Galaxy Digital paid about $7.5 million for a 500-acre Texas site where it plans to build a data center potentially reaching several hundred megawatts by 2030.
Galaxy Digital, a crypto and data center company led by Mike Novogratz, acquired about 500 acres in McGregor, Texas, for its second major data center campus in the state, per the company’s Tuesday press release.
With the new acquisition, Galaxy Digital, based in New York, wants to construct an AI and high-performance computing campus in the McGregor Industrial Park. The first phase of the project will reportedly offer 74 megawatts of capacity and start power deliveries in 2028.
The firm stated that the campus can potentially reach a capacity of several hundred megawatts by 2030 once the local utility constructs more transmission infrastructure. Commenting on the acquisition, Novogratz said:
“The demand for compute is a structural shift, not a passing cycle, and we believe the right way to meet it is by building infrastructure that strengthens the communities that host it.”
The transaction generated revenue for the city of McGregor of $7.5 million. Meanwhile, Galaxy Digital is willing to finance its own substation and related improvements instead of making the local residents pay for them, per the press release.
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Expanding Beyond Crypto
The move marks another expansion of Galaxy Digital outside of its core crypto business. The company already owns Helios, which used to be a Bitcoin mining facility in West Texas purchased by Galaxy Digital in 2022 and was later converted into a site for AI and high-performance computing operations.
For context, Helios has more than 1.6 gigawatts of power capacity.
The McGregor campus will use a closed-loop cooling system that recirculates water and construction is expected to support several hundred contractors and trade workers before permanent operations jobs are added, Galaxy Digital said.
Read more: Galaxy Digital: Strategy Is the Reason Bitcoin Is Falling
