Google Backs Cipher Mining’s $3B AI Hosting Deal With Warrants

Cipher Mining agreed to a $3B AI hosting deal with Fluidstack. Google will back $1.4B in leases and receive warrants for 24M shares.

Cipher Mining signed a 10-year contract with Fluidstack to provide 168 megawatts of computing power at its Barber Lake site. The agreement guarantees $3 billion in revenue, with two five-year extensions that could lift total commitments above $7 billion.

Google will backstop $1.4 billion of Fluidstack’s lease obligations, providing financing support. In exchange, it will receive warrants to acquire 24 million Cipher shares, about 5.4% of the company on a pro forma basis. Cipher retains full ownership of its Barber Lake facilities.

The deal highlights a shift among U.S. Bitcoin miners toward high-performance computing. Cipher has identified a pipeline of 2.4 gigawatts for future AI and HPC development. Similar arrangements have been struck with Core Scientific, Iris Energy, and TeraWulf, which announced a Google-backed colocation deal in August.