NYDIG to acquire Crusoe’s bitcoin mining operation

Crusoe to scale vertically-integrated Artificial Intelligence (AI) infrastructure solutions.

Crusoe and NYDIG announced plans for NYDIG to acquire Crusoe’s bitcoin mining operation, including its Digital Flare Mitigation business, pending regulatory approvals and customary consents. Approximately 135 Crusoe employees will transition to NYDIG, retaining their roles. The financial terms of the acquisition were not disclosed. NYDIG aims to enhance and grow the business following the acquisition.

Founded in 2018, Crusoe developed Digital Flare Mitigation (DFM) technology, which captures natural gas flaring from oil fields and converts this energy into electricity for modular data center on-site. This technology has contributed to reducing Greenhouse Gas Emissions (GHG) and demonstrated an efficient model for colocating computing with energy production.

Originally utilized for bitcoin mining, Crusoe’s DFM-powered mobile data center have since expanded to support AI workloads using Graphics Processing Unit (GPU) clusters. The company has installed more than 425 modular data center across various U.S. states and two countries. In its seven years of operation, Crusoe has mitigated 2.7 million metric tons of GHG and prevented nearly 22 billion cubic feet of flared natural gas.

Chase Lochmiller, CEO and co-founder of Crusoe, stated, “The proof-of-work consensus mechanism in the bitcoin blockchain algorithmically incentivizes the convergence of energy and computing. Our innovative approach to energy utilized for mining is uniquely complementary to NYDIG's bitcoin custody and institutional trading businesses, creating a consolidated business that is more valuable than the sum of its parts. We will continue to channel the same energy-first mentality toward scaling AI infrastructure and accelerating AI adoption in our everyday lives.”

NYDIG CEO Tejas Shah expressed enthusiasm about integrating Crusoe’s talent and capabilities into their operations, citing a shared commitment to innovation at the intersection of power and compute.

Post-acquisition, Crusoe will steer its focus on expanding vertically-integrated AI infrastructure solutions, including AI-optimized data center and enhancing energy solutions to support its operations.