Key Highlights:
- Bitdeer sold part of its Bitcoin holdings to reduce debt and improve liquidity.
- The firm plans to raise $300 million via convertible notes to expand mining and AI data centers.
- Rising leverage and negative cash flow show pressure across the crypto mining sector.
Chris Lee, who earlier served as CFO at OKX and Huobi, has revealed that Bitdeer has been selling part of its Bitcoin holdings to reduce debt and improve liquidity, and is also moving ahead with a new $300 million convertible notes issuance.
Bitdeer’s stock (listed as BTDR in the US), has seen a steep decline in recent months. This comes even as Bitdeer’s operational scale has continued to expand. In fact, its mining hashrate has now overtaken that of Marathon Digital Holdings, placing Bitdeer among the top global players in terms of computing power dedicated to Bitcoin mining.
Bitdeer Sells Some of its Bitcoin Holdings
比特小鹿卖币降债，并发行3亿美金可转换票据
比特小鹿 https://t.co/QrZ9dnCW27股价也跌了很多，其算力超越https://t.co/eVMYxyRr1h 排第一了。虽2025财年净利润为65.60百万美元，同比增加110.95%；其中营业收入为6.20亿美元，同比增加77.14%，但自由现金流一直没改善，事实上是更糟糕了，… pic.twitter.com/vdLq2MHttF
— Chris Lee (@ViewsOfChris) February 23, 2026
On paper, Bitdeer’s financial performance shows growth. The firm, which is a cloud mining platform, reported a net profit of $65.6 million for FY2025, and marks a year-on-year increase of more than 110%. Its revenue also rose strongly to $620 million, up over 77 percent compared with the previous year. However, the company’s free cash flow has remained under pressure and has been deteriorating.
In Q4 of 2025, free cash flow was negative $650 million. Total debt stood at $1.94 billion. Out of this, short-term debt alone accounted for $763 million. The debt-to-asset ratio reached 1.45, while the current ratio came in at 0.92. Equity value accounts to nearly $860 million, which indicates a highly leveraged balance sheet, with tight liquidity conditions.
Lee noted that selling mined coins at current spot prices is a practical move in such a situation. The objection of this move is to cut debt levels, increase available cash, and support expansion in hashrate capacity and power infrastructure. Bitdeer has an advantage in this area because it designs its own mining rigs and has access to relatively low-cost hydro and electric power sources. This allows the firm to operate at lower mining costs compared to many competitors.
After its earnings release, Bitdeer also announced plans to issue $300 million in convertible senior notes due in 2032. The company said it may allow initial buyers to purchase an additional $45 million worth of notes within a limited time window. These notes will be unsecured and will pay interest twice a year. Upon conversion, they can be settled in cash, shares, or a mix of both.
The proceeds from the offering will be used for several purposes. A chunk of the funds will go toward expanding data center capacity and building high-performance computing and AI cloud infrastructure. Another portion will support the development and manufacturing of ASIC-based mining machines. The rest will be used for working capital and general corporate needs. The company also plans to repurchase some of its existing convertible notes due in 2029 as part of a broader capital restructuring plan.
Bitdeer said it will also enter into capped call transactions to limit potential dilution to shareholders if the new notes are converted into equity. These hedging arrangements, along with secondary market trading by counterparties and investors, could influence the price of Bitdeer’s shares in the near term.
Notably, in earlier market cycles, demand for mining machines often exceeded supply. Now, some manufacturers and operators are competing directly in mining, holding infrastructure and power assets themselves. The business remains capital intensive and highly cyclical. Returns tend to improve during bull markets and tighten during downturns.
As of January 2026, Bitdeer’s global power capacity has reached 3.0 gigawatts, with 1.66 gigawatts already operational. The company is expanding its mining and AI infrastructure footprint across the US, Norway, Bhutan, Ethiopia, and other regions. It has also been exploring AI computing and high-performance data centers as a long-term growth factor.
Also Read: Bitcoin Utility Debate Heats Up as Bitwise CIO Matt Hougan Pushes Back
