Bitcoin mining company TeraWulf is reportedly looking to raise roughly $3 billion through investment bank Morgan Stanley to expand its data center infrastructure, with Google stepping in to provide significant financial support. The move marks a major step in the company’s pivot from traditional crypto mining toward artificial intelligence (AI) infrastructure, a sector experiencing soaring demand.
TeraWulf’s $3B Funding Round
According to Bloomberg, TeraWulf plans to launch the funding round as soon as October, tapping high-yield bond or leveraged loan markets. The financing package will be structured with Google’s backing, which includes a $1.4 billion commitment. Combined with earlier arrangements, Google’s total support now stands at $3.2 billion.
Patrick Fleury, TeraWulf’s chief financial officer, explained that Google’s backstop could help the transaction secure a stronger rating from credit agencies, potentially making the deal more attractive to investors. However, terms are still under negotiation, and the deal is not guaranteed to proceed.
The push comes at a time when global demand for AI-ready data center space, GPU chips, and reliable energy supplies is outpacing availability. Crypto miners like TeraWulf are uniquely positioned to benefit, as they already control significant amounts of both power infrastructure and existing data centers—two of the most constrained resources in the AI sector.
Google-Backed Fluidstack Agreement
The latest fundraising effort builds on TeraWulf’s earlier partnership with Fluidstack, an AI infrastructure provider. In August, the miner announced a 10-year colocation lease agreement with Fluidstack valued at $3.7 billion in revenue. That deal, also backed by Google, saw the tech giant take a 14% stake in TeraWulf.
Between its commitments to Fluidstack and the latest debt backstop, Google has now pledged $3.2 billion to support TeraWulf’s transition from crypto mining to AI infrastructure—a clear sign of confidence in the miner’s role as a bridge between the two industries.
Market Response and Industry Momentum
News of the funding round initially sparked enthusiasm in markets. TeraWulf’s stock (WULF) spiked 12% on Thursday, hitting $11.72 intraday before closing down 3.7% at $10.97 in after-hours trading, according to Google Finance. The company’s stock has nonetheless performed strongly in 2025, up 94% year-to-date, driven largely by investor optimism around its AI shift.
The trend is not unique to TeraWulf. Rival miner Cipher Mining announced a similar deal on Thursday, also partnering with Fluidstack and backed by Google, which acquired a 5.4% stake in the company. Cipher’s arrangement mirrors TeraWulf’s, with colocation services provided to Fluidstack and Google backstopping $1.4 billion of obligations.
Outlook
As AI adoption accelerates, miners like TeraWulf are leveraging their crypto-era infrastructure to meet new market needs. With Google’s substantial backing and Morgan Stanley managing its funding round, TeraWulf is positioning itself at the forefront of the convergence between crypto mining and AI data services.