SWI Group announced a capital raise of roughly €800 million (about $900 million) to broaden its artificial-intelligence and data-centre operations, simultaneously confirming majority ownership of the former FTX mining company Genesis Digital Assets.

Capital raise and expansion plans

The investment firm disclosed that the newly raised funds will be directed toward scaling AI computing capacity across a network of data centres in both Europe and the United States. The financing round, described as an “800-million-euro capital raise,” is intended to underpin the construction of additional facilities and the upgrade of existing sites to support high-performance AI workloads.

Acquisition of Genesis Digital Assets

SWI Group’s involvement with Genesis began in June, when it purchased a “significant shareholding” for $500 million. At that time, Genesis operated 15 mining facilities with a combined capacity of 1.3 gigawatts. By August, SWI’s ownership had risen to 70%, allowing the firm to rebrand the operation as SWI Digital. The acquisition integrates the mining infrastructure into SWI’s broader data-centre strategy, repurposing the hardware for AI computation rather than solely for cryptocurrency mining.

Legal backdrop and resolution

Genesis Digital Assets was among the assets entangled in the bankruptcy of cryptocurrency exchange FTX, which filed for Chapter 11 protection in November 2022. During the exchange’s collapse, former CEO Sam Bankman-Fried allegedly instructed Alameda Research to allocate more than $1 billion to acquire a 20% stake in Genesis between 2021 and 2022. The ensuing bankruptcy proceedings sought to recover those funds. According to SWI’s co-founder and CEO Max-Hervé George, all legal disputes concerning FTX’s former stake in Genesis have now been resolved, removing a major obstacle to the venture’s transition.

Why it matters

The infusion of nearly $900 million positions SWI Group to convert a once-controversial crypto-mining operation into a mainstream AI infrastructure provider. By leveraging the existing high-energy hardware, SWI can accelerate the deployment of AI services without the capital outlay required for building new facilities from scratch. Moreover, the settlement of legacy legal issues clears the path for investors and partners to engage with the rebranded entity, potentially reshaping the landscape where cryptocurrency mining assets are repurposed for broader computational demands.