Luxor raises $16 million to expand AI computing

Luxor Technology Corporation has raised $16 million in strategic funding led by CMT Digital to expand its AI computing business.

The round also attracted Canaan, MicroBT, Halo, Steelhead and additional angel investors, combining new capital with secondary share sales.

“Compute markets are converging: the same miners, power sites and capital that served digital mining are now powering AI,” Luxor co-founder and chief executive Nick Hansen said in a statement.

Luxor will use the funding to expand its cloud platform, finance AI hardware operations and grow its compute derivatives trading business.

The company’s hardware brokerage has traded $1 billion in Bitcoin mining equipment, while its energy business serves more than 75 megawatts of load across two US power markets.

Luxor launched its AI business in September, extending its existing hardware, software, energy and trading services into artificial intelligence and high-performance computing.

The company’s cloud platform had processed 1.8 million workloads year-to-date by September, while its over-the-counter desk offers cash-settled options and forwards linked to compute-rental indexes.

Luxor’s expansion reflects the growing overlap between Bitcoin mining infrastructure and demand for AI computing.