Riot Platforms Dumps NYDIG for BitGo Bank & Trust – Here’s Why This Custody Shift Is a Game‑Changer

Bitcoin miners are scrambling to close a US$50 billion funding gap for AI infrastructure as lenders scrutinize deals and tighten lending standards, driving up AI financing costs.

IREN, Riot Platforms and HIVE Digital are among the firms facing major funding gaps, while BlocksBridge Consulting warns that borrowing costs now diverge sharply based on the customer, contract and path to completion, threatening the rollout of AI‑powered data centers.

Bitcoin mining firms are grappling with a funding shortfall, requiring roughly US$50 billion to finish planned AI‑infrastructure projects, with IREN, Riot Platforms and HIVE Digital reporting significant capital gaps.

Rising financing costs driven by the global AI boom have prompted creditors to scrutinize miner deals more closely, threatening to curb hash‑rate growth, weigh on BTC prices and push companies toward asset sales or restructurings.

Security through obscurity, a common practice in Bitcoin custody by hardware wallet makers such as Blockstream and Coldcard, has been revealed as a flawed design principle that offers no protection against physical coercion.

Experts warn that relying on an attacker’s ignorance is unsustainable; if a user is forced to disclose a PIN or seed phrase under duress, funds can be drained regardless of obscurity layers, sparking calls for explicit anti‑coercion defenses and renewed interest in multi‑signature and duress wallet solutions.