SWI Group has raised €800 million from institutional investors at a valuation of €6.1 billion, marking a new phase in its strategy to expand into AI infrastructure. The Singapore-incorporated company, listed in Amsterdam, is repositioning Genesis Digital Assets, a Bitcoin mining business previously backed by FTX, to attract hyperscale cloud computing providers.
The company plans to market Genesis Digital’s facilities in Texas, North Carolina, South Carolina, and Sweden to major cloud operators. SWI says the Bitcoin miner has more than 1.3 gigawatts of energized and approved grid connections across 15 sites. Combined with AiOnX, its European platform, the group’s total capacity exceeds 3.6 GW.
The fundraising follows SWI’s June 15 acquisition of roughly 38.3% of Genesis Digital for $500 million. The transaction also included 77.2% of the $1.124 billion liquidation preference tied to Genesis Digital’s preferred stock. SWI has since secured majority ownership of the company.
SWI’s strategy rests on the idea that access to electricity and established grid connections may carry greater long-term value than operating a Bitcoin mining facility. As demand for AI computing grows, mining companies are increasingly exploring ways to repurpose their power-intensive sites for data centers and high-performance computing.
Genesis Digital’s AI Pivot Faces Execution Risks and FTX-Related Scrutiny
Data Center Dynamics has reported that the Genesis Digital transaction reflects a shift toward infrastructure serving hyperscale cloud providers, with the facilities being considered for AI and high-performance computing workloads. The move follows similar strategies pursued by CoreWeave, Iren, and Applied Digital as they expand into AI infrastructure and neocloud services.
The transition brings crypto-related infrastructure into the broader AI expansion, a sector that requires substantial capital investment. The growing overlap between AI financing and cryptocurrency markets has also prompted concerns about credit risk in the AI industry and its potential implications for Bitcoin.
Genesis Digital’s history includes major investments from Alameda Research, the trading firm connected to FTX. Starting in 2021, Alameda invested approximately $1.15 billion in the Bitcoin mining company and obtained a 20% ownership stake. The investment later became part of the wider financial fallout surrounding FTX and Sam Bankman-Fried’s business empire.
Following FTX’s collapse, administrators overseeing its estate sued Genesis Digital to recover the investment. According to the Wall Street Journal, the estate described the deal as one of Bankman-Fried’s most reckless investments and characterized Genesis Digital’s Kazakh assets as virtually worthless.
FTX dropped the lawsuit on June 15, the same day SWI completed its initial share acquisition. SWI founder and CEO Max-Hervé George said all legal disputes involving FTX and other shareholders had been settled.
SWI’s next steps include promoting the four identified locations to hyperscale cloud providers, selling three smaller Bitcoin mining facilities in Kazakhstan, and allocating capital to infrastructure, computing capacity, and development projects across Europe and the United States.
However, the company has yet to disclose a conversion schedule, confirm signed contracts with hyperscale cloud providers, or report any operational AI computing capacity at the sites. Although the €800 million raise provides funding for the transition, the strategy’s success will depend on execution and the ability to turn existing power infrastructure into commercially viable AI data centers.
