Shares of Bitcoin miner Hut 8 (HUT) rose by almost 12% in premarket trading amid social media speculation that the company is building a data center with Facebook owner Meta Platforms (META).
Shares climbed to just under $30 at 10:00 UTC. The CoinShares Valkyrie Bitcoin Miners ETF (WGMI), which offers broad exposure to the BTC mining sector, rose about 3%.
Neither Hut, of Miami, Florida, nor Meta, of Menlo Park, California, have announced a partnership.
**Speculative post**
Hut 8 appears to be working with Meta to develop a groundbreaking AI data center in West Feliciana Parish, Louisiana. Although not officially confirmed, given the scope and focus of the project, I suspect this collaboration is likely. The $12… https://t.co/E3PeEmsVnI pic.twitter.com/47xYttLaxP
— Jarron Jackson (@JarronJackson4) December 11, 2024
Hut 8 is Building a data center in West Feliciana Parish, La., with an initial cost of $12 billion, local media reported.
Earlier this month, Meta announced that construction was planned a $10 billion AI data center in Richland Parish, La., Reuters reported.
There are similarities between Bitcoin miners and AI data centers in terms of the equipment, computing power, and energy required to run everything. Some Bitcoin miners have committed resources to AI computing to diversify their sources of income.
Hut 8 had previously announced a $500 million initial public offering (ATM) and a $250 million share repurchase program. The company said it had scaled back 94 BTC in Novembera decrease of 6% from the previous month. It lasts 9,122 BTC ($921 million) on the balance sheet, the seventh largest Bitcoin holder of all publicly traded companies.
Neither company immediately responded to CoinDesk’s request for comment.
Read more: Bitcoin Miners Cipher, CleanSpark and MARA have been updated at JPMorgan
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