Riot Platforms has modified its $200 million credit facility with Coinbase Credit, as disclosed in an 8-K filing. This amendment replaces the variable interest rate with a fixed one, providing greater cost certainty as the company transitions into artificial intelligence and high-performance computing infrastructure, while also continuing to decrease 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 maintains the same loan size and collateral structure, with the loan secured by Riot's bitcoin, USDC, and cash held with Coinbase Custody. However, the loan's maturity 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 loan-to-value framework, which may trigger collateral top-ups if bitcoin's price falls sharply, potentially leading to further depletion of Riot's treasury to fund its pivot into AI and HPC. Riot's shares have fallen by approximately 9% on Tuesday, to below $17, with the company's Q1 earnings report scheduled for April 30.