Bitcoin treasury company Empery Digital is expanding its presence in artificial intelligence infrastructure with a strategic equity investment in powered data centre developer Cardinal Data Power (CDP). The Nasdaq-listed company has committed $20 million as part of CDP’s $70 million Series A funding round, which Hood River Capital Management leads. The transaction, completed on 20 July, gives Empery an ownership stake of approximately eight percent in the Dallas-based infrastructure developer. The investment reflects growing investor confidence that long-term AI demand will increasingly depend on developers capable of delivering both computing facilities and reliable power infrastructure.
Capital Targets Large-Scale Powered Campus Development
Fresh capital will support CDP’s first hyperscale campus in West Texas, where the developer has already secured a letter of intent covering a 750MW initial phase. The site spans more than 3,500 acres and is expected to begin delivering power during 2027. Current development plans outline approximately 1GW of gross capacity by 2029, while long-term expansion could exceed 5GW as customer demand grows. Rather than building conventional colocation facilities, CDP is designing infrastructure specifically for AI and high-performance computing environments that require significantly larger power allocations.
Infrastructure readiness remains central to the project strategy. CDP has reserved reciprocating engine generation equipment and associated services through an agreement with an independent power producer. The company has not disclosed the equipment manufacturer involved in the arrangement. Securing generation assets before construction advances reduces execution risk while improving the project’s ability to meet aggressive deployment schedules for future AI customers.
Power Infrastructure Becomes the Primary Competitive Advantage
Demand for AI computing continues to reshape infrastructure investment priorities across North America. Developers increasingly compete on available electrical capacity rather than available real estate because advanced AI workloads require substantially higher energy density than traditional enterprise cloud environments. Behind-the-meter generation has therefore emerged as an increasingly attractive model for operators seeking greater energy certainty while reducing dependence on constrained public utility networks.
Cardinal Data Power has positioned its business around that market shift. The company develops integrated campuses combining on-site power generation, natural gas supply, pipeline connectivity, electrical transmission infrastructure, and extensive land holdings. That approach allows customers to secure computing capacity alongside dedicated energy resources, creating greater operational certainty for GPU-intensive deployments expected to operate continuously.
Empery Expands Beyond Digital Assets Into Physical Infrastructure
The latest transaction marks another step in Empery Digital’s strategy to diversify beyond cryptocurrency treasury operations into physical AI infrastructure assets. Rather than investing exclusively in technology companies, the firm is allocating capital toward the energy and infrastructure platforms that underpin large-scale artificial intelligence deployment. This reflects a broader investment trend as financial markets increasingly recognise power availability as one of the industry’s most valuable strategic assets.
Commenting on the investment, Ryan Lane, co-CEO of Empery Digital, said: “Cardinal Data Power is uniquely positioned to bring generation, transmission, and management of power solutions to the insatiable energy demands of the AI infrastructure build-out.” Lane added: “This investment reflects the continued strength of our partnership with Hunt Properties and the differentiated investment opportunities this relationship is generating for Empery Digital shareholders.”
Hunt Properties Partnership Continues to Expand
Cardinal Data Power was established by the Lyda Hunt Allred and Barbara Crow Hunt families through their respective family offices, Cavallo Holdings and Stratford Bridge Holdings. Operating alongside Hunt Properties, the company continues evaluating additional hyperscale developments across West Texas and West Virginia. Those projects reflect a long-term strategy focused on delivering large-scale powered campuses for AI infrastructure customers rather than conventional enterprise colocation facilities.
The latest funding also strengthens an existing relationship between Empery Digital and Hunt Properties. In June, Empery announced a separate $65 million investment to acquire a 25 percent interest in a private entity managed by Hunt Properties. That entity plans to purchase a 150MW power-intensive industrial facility in the US Midwest and convert it into an AI data centre.
Multi-Gigawatt Infrastructure Signals Long-Term AI Demand
Development plans for the Midwest project also include significant expansion potential. Initial capacity could eventually increase to approximately 300MW, subject to customer demand and infrastructure deployment. A Hunt affiliate has already signed a non-binding letter of intent for a triple-net lease with an undisclosed compute provider. According to Empery, the proposed agreement could generate up to $1 billion in lease payments, with additional upside if future capacity expands.
The Midwest acquisition remains subject to customary closing conditions and is expected to complete during the third quarter of 2026. Together with the Cardinal Data Power investment, the transaction demonstrates how infrastructure investors increasingly view AI-ready power assets as long-duration strategic investments rather than traditional real estate developments.
AI Infrastructure Investment Enters Its Next Phase
Capital allocation across the AI sector continues shifting toward companies that control both computing infrastructure and reliable energy supply. As GPU deployments become larger and enterprise AI adoption accelerates, developers capable of integrating power generation, transmission, and digital infrastructure are likely to attract increasing institutional investment. Empery Digital’s latest investment illustrates that evolution. Instead of focusing solely on software or semiconductor exposure, investors are now positioning themselves around the physical infrastructure that will determine how quickly AI capacity can scale over the coming decade.
