Empery Digital sells approximately $87.1 million in gross proceeds from 1,400 bitcoins since early May. (NASDAQ: EMPD) has offloaded 1,400 bitcoins since early May to generate approximately $87.1 million in gross proceeds, signaling a pivot toward artificial intelligence infrastructure. According to a regulatory filing on July 10, 2026, the company sold the assets at an average price of $62,200 per token over a two-month period.
The move marks a strategic shift for the firm, which previously operated as a prominent Bitcoin treasury entity after raising over $500 million in July 2025.
Empery Digital commits to AI data center project
The company disclosed that it will allocate the proceeds to fund an AI data center project, repay $10 million in outstanding debt, and cover legal expenses. Despite the high-volume sale, the firm remains a significant corporate holder of the cryptocurrency.
As of July 10, the company’s treasury retains 1,514 BTC, valued at nearly $100 million, alongside a cash reserve of approximately $74 million. This total is a sharp reduction from its peak holdings of more than 4,000 BTC amassed during its initial accumulation phase.
A central component of this strategy involves a $65 million commitment to an AI data center campus project. Empery Digital has secured a 25% stake in a venture affiliated with Hunt Properties to acquire a power-rich industrial site in the United States.
The partners plan to convert this location into a specialized facility for AI infrastructure. The transition from pure-play asset holding to infrastructure development reflects broader AI-driven growth trends as companies seek to capitalize on the increasing demand for high-performance computing power.
Internal company documents indicate that the industrial site currently possesses approximately 150 megawatts (MW) of existing power capacity. Projections suggest the facility could eventually scale up to 300 MW to meet regional demand.
This shift toward tangible infrastructure assets comes at a time when traditional Bitcoin exchange supply remains at multi-year lows, yet some corporate treasuries are choosing to diversify into the technology sector to mitigate risk.
Managing debt obligations and operational costs
Beyond its infrastructure ambitions, the firm is utilizing the recent Bitcoin sales to address its balance sheet. On July 7, 2026, the company repaid $10 million of its outstanding debt. Regulatory documents reveal that as of July 10, the company still has $45 million outstanding on its debt facility.
Part of the remaining cash infusion will also be directed toward general operations and legal expenses, which have reportedly remained a factor for the firm following its rebranding from Volcon Inc. last year.
The decision to halt additional Bitcoin purchases is a departure from the strategy adopted in mid-2025. Originally an electric vehicle manufacturer known as Volcon Inc., the company rebranded and pivoted to a digital asset treasury model following a private placement that raised $501 million. However, the volatility of the crypto market has presented challenges.
The firm previously recorded a $122.7 million unrealized loss on digital assets in 2025, a figure that represented nearly 80% of its total operating expenses at that time.
Market performance and the future of the AI pivot
Public markets have responded cautiously to the strategic shift. Shares of Empery Digital (NASDAQ: EMPD) rose by approximately 1% on Friday following the announcement, but the stock remains down nearly 18% year-to-date. Since launching its Bitcoin treasury strategy in July 2025, the stock has declined roughly 82%.
This performance has placed the company under scrutiny from activist investors, including Tice P. Brown of Woodmont Partners, who has previously called for the company to liquidate its holdings and return capital to shareholders.
The success of the new model now depends on the completion of the Midwest data center project, which is expected to close in the third quarter of 2026. The partnership with Hunt Properties provides a foundation in real estate, but the conversion of an industrial site into an AI-ready campus requires significant capital.
As crypto market liquidation analysis continues to highlight the risks of concentrated digital asset positions, Empery Digital’s transition to AI infrastructure serves as a high-stakes test of corporate adaptability.