Hyperscale Data sells 686 Bitcoin, repays $43.4 million Morpho loans

Hyperscale Data sold approximately 686 Bitcoin for about $43.4 million in August 2026 and used part of the proceeds to fully repay its Bitcoin-backed loans on Morpho, a decentralized lending protocol. The repayment released pledged collateral and left the company with no outstanding Morpho borrowings, removing its immediate collateral risk. However, Hyperscale's going-concern warning remained in place: the company said available liquidity was not expected to cover operating requirements, obligations and planned capital expenditures for the next 12 months. As of June 30, it had roughly $16 million in Morpho borrowings secured by cbBTC, with collateral carrying value of about $25.4 million, and had received another $31.6 million in aggregate net proceeds from Bitcoin-backed Morpho borrowing after the quarter. Hyperscale reported $36.8 million in cash and cash equivalents against $201.7 million in current liabilities, a $49.1 million consolidated net loss and $9.9 million in operating cash use during the first half of 2026. Its roughly 20-megawatt Michigan AI data-center deployment is expected to require more than $100 million over time, with timing and cost partly dependent on financing availability.

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