Galaxy Digital (Nasdaq: GLXY) has acquired about 500 acres in McGregor, Texas, for its second major artificial intelligence and high-performance computing campus in the state. The public comp
Galaxy Digital (Nasdaq: GLXY) has acquired about 500 acres in McGregor, Texas, for its second major artificial intelligence and high-performance computing campus in the state. The public company announced the purchase on July 28.
The first phase is expected to provide 74 megawatts of capacity, with power delivery targeted for 2028. Galaxy said the site could expand into a multi-hundred-megawatt campus through 2030.
The project marks another major bet on infrastructure for AI workloads, extending Galaxy's transformation from a crypto-focused company and Bitcoin miner into a large-scale data center developer.
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Galaxy acquired the Helios Bitcoin mining facility from Argo Blockchain in December 2022, saying at the time the deal would expand its mining operations and cut its reliance on third-party hosting.
The company later wound down mining at Helios as demand for AI computing accelerated, converting the West Texas site into an AI and HPC campus under a long-term agreement with cloud provider CoreWeave.
Helios has since become Galaxy's flagship data center campus, with more than 1.6 gigawatts of approved capacity and 133 MW of critical IT load delivered to CoreWeave.
Galaxy also announced plans on July 22 to raise about $3.5 billion through secured notes to support the second phase of Helios.
Rows of servers inside a data center. Image used for illustrative purposes only. Texas offers large power markets, available land and established energy infrastructure — factors that have helped make the state a center for Bitcoin mining and, increasingly, AI data centers. Galaxy said the McGregor campus would create construction and permanent jobs and expand the local tax base; the city received about $7.5 million from the land sale.
Galaxy is led by chief executive Mike Novogratz, a former Goldman Sachs partner and macro hedge fund manager who became one of the earliest Wall Street heavyweights to stake his reputation on Bitcoin — a pedigree that has earned him a reputation as a Wall Street legend turned crypto bull.
"The demand for compute is a structural shift, not a passing cycle."— Mike Novogratz, CEO, Galaxy Digital
Galaxy is not alone in repurposing crypto infrastructure for AI. Core Scientific agreed to provide hundreds of megawatts to CoreWeave, while Hut 8 has signed multiyear leases for large AI campuses.
Data centers have become a flashpoint across Texas.
In McGregor itself, residents recently submitted a petition to recall Mayor Jim Lilley, an effort centered on a data center project, the city's water supply and whether officials were transparent in approving it.
(The recall coverage does not specify whether it targets Galaxy's newly announced campus or a separate McGregor project.)
The anger is statewide.
Demonstrators hold up "Stop Data Centers" signs as US President Donald Trump, not pictured, speaks at the General Motors Proving Ground testing facility in Milford, Michigan, US, on Monday, July 27, 2026. Trump championed his economic agenda, including tariffs and the rolling back of environmental regulations, saying they had revived US auto manufacturing, during a visit to a General Motors Co. facility in the midterm battleground of Michigan. Photographer: Sarah Rice/Bloomberg via Getty ImagesResidents in Texarkana rallied against a proposed 500-acre data center over water use and noise; El Paso residents held a "block party protest" against Meta's $10 billion AI campus, which could draw up to 2.5 million gallons of water on hot days; Guadalupe County homeowners have filed a lawsuit over transparency; and ranchers and farmers have rallied at the Texas Capitol pressing for a pause.
Bloomberg reported the backlash has grown so intense that some Texans are "asking Jesus for help." The complaints are consistent: the water and electricity AI data centers consume, higher power bills for neighbors, noise, and a lack of public input.
At the time of writing, Galaxy Digital shares traded at $20.97, down 7.62% on the day. Core Scientific fell 1.11% to $20.51, while Hut 8 slipped 1.79% to $102.72.
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