TLDR
- Core Scientific closed $500M of a 364-day Morgan Stanley loan, with an option up to $1B.
- The rate is SOFR plus 250 basis points, and the facility includes an accordion feature.
- Proceeds target real property, pre-development, energy contracts, and fleet conversion equipment.
- Core Scientific expects to monetize most bitcoin holdings in 2026 to fund the AI shift.
Core Scientific has secured fresh funding as it retools its business beyond bitcoin mining. Morgan Stanley provided a $500 million loan facility that can expand to $1 billion.
The company said the initial $500 million closing gives it added liquidity. The financing arrives as Core Scientific increases its focus on AI-related compute workloads.
Facility terms and planned uses
Core Scientific said the loan agreement runs for 364 days. It includes an accordion feature that can add another $500 million in commitments.
Borrowings under the facility carry interest at SOFR plus 250 basis points. The company described the lender as Morgan Stanley.
Core Scientific said it plans to use the funds for real property purchases. It also plans to pay pre-development costs tied to new and converted sites.
The company said it will also procure additional energy contracts. It added that some proceeds will support equipment needed for compute-intensive operations.
Core Scientific CEO Adam Sullivan said the facility improves flexibility. “This strengthens our liquidity and enhances our financial flexibility,” Sullivan said.
He also linked the funding to execution speed. He said it can help “expedite project ready-for-service timelines,” according to the statement.
Funding supports shift toward AI colocation
Core Scientific has been repositioning away from pure bitcoin mining. It has been building high-density colocation capacity for AI customers.
The company said its current fleet spans multiple states. It cited sites in Texas, Georgia, and North Carolina, among others.
Management has framed the shift as a move toward compute-focused infrastructure. The facility is intended to support the conversion work and related buildout.
The company said the money can fund purchases needed for that conversion. It also said it can support development steps before sites enter service.
Core Scientific linked the plan to its go-to-market approach. Sullivan said the company wants to move decisively with capital deployment.
The company did not name specific AI customers in the statement. It focused on readiness for “compute-intensive workloads” and colocation demand.
Bitcoin sales and liquidity position
The financing follows new disclosures about Core Scientific’s bitcoin holdings. In its annual report filed this week, the company said it expects to monetize “substantially all” bitcoin holdings in 2026.
The company tied those sales to funding its transition toward AI workloads. The filing described the plan as part of the broader business shift.
As of Dec. 31, 2025, Core Scientific held 2,537 BTC. It reported a carrying fair value of $222 million at that date.
That balance was higher than the prior year’s level. The company reported 256 BTC held at the end of 2024.
Core Scientific also discussed sales made after year-end. It said it sold more than 1,900 BTC in January for about $175 million.
After those sales, it said it had about 630 BTC remaining. Sullivan said bitcoin mining is now “essentially in runoff,” on the earnings call.
He said operations are maintained mainly to meet minimum power commitments. He added that legacy sites are being converted toward AI-focused colocation.
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