Royalty Management Holding Corporation announced that its wholly owned subsidiary, The Vault Holdings Corporation, has filed a Form D with the SEC to begin a private capital round for expansion of its bitcoin, cryptocurrency, and digital strategy platform. The financing will be conducted at the subsidiary level, with proceeds used primarily to purchase cryptocurrency mining equipment and infrastructure at two initial sites in Marion and Noblesville, Indiana.
Management and existing investors in Royalty Management have committed to participate in the funding round, which will have no dilutive effects on the parent company's capitalization or shareholders. The Vault's strategy focuses on investing in and expanding holdings within the growing datacenter, artificial intelligence, and alternative currency mining sectors, with plans to generate revenue through multiple business lines.
According to Thomas Sauve, Chief Executive Officer of Royalty Management, "The Vault is able to work with the other adjacent industrial tenants to combine their energy use into one low-cost power contract, utilizing local incentives to negotiate more favorable energy rates that also result in local job creation and value for all parties under the energy contract." The company has secured low-cost industrial energy usage rates that incorporate economic riders alongside negotiated power contracts involving pooling energy usage with other companies.
The expansion initiative represents a consolidation of RMCO's various investments in the datacenter, AI, and alternative currencies space within one focused vehicle for growth and monetization. The two Indiana sites were selected based on comprehensive third-party studies identifying favorable electrical utility support, with existing structures and industrial outdoor storage features providing flexibility for deploying income-producing assets.
The Vault's business model includes three primary approaches: deploying its own servers and equipment to generate alternative currency income; leasing controlled assets to third parties for datacenter deployment in exchange for rental and royalty income; and acquiring additional properties and assets within the sector. More information about The Vault's operations can be found at https://www.thevaultholdings.com/.
This capital raise comes alongside Royalty Management's recent rare earth refining intellectual property partnership with ReElement, positioning the company to capitalize on targeted sector growth through low-cost cashflow generation. The private financing round represents a strategic move to expand infrastructure in emerging technology sectors while leveraging existing industrial relationships and favorable energy contracts in the Midwest region.
