Riot Platforms has modified its $200 million credit facility with Coinbase Credit, replacing the variable interest rate with a fixed one to enhance cost stability as the company transitions into AI and high-performance computing infrastructure while reducing its bitcoin reserves. As of Tuesday, the company's bitcoin holdings stood at 15,680, down from 19,368 at the start of the year.
The revised agreement maintains the loan size and collateral structure but extends the maturity by 364 days, with the option for a further one-year extension subject to lender approval. The loan is governed by 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 treasury to support its AI and HPC expansion if bitcoin prices remain weak.
The company's shares have fallen around 9% to below $17, with Q1 earnings scheduled for release on April 30.