Because Hut 8 Corp can fuel generative AI applications with its high-performance computing, Coatue Management invested $150 million in the Bitcoin miner.

Continuing to cash in on the artificial intelligence (AI) boom, the tech-focused investment manager Coatue Management has decided to invest $150 million in Bitcoin (BTC) miner Hut 8 Corp.

Hut 8 Corp announced on June 24 that billionaire Philippe Laffont's Coatue Management will be investing millions of dollars through a convertible note.

The note has a five-year initial term and will pay out 8% annually, according to the Bitcoin miner. The note may be extended by Hut 8 for a maximum of three one-year extensions. The investment will be made by Coatue Management as a senior unsecured obligation.

According to Laffont, the Bitcoin miner is "well-positioned" to take advantage of any possibilities that arise from the increased computing power and accelerate new ones.

The acquisition is expected to be completed by July 11th, this year, at the latest. Hut 8 submitted the investment agreement with Coatue to the US Securities and Exchange Commission on June 21.

In summary, based on the amount of computing power that is accessible, Hut 8 is one of the biggest miners that is publicly traded. Its market capitalization is at $1.1 billion.