- CleanSpark secures $100 million credit line from Coinbase, backed by Bitcoin reserves.
- Shares rise 5% after funding news as investors show confidence in CleanSpark’s growth.
- The firm holds 12,703 BTC worth $1.43B, among the largest public company Bitcoin treasuries.
CleanSpark has secured a $100 million credit line from Coinbase Prime, backed by Bitcoin holdings. The credit would be used for energy buildouts, new mining capacity, and high-performance computing projects.
Chief Financial Officer Gary A. Vecchiarelli stated that the agreement provides capital for growth without dilution of shareholder value. Further, he explained that Bitcoin reserves are being used to secure accretive financing. Chief Executive Officer Matt Schultz said the company sees strong opportunities near large metropolitan centers, adding that CleanSpark plans to accelerate growth while making use of existing assets.
CleanSpark Shares Climb On $100M Coinbase Credit Line
On the market side, CleanSpark (CLSK) closed at $13.74 on September 22 and rose by five percent, following the announcement, pushing to $14.44. The movement reflected investor confidence in the company’s ability to secure liquidity while maintaining strategic flexibility.
In April, CleanSpark expanded its line by up to $200 million, followed by other miners. Hut 8 doubled its facility to $130 million in June. Riot Platforms entered a $100 million agreement with Coinbase in April. These arrangements highlight a shift toward Bitcoin-backed credit instead of equity issuance.
CleanSpark holds 12,703 Bitcoin, and as of press time, its value is worth about $1.43 billion. Data from Bitcoin Treasuries places the company among the largest public holders. The firm stated that the new credit would help meet capital needs in a network with rising difficulty. The tougher environment requires more efficient financial planning.
CleanSpark grows despite record mining challenges
Bitcoin’s hashrate reached record levels this year. Mining difficulty also climbed to an all-time high. Transaction fees fell below one percent of block rewards in August. This reduced an important source of variable revenue. Miners are now depending more on subsidies and balance sheet tools to handle energy and equipment costs.
Hardware and logistics add further strain. Tariffs on imported rigs from Asia have raised expenses for U.S. operators. These tariffs also created potential liabilities for earlier shipments. Logistics delays increased procurement timelines. Together, these issues have tightened operating margins across the industry.
Despite these challenges, CleanSpark delivered strong results last quarter. Fiscal third-quarter revenue was $198.6 million. That represented a 91% increase from $104 million last year. The result also exceeded analyst estimates of $195 million. Net income reached $257.4 million. This reversed a $236.2 million loss recorded in the same quarter of 2024.
Chief Business Officer Harry Sudock asserted that the company is preparing for a broader role. He explained that not all power projects are suited to Bitcoin mining. Some are better aligned with high-performance computing. He said CleanSpark would pursue both types of projects. This approach expands opportunities across the company’s power portfolio.
Related: Bitcoin Faces $280M Long Liquidations Near $112K Support
According to Uminers CEO Batyr Hydyrov, an estimated 55% to 65% of Bitcoin mining worldwide still connects to Chinese funding, equipment, or expertise. Although China banned mining in 2021, major firms sustained their role by shifting operations abroad.
Leading manufacturers Bitmain, Canaan, and MicroBT—who dominate the rig market—moved production to the U.S., helping boost America’s hashrate share from just 4% in 2019 to 38% today.
BTC-backed financing now acts as a tool to manage volatile revenue. When Bitcoin prices are strong, collateral capacity grows, and lines could be expanded. When prices weaken, the structure reduces pressure to sell reserves. For miners, this mix of access to credit, strong treasuries, and operational flexibility has become essential. CleanSpark is positioning itself to compete effectively under these conditions.
