RUM Group, the parent company of the video platform Rumble, sold about two-thirds of its bitcoin holdings in the third quarter of 2026 as its recently acquired cloud-based AI operations deliv
RUM Group, the parent company of the video platform Rumble, sold about two-thirds of its bitcoin holdings in the third quarter of 2026 as its recently acquired cloud-based AI operations delivered a major boost to the company’s financial performance.
RUM Group disclosed that as of September 30, its bitcoin position had dropped to 94.68 bitcoin, valued at $7.9 million. Three months prior, the company’s treasury included 293.14 bitcoin, worth approximately $17.2 million at the end of June, indicating the sale of about 198 bitcoin representing a 68% reduction.
The company’s cash-flow statement showed that digital assets sales totaled $15.3 million for the first nine months of 2026, while during the same period in 2025, it had spent $19.1 million accumulating digital assets. No details were provided regarding the precise sale prices or the company’s specific motivations for the reduction.
The digital assets line item on RUM Group’s balance sheet fell to $11.1 million at quarter’s end, down from $18.5 million at the close of 2025. Cash reserves also declined significantly, with $134.4 million on hand at the end of September compared to $203.3 million at the end of June and $237.9 million at the end of the previous year.
RUM Group moved from buying to selling digital assets in 2026, shifting its focus to investments supporting its AI and cloud infrastructure operations.
Much of the quarter’s performance centered on Quake AI, the unit RUM Group built around German GPU operator Northern Data, acquired in June. Quake AI’s first full quarter contributed $68.2 million in revenue, making up over 70% of the group’s record high $96.6 million quarterly revenue—a 290% increase year-over-year. The unit operates around 22,000 Nvidia GPUs with about 85% capacity utilization.
The company posted an adjusted EBITDA of $4.4 million, marking its first profitable quarter on an adjusted basis. However, under Generally Accepted Accounting Principles (GAAP), RUM Group reported a loss of $89.9 million, primarily due to $85.2 million in amortization and depreciation. Executives stated around $39 million of that stemmed from increased valuation of Northern Data’s assets.
CEO Chris Pavlovski described Quake AI as the primary driver of RUM Group’s recent results, emphasizing that the company is generating “real cash” through operational AI workloads.
Pavlovski remarked, “Quake AI is now the engine of our business. We have real assets running real AI workloads for real customers and generating real cash.”
Rumble’s video segment grew at a slower pace, bringing in $28.4 million for the quarter, a 15% increase from a year earlier. However, its adjusted EBITDA loss widened to $12.1 million.
The company’s move mirrors a growing trend among firms that previously held substantial amounts of bitcoin. Rumble, traditionally viewed as bitcoin-friendly, launched a crypto wallet with Tether in January, enabling creators to receive payments in bitcoin.
Other companies, including Hyperscale Data, Keel, and MARA, have also liquidated all or significant portions of their bitcoin treasuries in recent months, often redeploying capital for AI or cloud computing initiatives. Bitcoin traded near $72,800 on Thursday, down from approximately $83,400 per coin near the end of September, implying RUM Group’s remaining bitcoin was valued at about $6.9 million at prevailing prices.
As more companies adjust their digital asset strategies, many investors are closely tracking reports of treasury shifts and sector pivots. Through real-time portfolio tracking and smart price alerts, CryptoAppsy provides users with up-to-the-minute monitoring of such rapid treasury changes—like those seen with RUM Group—and timely notifications on large balance movements or price swings relevant to top cryptocurrencies.
Looking ahead, RUM Group warned that some of the roughly 250 megawatts of unmonetized capacity it aimed to bring online in 2027 may be delayed due to changing market conditions. The company projected fourth-quarter revenue between $88 million and $94 million and has raised its stake in Northern Data to approximately 98%, with intentions to acquire full ownership by early 2027.
The post Rumble sells 68% of bitcoin holdings as AI unit drives first profitable quarter appeared first on COINTURK NEWS.
