Riot Platforms has modified its $200 million credit agreement with Coinbase Credit, as disclosed in an 8-K filing. The revision replaces a variable interest rate with a fixed one, enhancing cost predictability as the company transitions into artificial intelligence and high-performance computing infrastructure, while simultaneously reducing its bitcoin holdings.
As of Tuesday, the company's bitcoin holdings stood at 15,680, down from 19,368 at the start of the year, according to bitcoin treasuries.net. The revised agreement retains the original loan size and collateral structure, with the credit facility secured by Riot's bitcoin, USDC, and cash held with Coinbase Custody. However, the loan maturity has been extended by 364 days, with the option for a further one-year extension subject to lender approval. The loan operates under a tiered loan-to-value framework, where a collateral top-up is triggered if the LTV ratio exceeds 70% and liquidation occurs at 80%.
Consequently, Riot may continue to deplete its bitcoin reserve if the market experiences further weakness, funding its pivot into AI and HPC. The company's shares have declined by around 9% on Tuesday to below $17, with Q1 earnings scheduled for release on April 30.