{{Short description|American bitcoin mining company}} {{Infobox company | name = TeraWulf Inc. | logo = | logo_size = | logo_alt = | logo_caption = | image = | image_size = | image_alt = | image_caption = | trade_name = {{NASDAQ|WULF}} | former_name = | type = Public | industry = Cryptocurrency mining | founded = {{start date and age|2021|01}} | founder = {{ubl|Paul B. Prager|Nazar Khan}} | hq_location = 9 Federal Street, Easton, Maryland | hq_location_city = | hq_location_country = United States | locations = | area_served = | key_people = {{ubl|Paul B. Prager (Chairman & CEO)|Nazar Khan (COO)}} | products = | services = Bitcoin mining | revenue = | operating_income = | net_income = | assets = | equity = | num_employees = | parent = | divisions = | subsid = | homepage = {{URL|https://www.terawulf.com/}} | footnotes = }}
'''TeraWulf Inc.''' is an American bitcoin mining company. Founded in 2021 and publicly listed on Nasdaq under the ticker WULF, it operates mining facilities in New York and Pennsylvania.
== History == TeraWulf Inc. was incorporated in January 2021 by Paul Prager and Nazar Khan, both of whom have backgrounds in the energy sector through Prager's private firm, Beowulf Energy LLC. Paul Prager serves as chairman and CEO, and Nazar Khan as COO. The company was established to develop and operate data center infrastructure for Bitcoin mining.{{Citation needed|date=April 2026}} TeraWulf is involved in constructing and operating large-scale data centers equipped with computers (miners) that solve complex mathematical problems to validate transactions on the Bitcoin network and earn new Bitcoin as a reward.<ref>{{Cite web |title=Bitcoin miner TeraWulf CFO targets AI-driven data centers {{!}} CFO Dive |url=https://www.cfodive.com/news/bitcoin-miner-terawulf-cfo-targets-ai-driven-data-centers/725014/ |access-date=2025-12-17 |website=www.cfodive.com |language=en-US}}</ref> These mining facilities are in New York and Pennsylvania, including the Lake Mariner site, with a focus on scaling its computational capacity and energy infrastructure.<ref>{{Cite web |title=TeraWulf (WULF) Valuation Check After Bitcoin Slide, Share Dilution and AI Data Center Transition Concerns - Simply Wall St News |url=https://simplywall.st/stocks/us/software/nasdaq-wulf/terawulf/news/terawulf-wulf-valuation-check-after-bitcoin-slide-share-dilu/amp |access-date=2025-12-17 |website=simplywall.st}}</ref><ref>{{Cite web |last=Report |first=Staff |date=2025-12-17 |title=TeraWulf defends data center as 'research' amid zoning fight |url=https://www.fingerlakes1.com/2025/12/17/terawulf-defends-data-center-as-research-amid-zoning-fight/ |access-date=2025-12-17 |website=Fingerlakes1.com |language=en-US}}</ref> In February 2026, TeraWulf Inc., announced it will purchase and redevelop the former Century Aluminum Company's smelter site, in Hawesville, Kentucky, with more than 250 buildable acres, into a digital infrastructure campus supporting high-performance computing and artificial intelligence workloads. Century Aluminum will retain a non-controlling minority equity stake in the development. A second site was purchased in Morgantown, Maryland.<ref>{{cite web|url= https://centuryaluminum.com/investors/press-releases/press-release-details/2026/New-Digital-Infrastructure-Campus-to-Be-Built-at-Hawesville/default.aspx |title= New Digital Infrastructure Campus to Be Built at Hawesville| publisher= Century Aluminum |date=February 2, 2026}}</ref><ref>{{cite web|url= https://investors.terawulf.com/news-events/press-releases/detail/129/terawulf-expands-digital-and-power-infrastructure-portfolio |title= TeraWulf Expands Digital and Power Infrastructure Portfolio with Strategic Acquisitions in Kentucky and Maryland| publisher=TeraWulf Inc |date=February 2, 2026}}</ref><ref>{{cite web|url= https://www.lpm.org/2026-02-04/data-center-developer-purchases-former-western-kentucky-aluminum-smelter |title= Data center developer purchases former western Kentucky aluminum smelter| publisher= Louisville Public Media|date=February 4, 2026}}</ref>
In December 2021, TeraWulf became publicly traded on the Nasdaq under the ticker symbol WULF through a reverse merger with Ikonics Corporation, a special purpose acquisition company.<ref name=":0">{{Cite web |last=Research |first=Grizzly |date=2024-08-15 |title=Beware of TeraWulf: We Believe the Company is a Charade to Enrich Insiders at the Cost of Investors and Backed by Notorious Pump and Dump Artists – Grizzly Research LLC |url=https://grizzlyreports.com/beware-of-terawulf-we-believe-the-company-is-a-charade-to-enrich-insiders-at-the-cost-of-investors-and-backed-by-notorious-pump-and-dump-artists/ |access-date=2025-12-17 |language=en-US}}</ref><ref name=":2">{{Cite web |last=Hase |first=Michael |date=2025-12-17 |title=Unearthing TeraWulf: Legal Storms and Damning Allegations Rock "Zero-Carbon" Bitcoin Miner |url=https://caretakernewsnow.com/unearthing-terawulf-legal-storms-and-damning-allegations-rock-zero-carbon-bitcoin-miner/ |access-date=2025-12-17 |website=CareTaker News Now |language=en-US}}</ref> Following its public listing, the company pursued expansion through a series of capital raises, including the issuance of convertible debt, preferred stock, and at-the-market (ATM) offerings of common stock.{{Citation needed|date=April 2026}}
In June 2022, TeraWulf entered into a standby equity purchase agreement with an affiliate of Yorkville Advisors, allowing the company to sell up to $50 million of its common stock over time.<ref>{{Cite web |title=STANDBY EQUITY PURCHASE AGREEMENT |url=https://www.sec.gov/Archives/edgar/data/1083301/000108330122000006/wulf-20220602xex1d1.htm |access-date=2025-12-17 |website=www.sec.gov}}</ref> The proceeds from these financings were used to support the development of its mining facilities and the acquisition of mining equipment.<ref>{{Cite web |last=Harris |first=William |date=2022-07-05 |title=TeraWulf Closes $50 Million Loan Facility |url=https://www.citybiz.co/article/288118/terawulf-closes-50-million-loan-facility/ |access-date=2025-12-17 |website=citybiz |language=en-US}}</ref><ref>{{Cite web |title=TeraWulf Inc. Faces Strategic Uncertainties Amid Mixed Performance |url=https://stockstotrade.com/terawulf-inc-wulf-news-2025_12_12/ |access-date=2025-12-17 |website=stockstotrade.com |language=en}}</ref><ref name=":1">{{Cite web |last=Hunterbrook |title=Coal, Crypto, and False Branding: Inside TeraWulf's Greenwashing Machine |url=https://newsletter.hntrbrk.com/p/coal-crypto-and-false-branding-inside |access-date=2025-12-17 |website=newsletter.hntrbrk.com |language=en}}</ref>
== Controversies and allegations ==
=== "Zero-carbon" and greenwashing allegations === One of TeraWulf's principal pillars to investors is its claim to be a "zero-carbon Bitcoin miner". In August 2024, an investigative report by Hunterbrook Media challenged these claims.<ref name=":1"/> The report alleged that TeraWulf could not legally substantiate its renewable energy claims without purchasing Renewable Energy Credits (RECs), which it had not done.<ref>{{Cite web |last=LLP |first=Pomerantz |date=2024-09-29 |title=SHAREHOLDER ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of TeraWulf Inc. - WULF |url=https://www.accessnewswire.com/newsroom/en/business-and-professional-services/shareholder-alert-pomerantz-law-firm-investigates-claims-on-behal-924983 |access-date=2025-12-17 |website=ACCESSWIRE Newsroom}}</ref> Prager's energy company, Beowulf Energy LLC, has a history in fossil fuels. In 2020, it revived a struggling coal plant in Hardin, Montana, to provide power for a Bitcoin mining operation for Marathon Digital Holdings. This project was cited by Hunterbrook as contradicting TeraWulf's narrative of a pure "zero-carbon" heritage.<ref name=":2" />
=== Related-party transactions and self-dealing === TeraWulf has faced scrutiny for its financial transactions with entities linked to its CEO, Paul Prager, with critical reports from firms like Grizzly Research alleging these dealings have transferred value from shareholders to corporate insiders.<ref name=":0" /> (Beowulf E&D), a company owned by Prager, entered into a multi-year "Administrative and Infrastructure Services Agreement" with Beowulf E&D, under which Beowulf provides a wide range of services, including construction, engineering, operations, maintenance, and corporate functions. In 2023 alone, TeraWulf paid $20.3 million in management and service fees to Beowulf E&D. This accounted for approximately 38% of TeraWulf's total operating and administrative expenses that year.<ref name=":1" />
=== Lake Mariner Lease === TeraWulf leases the land for its flagship Lake Mariner facility from Somerset Operating Company LLC, another entity 99.9% owned by Prager. In addition to rent, TeraWulf issued 8.5 million shares to this entity in 2022 as part of a lease amendment—a payment valued at the time at $11.5 million, which critics argued was vastly disproportionate to the original lease terms.<ref name=":0" />
=== Ties to Past Stock Promotion Scandals === TeraWulf's second-largest shareholder was reportedly an entity controlled by Bryan Pascual, who was implicated in helping Riot Blockchain's management hide related-party transactions in 2018.<ref>{{Cite web |last=Research |first=Grizzly |date=2024-08-15 |title=Beware of TeraWulf: We Believe the Company is a Charade to Enrich Insiders at the Cost of Investors and Backed by Notorious Pump and Dump Artists – Grizzly Research LLC |url=https://grizzlyreports.com/beware-of-terawulf-we-believe-the-company-is-a-charade-to-enrich-insiders-at-the-cost-of-investors-and-backed-by-notorious-pump-and-dump-artists/ |access-date=2026-05-30 |language=en-US}}</ref> Its third-largest shareholder was an entity controlled by the wife of John O'Rourke, the former CEO of Riot Blockchain, who was charged by the SEC for his role in a $27 million market manipulation scheme.<ref name=":0" />
John O'Rourke has been reported to have deep ties with stock promoter Barry Honig, who was subsequently barred by the SEC from participating in penny stock offerings. O'Rourke was reportedly instrumental in arranging several of TeraWulf's early financings.<ref name=":0" />
== References == {{Reflist}}
Category:Companies listed on Nasdaq exchanges Category:Financial services companies established in 2021 Category:Companies based in Maryland Category:Cryptocurrency companies Category:2021 establishments in Maryland