Empery Digital stirred market activity after announcing it sold nearly half of its Bitcoin treasury to finance a new artificial intelligence data center and repay outstanding debt. The company sold approximately 1,400 BTC for about $87 million over two months, leading to an immediate 4.2% jump in its shares early in trading.
Proceeds from the Bitcoin sale supported Empery’s acquisition of a 25% stake in a venture affiliated with Hunt Properties, which plans to convert an industrial site into the AI data center. Additionally, $10 million of the funds was allocated to debt reduction, indicating a dual strategy to both invest in new technology infrastructure and strengthen the balance sheet.
Empery’s shares closed positively despite a slight retracement, signaling investor approval of the firm’s pivot from a Bitcoin-heavy treasury management focus to embracing AI-centric opportunities. This move comes at a time when confidence in companies holding large Bitcoin reserves is declining, and market interest in AI projects is accelerating.
The sale significantly cut Empery’s Bitcoin holdings from a peak of 4,081 BTC to 1,514 BTC, valued around $97 million at current prices. This shift follows pressure from a major shareholder who challenged the company’s Bitcoin acquisition approach and called for leadership changes.
Industry-wide, Empery’s decision mirrors a broader trend as major corporate Bitcoin holders adjust their strategies amid volatile crypto markets. Strategy, the largest corporate Bitcoin holder, recently sold a large quantity of BTC to cover dividend payments following weaker stock performance in its perpetual preferred offerings, marking a departure from the “never sell your Bitcoin” stance once held.