Riot Platforms has revised its $200 million credit agreement with Coinbase Credit, replacing the variable interest rate with a fixed one for better cost predictability. As the company transitions into artificial intelligence and high-performance computing infrastructure, it continues to decrease its bitcoin holdings, now at 15,680 BTC, down from 19,368 at the start of the year.
The updated loan terms maintain the same collateral structure, with the company's bitcoin, USDC, and cash held with Coinbase Custody serving as security. The loan's maturity has been extended by 364 days, with the option to extend further, subject to lender approval. However, the loan operates under a loan-to-value framework, which may require Riot to replenish collateral if bitcoin's price drops significantly, potentially depleting its treasury and funding its pivot into AI and HPC.
Riot's shares have fallen around 9% to below $17, with the company set to report Q1 earnings on April 30.