📌 TOPINDIATOURS Hot crypto: Google-Backed Crypto Miner TeraWulf Plans $3B Debt-Fin

TeraWulf plans to raise about $3b to expand its data centers, in a deal supported by Google, according to its finance chief Patrick Fleury.

The debt is expected to be issued either through the high-yield bond market or via leveraged loans, Fleury told Bloomberg in a recent interview.

Morgan Stanley is arranging the potential transaction, which could be launched as early as October.

Credit rating agencies are still reviewing the deal, with expectations that it could fall between BB and CCC, the typical range for junk-rated debt. Google’s backstop could reportedly help secure a higher grade.

Negotiations are ongoing, and there is no guarantee the deal will move forward. TeraWulf didn’t return Cryptonews’ request for comment by press time.

AI Boom Drives Demand For Data Centers, Puts Crypto Miners In Spotlight

The push comes as demand for artificial intelligence infrastructure has outstripped supply. The rapid rise of AI has created shortages of data center space, graphics processing chips and access to electricity.

Crypto mining firms like TeraWulf, already operating large-scale power-hungry facilities, have become attractive partners for companies seeking to expand into AI computing.

TeraWulf has already seen growing interest in its facilities. In August, Fluidstack, an AI cloud platform, expanded its use of a TeraWulf-run data center in New York. Around the same time, Google increased its backstop commitment to TeraWulf by $1.4b, taking its total to $3.2b and lifting its equity stake in the miner to 14% from 8%.

TeraWulf, Cipher Raise Capital To Expand Data Center Capacity

Meanwhile, another mining firm, Cipher Mining, has signed a colocation deal with Fluidstack and Google. Under the agreement, Cipher will supply data center capacity. In return, Google will backstop US$1.4 billion in obligations and take an equity stake. In addition, Cipher is expected to seek more debt financing, similar to TeraWulf.

Separately, in August TeraWulf said it plans to raise $400m through a private offering of convertible senior notes due 2031. The company explained that proceeds will partly fund capped call transactions. The rest will go toward expanding its data centers and other corporate needs.

If completed, this financing would be one of the largest debt deals by a crypto miner shifting into AI infrastructure. Furthermore, it shows how Google is expanding its role in building out computing power to meet surging demand from AI developers.

The post Google-Backed Crypto Miner TeraWulf Plans $3B Debt-Financed Expansion: Report appeared first on Cryptonews.

🔗 Sumber: cryptonews.com

📌 TOPINDIATOURS Hot crypto: Elon Musk’s xAI Sues OpenAI Over Alleged Tech Theft, P

Elon Musk’s AI firm, xAI, has filed a new lawsuit against OpenAI, accusing the ChatGPT creator of systematically poaching staff and stealing proprietary technology.

Filed in the US District Court for the Northern District of California, the complaint alleges that OpenAI engaged in a “coordinated, unfair, and unlawful campaign” to recruit key xAI personnel with the aim of accessing sensitive data related to its Grok chatbot.

The legal action claims OpenAI targeted individuals with direct knowledge of xAI’s source code, infrastructure, and business plans, including former engineer Jimmy Fraiture and a senior finance executive.

Ex-xAI Engineer Xuechen Li Named in Trade Secret Lawsuit

The lawsuit also names ex-employee Xuechen Li, who is facing a separate lawsuit for alleged trade secret theft.

A court order issued earlier this month temporarily barred Li from working on AI technologies at OpenAI.

Musk’s team argues that OpenAI induced these individuals to breach confidentiality agreements in violation of employment obligations.

OpenAI has denied the allegations, stating, “We have no tolerance for any breaches of confidentiality, nor any interest in trade secrets from other labs.” It also described Musk’s actions as “ongoing harassment.”

xAI, however, claims it uncovered the poaching scheme during its internal investigation into Li’s alleged misconduct.

An email exchange included in the filing features a blunt response from a former xAI executive to a legal warning: “suck my dick.”

This marks the latest escalation in the long-running feud between Musk and OpenAI, a company he co-founded in 2015 but left in 2018 after failing to take control.

Musk has repeatedly accused OpenAI and CEO Sam Altman of abandoning the group’s original nonprofit mission in favor of commercial gain through partnerships with firms like Microsoft.

The case adds another layer to the intensifying race for AI dominance, where tech giants are competing aggressively to secure top talent and IP.

Elon Musk Sells X to xAI in $80B Deal

In March, Elon Musk transferred ownership of his social media platform X to his AI startup xAI in an all-stock deal announced on March 28, valuing xAI at $80 billion and X at $33 billion, including $12 billion in debt.

The move coincided with a judge rejecting Musk’s attempt to dismiss a class-action lawsuit accusing him of misleading shareholders during his original Twitter acquisition.

Critics argue the transaction raises the legal stakes for Musk and his companies, suggesting xAI could now be entangled in existing litigation.

Some, like Cinneamhain Ventures’ Adam Cochran, accuse Musk of inflating xAI’s valuation to offload X while masking investor losses, even hinting that the deal may be a way to transfer user data between entities.

Despite concerns, Musk insists the merger will enhance synergies between X’s platform and xAI’s technology, particularly the Grok chatbot, which he claims surpasses early versions of ChatGPT.

Supporters say Grok could position xAI as a serious competitor in the AI race, though skepticism around the $80B valuation remains.

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🔗 Sumber: cryptonews.com