US-listed Bitcoin mining company TeraWulf is reportedly seeking to raise $3.5 billion in debt to expand its Justified Data campus in Kentucky, a facility leased by artificial intelligence company Anthropic under a long-term agreement.
The deal is expected to launch this year, with investment bank Morgan Stanley leading the financing effort, TeraWulf chief financial officer Patrick Fleury said, according to a Thursday Bloomberg report.
The deal could include leveraged loans and high-yield bonds, marking TeraWulf’s first entry into the leveraged loan market, the report stated.
The news comes days after TeraWulf signed a 20-year lease agreement with Anthropic for the Kentucky facility, showing how demand for AI computing capacity is creating new funding opportunities for data center operators.
Why This Matters for the Broader Mining Sector
TeraWulf’s trajectory is becoming a template other Bitcoin miners are watching closely convert mining infrastructure and power contracts into AI hosting capacity, lock in long-term leases with AI labs, and use those contracted revenues to justify increasingly large debt raises. Whether that model holds up under investor scrutiny especially around insider selling and true operating costs is likely to keep shaping how the market prices this entire category of hybrid miner-to-AI-host companies going forward.
TeraWulf’s previous financing activity includes multibillion-dollar offerings
The Justified Data campus in Hawesville, Kentucky, is being developed as a large-scale data center project to support AI computing workloads, with initial operations expected in the second half of 2027 and full buildout targeted for early 2028.
The facility is expected to generate about $19 billion in contracted revenue over the initial lease term with Anthropic, according to TeraWulf.
Source: TeraWulf
The $3.5 billion debt raise follows the company’s previous financing offerings, where it raised $1.3 billion in December 2025 and $3.2 billion in October 2025.
Cointelegraph reached out to TeraWulf and Morgan Stanley for comment on the reported financing but had not received a response by publication time.
TeraWulf faces concerns over insider transactions and growth model
TeraWulf has recently drawn investor questions over insider stock sales, shareholder alignment and broader concerns over the company’s growth model.
On Thursday, Bitcoin mining advisory company Blocksbridge Consulting highlighted TeraWulf as an example of the investor scrutiny around insider stock sales at Bitcoin mining companies that have benefited from AI-related momentum.
Related: Crypto Biz: Is AI the exit strategy for miners?
TeraWulf has also faced questions over the economics of its AI data center model. In a McNallie Money podcast on Tuesday, Fleury pushed back against a short-seller’s model that estimated higher maintenance costs for TeraWulf’s data centers. He argued that the company’s role is to provide power and facility infrastructure, while customers are responsible for their computing equipment and technology upgrades.
Source: Matthew Sigel
Fleury said the company’s long-term lease structure limits the recurring upgrades and reconfiguration costs typically associated with data centers.
FAQ
What is TeraWulf’s Justified Data campus?
It’s an AI-focused data center development in Hawesville, Kentucky, leased to Anthropic under a 20-year agreement projected to generate roughly $19 billion in contracted revenue over the lease term.
How much has TeraWulf raised in debt financing recently?
Including this reported $3.5 billion target, TeraWulf has pursued over $8 billion in debt-funded raises across roughly a year, following $3.2 billion in October 2025 and $1.3 billion in December 2025.
Why are Bitcoin miners building AI data centers?
Miners already control power contracts and industrial-scale electrical infrastructure, which makes them well-positioned to host AI computing demand often at higher and more stable margins than Bitcoin mining alone currently offers.
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