Northern Data to secure €575 million debt financing from Tether

The German mining company Northern Data entered into a debt-financing agreement with Tether for €575 million.

The firm will primarily allocate the funds toward equipment for the Taiga Cloud division, which offers cloud computing services to generative AI projects in Europe.

There are plans to expand data centres operating under the Ardent Data Centers brand.

Finally, the company intends to use the financing to scale its Bitcoin mining operations using liquid-cooling technologies for its Peak Mining business.

In September issuer of the stablecoin USDT spent $420 million to buy 10,000 Nvidia H100 GPU chips. The GPUs became the consideration for a 20% stake in Northern Data.

In May the then-CEO of Tether, Paolo Ardoino (then CTO of the company), stated that the high profitability gives the firm the opportunity to invest in new business directions. One of the initiatives was regular purchases of Bitcoin.

In addition, Tether participated in financing the government-backed Volcano Energy project, a $1 billion bitcoin mining venture in El Salvador.