Bitcoin subsidiary as of September 30, valued at $1.4 billion. The company sold about 954 BTC for $74.8 million in Q3 and an additional 2,148 BTC for $175.4 million in October, directing the proceeds to retire 3.3 million shares in a $250 million buyback. The board subsequently raised the repurchase authorization to $1 billion. Hut 8 also closed a $1.07 billion senior secured revolving credit facility, undrawn at quarter‑end, and agreed to acquire two West Texas sites (up to 230 MW) from a Chapter 11 sale for up to $180 million. The firm’s net income of $189.5 million was driven largely by $413.8 million in digital‑asset gains, most unrealized, while revenue fell to $71.1 million after divesting its traditional cloud business.

What to watch next

Investors will monitor the rollout of Riot’s AI data‑center phases and the impact on its cash flow once lease payments begin. Hut 8’s share‑repurchase program and its acquisition of additional mining sites could affect diluted earnings and capacity expansion. Both companies’ ability to sustain profitability while mining revenues remain pressured by lower Bitcoin prices will be a key metric in upcoming quarterly reports.