DMG Blockchain Solutions Signs MOU for Generative AI Data Center Acquisition
Brief news summary
DMG Blockchain Solutions Inc. has signed a memorandum of understanding (MOU) with an undisclosed partner to acquire a 10-megawatt prefabricated air-cooled data center (PDC) that meets Sensitive Compartmented Information Facility (SCIF) standards, essential for Generative Artificial Intelligence (Gen AI) initiatives. A definitive agreement is anticipated in the next 90 days, during which DMG will evaluate the PDC at its partner's site. The initial acquisition payment is set at $5 million, with further payments linked to revenue generated from Gen AI contracts. DMG's objective is to serve clients needing SCIF compliance, targeting federal and international organizations. The PDC will initially be devoid of power distribution and computing hardware, but these will be integrated later to facilitate revenue generation. CEO Sheldon Bennett highlighted that this partnership bolsters their Gen AI strategy by enabling swift deployment and enhancing credibility in the industry, which could lead to increased revenue through SCIF capabilities. Additional updates will be provided as negotiations continue.**Vancouver, British Columbia, Feb. 24, 2025 - DMG Blockchain Solutions Inc. (TSX-V: DMGI) (OTCQB: DMGGF) (FRANKFURT: 6AX)**—DMG Blockchain Solutions Inc. , a vertically integrated blockchain and data center technology firm, has signed a memorandum of understanding (MOU) with an undisclosed entity to acquire the infrastructure for a 10-megawatt air-cooled prefabricated data center (PDC) compliant with Sensitive Compartmented Information Facility (SCIF) requirements aimed at supporting Generative Artificial Intelligence (Gen AI) computation facilities. The parties will work towards a definitive agreement within 90 days, during which DMG will conduct due diligence following a preliminary site inspection. Upon finalizing the agreement, DMG will make a $5 million upfront payment, with additional costs tied to future Gen AI computing revenue from off-take agreements. These revenues could arise from GPUs purchased by DMG or customer-owned GPUs hosted at the facility.
DMG is actively pursuing off-take agreements with entities needing SCIF compliance, including government agencies and other relevant organizations, potentially extending beyond Canada. The PDC offers modularity, allowing deployment across multiple sites, but does not currently include medium-voltage power distribution, backup power systems, or essential computing infrastructure, all of which will need to be established before generating revenues. DMG’s CEO, Sheldon Bennett, emphasized that this MOU accelerates their entry into the Generative AI sector, enhancing credibility and enabling timely off-take agreements, particularly focusing on military-grade infrastructure demands for potential revenue maximization. **About DMG Blockchain Solutions Inc. ** DMG is a publicly traded blockchain and data center tech firm managing solutions for the digital asset and AI computing ecosystems. Its subsidiary, Systemic Trust Company, supports a carbon-neutral Bitcoin ecosystem for financial institutions. For more information, visit: [www. dmgblockchain. com](http://www. dmgblockchain. com). **Contact**: Sheldon Bennett, CEO & Director Tel: +1 (778) 300-5406 Email: investors@dmgblockchain. com *Forward-Looking Information Notice*: This release includes forward-looking statements based on current expectations, cautioning that actual results may differ due to various risks and uncertainties. Investors should not overly rely on these projections. For details on risks, refer to DMG's filings on [www. sedarplus. ca](http://www. sedarplus. ca).
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DMG Blockchain Solutions Signs MOU for Generative AI Data Center Acquisition
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