Riot Platforms has revised its $200 million credit agreement with Coinbase Credit, as disclosed in an 8-K filing. The amendment replaces the variable interest rate with a fixed one, enhancing cost predictability as the company transitions into artificial intelligence and high-performance computing infrastructure, while simultaneously decreasing its bitcoin reserves. As of Tuesday, the company's bitcoin holdings stood at 15,680, down from 19,368 at the beginning of the year, according to bitcoin treasuries.net. The revised agreement maintains the loan size and collateral structure, with the credit facility secured by Riot's bitcoin, USDC, and cash held with Coinbase Custody.
The maturity date has been extended by 364 days, with the option to extend it by an additional year, subject to lender approval. The loan operates under a tiered loan-to-value framework, where a top-up is triggered if the LTV ratio exceeds 70% and liquidation occurs at 80%. Consequently, if bitcoin prices continue to decline, Riot may be forced to further deplete its treasury to meet these requirements, thereby funding its pivot into AI and HPC. On Tuesday, Riot's shares dropped by approximately 9% to below $17, with the company scheduled to report its Q1 earnings on April 30.