CleanSpark Inc. shares ticked higher Monday, extending last week’s bullish momentum after the company announced an expanded Bitcoin-backed credit facility with Coinbase Prime. The Las Vegas–based mining firm closed regular trading at $13.74 but jumped more than 8% in after-hours, reaching $14.86 following news of the deal. The stock is currently up 6% after hours, trading near $14.60.
CleanSpark tapped an extra $100 million in credit, backed by its Bitcoin reserves. Instead of selling coins on the market, the company is leaning on its Bitcoin holdings as collateral. This is basically a strategy that turns mined Bitcoin into a working asset. For shareholders, it means growth can be funded without issuing new stock, offering a non-dilutive way to keep scaling.
CleanSpark is Using Its Bitcoin as Company Collateral
CleanSpark has been tapping into its Bitcoin holdings more often to raise capital. This is a strategy that’s becoming more and more common among publicly traded miners. Basically, by putting its Bitcoin up as collateral, companies holding Bitcoin keep exposure to the asset’s potential upside while unlocking cash it can actually put to work.
“This expansion with Coinbase Prime allows us to fund growth without sacrificing shareholder equity or liquidating Bitcoin,” said CEO and Chairman Matt Schultz. “We see tremendous opportunity to accelerate mining growth while also preparing select data centers for high-performance compute applications.” CleanSpark said proceeds will go towards efforts like expanding its energy portfolio, scaling Bitcoin mining operations, and building out high-performance computing capabilities. That includes converting some facilities near metro centers into diversified compute campuses, where demand for AI and cloud services is growing rapidly. That approach is gaining traction as competition heats up among U.S.-based miners. CleanSpark, in particular, has leaned on energy expansion and efficiency to stay ahead of the pack.
The company has also signaled a willingness to branch into other forms of compute beyond mining, a sign of flexibility as the industry evolves. Brett Tejpaul, who heads Coinbase Institutional, described CleanSpark’s latest capital strategy as “a significant step forward for growing the crypto ecosystem through focused capital deployment.” He highlighted Coinbase Prime’s role in providing the custody and credit infrastructure behind the deal.
Market Reaction and Industry Implications
CleanSpark’s stock is up 33% over the last five trading days, according to market data. This $100 million Bitcoin-backed credit line not only provides CleanSpark with expansion ammunition but also reflects a structural shift in miner financing. In a post-halving environment where miner revenues are under pressure, collateralized borrowing offers a more flexible alternative to outright coin sales, avoiding downward pressure on Bitcoin prices. The funds are earmarked for expanding the energy portfolio, scaling Bitcoin mining operations, and building high-performance computing (HPC) capabilities, including converting select metro-area sites into diversified compute campuses to capture AI and cloud demand.