AlphaTON Capital Secures $82.5 Million Strategic GPU Infrastructure to Power Privacy-First Decentralized Artificial Intelligence Cluster after Successful Pilot Launch of Telegram’s Cocoon AI

Rhea-AI Summary

AlphaTON Capital (Nasdaq: ATON) announced agreements to acquire and deploy a 1,000+ Nvidia B200 GPU compute cluster as a revenue-generating asset, funded by approximately $30M equity and $52.5M debt, for total project capitalization of about $82.5M. The company says $70M of Nvidia hardware will be added to the balance sheet and the debt facility is amortized over 36 months.

AlphaTON reported a successful pilot of Telegram’s Cocoon AI on Nov 25, 2025 and plans dual revenue from priority Cocoon workloads and external GPU rentals via CUDO Compute. Management published model metrics including a projected IRR 59.7%, NPV $59.6M, ROI 615%, 90% target utilization, and EBITDA margins of 64–73% over five years.

Positive

• $70M Nvidia hardware added to balance sheet
• Total project capitalization of $82.5M
• Successful Cocoon AI pilot on Nov 25, 2025
• Projected IRR 59.7% and NPV $59.6M

Negative

• $52.5M debt facility amortized over 36 months
• Revenue model assumes 90% utilization target
• Financials assume 20% first-year price compression

News Market Reaction

-12.56% 4.7x vol

17 alerts

-12.56% News Effect

+38.3% Peak Tracked

-10.3% Trough Tracked

-$2M Valuation Impact

$14M Market Cap

4.7x Rel. Volume

On the day this news was published, ATON declined 12.56%, reflecting a significant negative market reaction. Argus tracked a peak move of +38.3% during that session. Argus tracked a trough of -10.3% from its starting point during tracking. Our momentum scanner triggered 17 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $2M from the company's valuation, bringing the market cap to $14M at that time. Trading volume was very high at 4.7x the daily average, suggesting heavy selling pressure.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Nvidia hardware added: $70M Digital asset treasury: $27M Total assets: $97M +5 more

8 metrics

Nvidia hardware added $70M Nvidia GPUs added to AlphaTON balance sheet

Digital asset treasury $27M Digital asset treasury contributing to $97M total assets

Total assets $97M Post-transaction total assets cited in release

Project capitalization $82.5M Total capitalization including working capital and deployment costs

Equity / Debt split $30M equity, $52.5M debt Financing structure for 1,000+ GPU cluster

Debt amortization 36 months GPU financing facility to be fully amortized over 36 months

Projected IRR 59.7% Project-level internal rate of return from financial model

Projected total cash $150M Total cash returned over 5-year projection

Market Reality Check

Price: $0.6609 Vol: Volume 619,921 is below 2...

low vol

$0.6609 Last Close

Volume Volume 619,921 is below 20-day average 2,265,237 (relative volume 0.27) ahead of this AI infrastructure update. low

Technical Shares at $1.41 are trading below the $4.69 200-day moving average and sit 89.78% under the 52-week high.

Peers on Argus

Peers in Asset Management show mixed moves: EQS up 0.45%, RMCO up 2.1%, while BC...

Peers in Asset Management show mixed moves: EQS up 0.45%, RMCO up 2.1%, while BCG is down 11.54%. With ATON down 2.08% and no peers in the momentum scanner, trading appears stock-specific rather than a broad sector rotation.

Historical Context

5 past events · Latest: Dec 09 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 09	Investor outreach	Positive	-4.5%	CEO promoted 2026 roadmap and Cocoon AI at Abu Dhabi finance events.
Dec 08	AI infrastructure	Positive	+6.7%	First NVIDIA H200 GPUs went live on Cocoon AI with #OwnYourNode launch.
Dec 05	Investor AMA event	Positive	-4.1%	Announced inaugural technical AMA to unveil 2026 roadmap and product plans.
Dec 04	Shelf registration	Negative	+8.2%	Filed <b>$420.69M</b> shelf to fund GPU/AI expansion and M&A activities.
Dec 01	AI deployment	Positive	-9.5%	Deployed first fleet of Nvidia B200 GPUs to Telegram’s Cocoon AI network.

Pattern Detected

Recent ATON news has mostly been positive AI/infrastructure or promotional updates, yet price reactions often diverged, with several selloffs or muted moves following seemingly upbeat Cocoon AI and roadmap announcements.

Recent Company History

Over early Dec 2025, AlphaTON issued a string of Cocoon AI and infrastructure updates. It successfully deployed Nvidia B200 GPUs to Telegram’s network and later activated H200 GPUs plus an #OwnYourNode program, framing these as new revenue streams. Concurrently, it filed a $420.69M shelf to fund GPU/AI expansion and promoted its 2026 roadmap via an AMA and global tour. Today’s large GPU financing and Cocoon pilot build directly on this rapid AI‑infrastructure rollout.

Regulatory & Risk Context

Active S-3 Shelf

Shelf Active

Active S-3 Shelf Registration 2025-11-06

An active Form F-3 shelf dated Nov 6, 2025 registers up to 189,719 ordinary shares for resale by a selling shareholder; AlphaTON does not receive proceeds from those sales. The shelf has seen at least one usage via a 424B5 supplement on Nov 25, 2025, indicating an operational capital markets framework alongside today’s hardware-backed debt and equity financing.

Market Pulse Summary

The stock dropped -12.6% in the session following this news. A negative reaction despite bullish pro...

Analysis

The stock dropped -12.6% in the session following this news. A negative reaction despite bullish projections could fit the pattern where prior positive AI and GPU announcements saw weak or adverse moves. Investors have previously faced volatility after Cocoon-related updates and a large shelf filing. With leverage tied to $52.5M in debt and ambitious IRR of 59.7%, execution risk on utilization, margins, and timely amortization over 36 months represents a key pressure point.

Key Terms

gpu, debt financing, debt service coverage ratios, ebitda margin, +4 more

8 terms

gpu technical

"This Deal adds $70M of Nvidia GPUs to AlphaTON’s Balance Sheet..."

A GPU (graphics processing unit) is a specialized computer chip designed to handle many calculations at once, originally for rendering images and video but now widely used for tasks like artificial intelligence, data analysis and high-performance computing. Investors watch GPU demand and prices because strong sales often signal growth for chip makers and their customers, affect profit margins and capital spending, and can forecast wider trends in gaming, AI adoption and cloud services.

debt financing financial

"$52.5 million in debt financing to be facilitated by Vertical Data’s GPU Financing division"

Debt financing is the process of raising money by borrowing it from lenders, which must be paid back over time with interest. It is like taking a loan to fund a project or investment, allowing a business or individual to access funds immediately while agreeing to repay the amount borrowed later. For investors, understanding debt financing helps assess how a company funds its operations and manages financial risk.

debt service coverage ratios financial

"maintaining debt service coverage ratios above 1.0x throughout the amortization schedule"

Measures how easily a borrower or business can pay its scheduled debt obligations from the cash it generates, calculated by comparing available cash for debt payments to the actual principal and interest due. Investors use these ratios to gauge credit risk and the likelihood that a company can continue operations, pay creditors and fund dividends—think of it like checking how many months of take-home pay cover your mortgage and bills.

ebitda margin financial

"The financial Model demonstrates consistent EBITDA margin ranging from 64-73%..."

EBITDA margin is the share of each dollar of sales that a company keeps as operating cash profit before interest, taxes, and accounting for equipment wear and long-term investments. Think of it like the cash a store has left from every sale after paying day-to-day running costs but before paying rent, loan interest or replacing old machinery. Investors use it to compare core profitability and operational efficiency across companies by removing financing and accounting differences.

irr financial

"Projected IRR: 59.7%Projected NPV: $59.6 million..."

IRR (Internal Rate of Return) is the annualized percentage return an investment is expected to produce based on its projected series of cash outflows and inflows; mathematically, it’s the rate that makes the present value of those cash flows balance to zero. Investors use IRR to compare and rank projects or investments—similar to comparing the interest rates on savings accounts—to judge which offers the best return for the time and risk involved.

npv financial

"Projected IRR: 59.7%Projected NPV: $59.6 million..."

Net Present Value (NPV) is a way to measure how much a future stream of money is worth today. It helps investors decide whether an investment is worthwhile by comparing the current value of expected earnings to its initial cost. A positive NPV suggests the investment could generate profit, making it a key tool for evaluating financial decisions.

roi financial

"Projected Equity Multiply: 5xProjected ROI: 615%Projected Total Cash returned..."

Return on investment (ROI) measures how much money an investor makes or loses relative to the amount they put in, expressed as a percentage. It helps compare the efficiency of different investments—like checking which of several gardens produced the most fruit for the seeds planted—so investors can decide which opportunities deliver the best payoff for the risk and capital they commit.

utilisation technical

"The cluster will operate at 90% target utilization, serving dual revenue streams..."

Utilisation measures how much of a company’s available capacity or resources is being used — for example production lines, hospital beds, cloud servers, or a sales team’s time. It matters to investors because high utilisation can signal efficient use of assets and stronger revenue potential, while persistently low or overfull utilisation can indicate wasted capacity or bottlenecks that hurt profitability and growth. Think of it like the occupancy rate of a hotel: too empty wastes money, too full strains service.

AI-generated analysis. Not financial advice.

This Deal adds $70M of Nvidia GPUs to AlphaTON’s Balance Sheet, combining with the $27M Digital Asset Treasury to total $97M in Total Assets.

Dover, DE, Nov. 26, 2025 (GLOBE NEWSWIRE) -- AlphaTON Capital Corp. (Nasdaq: ATON) ("AlphaTON" or the "Company"), a digital asset technology company focused on the Telegram and TON ecosystem, today announced it has entered into agreements to acquire and deploy a 1,000+ Nvidia B200 GPU high-performance compute cluster valued at approximately $68 million. This strategic infrastructure investment positions AlphaTON as a critical compute provider for Telegram’s Cocoon AI - the world’s largest decentralized, privacy-preserving artificial intelligence network, while creating a diversified revenue stream through high-performance compute and GPU rental services.

TRANSACTION STRUCTURE AND FINANCING

The transaction will be financed through a strategic capital structure consisting of:

• $30 million in equity capital from AlphaTON Capital Corp.
• $52.5 million in debt financing to be facilitated by Vertical Data’s GPU Financing division
• Total project capitalization of approximately $82.5 million (includes additional working capital and deployment costs)
• Total of $70M of high-value Nvidia hardware assets added to the balance sheet

The debt facility facilitated by Vertical Data to be fully amortized over 36 months, with the project maintaining debt service coverage ratios above 1.0x throughout the amortization schedule. The compute cluster will be held as a revenue-generating hard asset on AlphaTON's balance sheet.

STRATEGIC INFRASTRUCTURE PARTNERSHIP

AlphaTON has assembled a consortium of best-in-class infrastructure partners to deploy and operate the GPU cluster:
CUDO Compute – A leading European NVIDIA Cloud Partner (NCP), will serve as the primary deployment and operations partner for the GPU infrastructure. CUDO will lead cluster installation, orchestration, workload management and lifecycle operations, while also providing the commercialization engine through its GPU marketplace and AI services platform. CUDO’s operational stack ensures production-grade uptime, enterprise-grade telemetry and scalable multi-tenant governance across the full cluster.

SNET Energy UK Ltd – Providing expertise in sustainable-power data center development and AI infrastructure optimization, SNET Energy's involvement ensures technical excellence and alignment with decentralized AI principles.

Vertical Data – Beyond debt financing, Vertical Data will provide the GPU cluster and deployment services, and hardware sourcing.

HARDWARE SPECIFICATIONS AND CAPABILITIES

The compute cluster will feature 1,000+ Nvidia B200-class GPUs, representing cutting-edge AI inference and training capabilities. The infrastructure is designed with a modular, upgradable architecture to accommodate rapid evolution in AI hardware and model architectures. The cluster will operate at 90% target utilization, serving dual revenue streams:

1. Dedicated Workloads for Cocoon AI – Priority allocation for Telegram/Cocoon AI's proprietary, privacy-preserving AI network
2. External GPU Rentals – Monetization through CUDO Compute's marketplace, initially for bare metal compute and progressively for AI services

COMPELLING PROJECTED PROJECT ECONOMICS

The investment presents institutional-grade returns with strong downside protection:

• Projected IRR: 59.7%
• Projected NPV: $59.6 million
• Projected Equity Multiply: 5x
• Projected ROI: 615%
• Projected Total Cash returned (5-year projection): $150 million

Revenue projections incorporate conservative assumptions, including 20% annual price compression in the first year and 10% in the following years, 90% utilisation rates, and comprehensive operating cost inflation. The financial Model demonstrates consistent EBITDA margin ranging from 64-73% over five year forecast horizon, with Year 1 gross profit margins of 32%

SUCCESSFUL PILOT LAUNCHED ON NOVEMBER 25, 2025

AlphaTON Capital announced the successful completion of a landmark pilot program utilizing Telegram’s innovative Cocoon AI infrastructure, a milestone made possible through a strategic collaboration that granted the firm early access. "Our strategic partnership with Telegram and Cocoon provided early access to the technology, and we successfully launched a Cocoon pilot on November 25, 2025," said  Logan Golema, CTO of AlphaTON Capital. "Following this validation, we are now going to deploy the technology into our secure and decentralized AI hosting infrastructure to further enhance our network's scalability and performance."

STRATEGIC RATIONALE

Democratizing AI with “AI For Good”

As Artificial Intelligence becomes increasingly centralized among a few global technology giants, AlphaTON is committed to an “AI For Good” mandate. This initiative prioritizes ethical access, user data sovereignty, and environmental responsibility. By supporting Cocoon, AlphaTON is helping to build a sovereign compute layer where user data remains encrypted and private, and where content rights are respected—a direct alternative to the surveillance-capitalism models prevalent in the industry today.

“We believe the future of AI must be decentralized, private, and accessible to all, not hoarded within the walled gardens of Big Tech,” said Brittany Kaiser, Chief Executive Officer of AlphaTON Capital. “This investment is not just about hardware; it is a commitment to ethical infrastructure. By powering Project Cocoon, we are giving Telegram’s nearly one billion users access to AI tools that respect their privacy and freedom, while ensuring our investors have direct exposure to the most valuable asset class of the next decade: sovereign compute.”

ALIGNMENT WITH COCOON AI'S DECENTRALIZED VISION

Cocoon AI, leveraging Telegram's 1 billion+ monthly active user base, is building a privacy-first alternative to centralized AI services dominated by Meta, Google, Amazon, and Microsoft/OpenAI. Cocoon's approach—running AI models on decentralized infrastructure with user data sovereignty—requires compute resources that are not owned, monitored, or controlled by Big Tech competitors.

AlphaTON's GPU cluster provides Cocoon AI with:

• Guaranteed Performance and Uptime – Dedicated capacity free from cloud provider throttling or resource contention
• Data Sovereignty – Complete control over data boundaries, ensuring user privacy is architecturally protected
• Infrastructure Independence – Freedom from platform risk and competitive intelligence exposure inherent in Big Tech cloud services
• Economic Value Capture – Direct ownership eliminates cloud intermediary margins, improving unit economics

DEPLOYMENT TIMELINE AND COMMERCIAL MILESTONES

1. Q4 2025: Transaction close, establishment of asset holding structure, Cocoon AI testing and launch on first fleet of machines
2. Q1 2026: Hardware delivery, validation of workloads, performance benchmarking, security audits, and soft launch for Cocoon AI inference
3. Q2 2026: Implementation of full Cocoon AI workloads; expansion of cluster orchestration capabilities; Planned expansion with 2-4 additional clusters, subject to market conditions and initial performance validation

MARKET CONTEXT AND COMPETITIVE POSITIONING

The investment comes at an inflection point in AI infrastructure markets. According to McKinsey analysis, data center AI workload capacity will grow 3.5x between 2025 and 2030, adding 124 gigawatts of incremental capacity. However, value capture is heavily skewed toward technology and chipmakers (60% of spending) versus real estate (15%) and power (25%). AlphaTON's model captures hardware asset appreciation while generating recurring rental revenue, positioning across multiple value pools.

The U.S. government's unprecedented 10% equity stake in Intel and the characterization of AI infrastructure as "buyer of last resort" by federal policymakers signal systematic support for the sector. As Google CEO Sundar Pichai stated to the BBC, an AI infrastructure bubble burst would represent "a total market contagion event," effectively designating the sector as too integral to fail.

About AlphaTON Capital Corp. (Nasdaq: ATON)

AlphaTON Capital is a specialized digital asset company focused on developing the Telegram ecosystem and managing a strategic reserve of TON tokens. The Company implements a comprehensive M&A and treasury strategy that combines direct token acquisition, validator operations, and strategic ecosystem investments to generate sustainable returns for shareholders. Through its operations, AlphaTON Capital provides public market investors with institutional-grade exposure to the TON ecosystem and Telegram's billion-user platform while maintaining the governance standards and reporting transparency of a Nasdaq-listed company. Led by Chief Executive Officer Brittany Kaiser, Executive Chairman and Chief Investment Officer Enzo Villani, and Chief Business Development Officer Yury Mitin, the Company's activities span network validation and staking operations, development of Telegram-based applications, and strategic investments in TON-based decentralized finance protocols, gaming platforms, and business applications.

AlphaTON Capital Corp is incorporated in the British Virgin Islands and trades on Nasdaq under the ticker symbol "ATON". AlphaTON Capital, through its legacy business, is also advancing potentially first-in-class therapies that target known checkpoint resistance pathways to potentially achieve durable treatment response and improve quality of life for patients. AlphaTON Capital actively engages in the drug development process and provides strategic counsel to guide development of novel immunotherapy assets and asset combinations. To learn more, please visit https://alphatoncapital.com/.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to future events or AlphaTON's future financial performance and involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied by these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, the development and adoption of AI technologies, cryptocurrency market volatility, regulatory developments, technical challenges in infrastructure deployment, and general economic conditions. AlphaTON undertakes no obligation to update any forward-looking statements, except as required by law.

Investor Relations:
AlphaTON Capital Corp
AlphaTON@icrinc.com
(203) 682-8200

Media Inquiries:
Richard Laermer
RLM PR
AlphaTON@rlmpr.com
(212) 741-5106 X 216

Richard Laermer
AlphaTON (at) rlmpr.com

FAQ

What did AlphaTON announce on November 26, 2025 regarding GPU infrastructure for ATON?

AlphaTON announced agreements to acquire and deploy a 1,000+ Nvidia B200 GPU cluster with ~$82.5M total capitalization funded by $30M equity and $52.5M debt.

How much Nvidia hardware will AlphaTON add to its balance sheet (ATON)?

AlphaTON said it will add approximately $70M of Nvidia hardware assets to the balance sheet.

What financing terms did AlphaTON disclose for the GPU project (ATON)?

The project is financed with $30M equity and a $52.5M debt facility that is fully amortized over 36 months.

What commercial use cases did AlphaTON list for the new GPU cluster (ATON)?

AlphaTON plans priority capacity for Telegram’s Cocoon AI and external GPU rentals via CUDO Compute’s marketplace.

What financial projections did AlphaTON publish for the GPU investment (ATON)?

Reported model metrics include a projected IRR 59.7%, NPV $59.6M, ROI 615%, and EBITDA margins of 64–73% over five years.

When did AlphaTON complete the Cocoon AI pilot and what is the next milestone (ATON)?

AlphaTON completed a Cocoon AI pilot on Nov 25, 2025; Q1 2026 milestones include hardware delivery, validation, and security audits.