Galaxy Digital (NASDAQ:GLXY) may have stumbled into one of the most lucrative AI infrastructure deals in the sector after acquiring the Helios mining facility from distressed Bitcoin (CRYPTO: BTC) miner Argo Blockchain.



<h2>The $4.5 Billion Deal, But Identity Crisis</h2>



In an X post on June 23, investment firm Arca’s Chief Investment Officer Jeff Dorman highlighted that Galaxy’s transformation accelerated after it signed a 15-year hosting agreement with CoreWeave (NASDAQ:CRWV) valued around $4.5 billion.



CoreWeave has since exercised expansion options that utilize the site’s entire currently approved 800 MW power capacity.



Galaxy expects the facility to generate more than $1 billion in annual revenue on average over the contract term, with lease-level EBITDA margins approaching 90%.



Despite the Helios success, Galaxy’s stock has significantly lagged other AI infrastructure and HPC-focused companies.



The challenge, according to the analysis, is that investors still largely view Galaxy as a crypto-focused investment bank involved in trading, asset management, mining and capital markets activities rather than a pure-play AI infrastructure company.



That leaves Galaxy caught between peer groups. 



Crypto investors compare it with Coinbase Global (NASDAQ:COIN) and MARA Holdings (NASDAQ:MARA), while its data-center business increasingly resembles infrastructure operators such as Digital Realty Trust (NYSE:DLR) and Equinix (NASDAQ:EQIX).



<h2>Spin-Off Could Unlock Value</h2>



With CoreWeave’s first phase now operational and lease revenue beginning to flow, some investors see a potential spin-off of Galaxy’s data-center division as a catalyst.



Separating the AI infrastructure business could allow investors to value the asset using data-center multiples rather than crypto-sector valuations. 



This could potentially help the bulls to bring a closure to what they view as a significant valuation gap.



Image: Shutterstock

BRPHF

GLXY

GBTC

Galaxy Digital transformed a $65M Bitcoin mining acquisition into a $4.5B AI infrastructure deal via a hosting agreement with CoreWeave, expected to generate over $1B in annual revenue. Despite this success, investors still value Galaxy primarily as a crypto firm, causing its stock to lag peers. Analysts suggest spinning off the data-center division could unlock value by allowing valuation based on infrastructure multiples rather than crypto sector metrics.

benzinga_article

Galaxy Digital Holdings Ltd.

Galaxy Digital

Grayscale Bitcoin Trust BTC - ETF

Coreweave

T-REX 2X Long GLXY Daily Target ETF

VanEck Bitcoin ETF

Bitwise Bitcoin ETF

Fidelity Wise Origin Bitcoin Fund - ETF

Invesco Galaxy Bitcoin ETF

Leverage Shares 2X Long GLXY Daily ETF

WisdomTree Bitcoin Fund

Franklin Bitcoin ETF

ARK 21Shares Bitcoin ETF

iShares Bitcoin Trust ETF

CoinShares Bitcoin ETF

T-REX 2X Inverse CRWV Daily Target ETF

T-REX 2X Long CRWV Daily Target ETF

Tradr 2X Long CRWV Daily ETF

ProShares Bitcoin Strategy ETF

ETC Holdings Ltd. (Guernsey)

BOS HSK BTC

CAM BTC

MBC BTC

Leverage Shares 2X Long CRWV Daily ETF

GraniteShares YieldBOOST CRWV ETF

Argo Blockchain

Coinbase

Mara

Digital Realty Trust

Equinix

Argo Blockchain Pref Share ARBKL 8.75 11/30/26

Argo Blockchain plc

How Galaxy Digital Turned A $65 Million Bitcoin Mining Rescue Into A $4.5 Billion AI Infrastructure Deal