Empery Digital Shares Rise After Selling Bitcoin Treasury for AI Data Center Project

Nasdaq-listed Empery Digital (EMPD) has made a significant strategic pivot by divesting a substantial portion of its Bitcoin holdings. The company announced it sold 1,400 Bitcoin (BTC) since May at an average price of $62,200, generating approximately $87.1 million in proceeds. This move aims to fund an artificial intelligence (AI) data center project and reduce its outstanding debt.

A large portion of the generated capital will be allocated to acquiring a 25% stake in a private entity involved in an AI data center project in the U.S. Midwest. This initiative, a partnership with Hunt Properties, involves converting an industrial facility with an initial capacity of 150 megawatts (MW) into an AI data center, with potential for expansion up to 300 MW for AI workloads. Empery Digital has committed $65 million to this project, while also utilizing $10 million to settle outstanding debts.

These sales follow Empery Digital's transformation last year from an electric powersports vehicle manufacturer into a Bitcoin treasury management company. The company had adopted a Bitcoin-centric strategy in mid-2025 when Bitcoin was approaching its all-time highs. However, with this latest decision, the company has stated it is discontinuing its Bitcoin treasury dashboard, indicating that future capital allocations will focus on hyperscaler-anchored AI data center deals.

The company's strategic shift comes after months of pressure from a significant shareholder, Tice P. Brown, who had urged the firm to abandon its Bitcoin-buying strategy and demanded the resignation of the CEO and board. The market has reacted positively to Empery Digital's move, especially at a time when confidence in such Bitcoin treasury strategies is waning, and capital is increasingly flowing into the AI sector.

Following the news, Empery Digital (EMPD) shares rose by 4.2% to $3.95 on Friday, closing the day up 1.58% at $3.86. Although the shares are still down approximately 15% to 18% year-to-date, the positive immediate reaction to the Bitcoin sale suggests investor support for this new direction. The company reportedly retains 1,514 Bitcoin and approximately $74 million in cash after the sale.

Analysts interpret Empery Digital's action as a sign that corporate Bitcoin holders are beginning to manage their capital more actively. Similar Bitcoin sales by prominent corporate Bitcoin holders like MicroStrategy, which also saw their share prices rise, reflect the growing demand for AI infrastructure and the evolving perception of Bitcoin as a liquidity tool on corporate balance sheets. In the coming period, with the anticipated growth potential in the AI sector and increasing data center investments, the impact of Empery Digital's new focus on its long-term performance will be closely monitored.