--- title: "Jane Street and Citadel each crossed 5% of Cipher Digital in the week it sold $850 million of 0% notes" description: "Cipher Digital sold $850 million of 0% convertible notes, and October 21 filings show Jane Street and Kenneth Griffin's Citadel entities each hold more than 5% of the stock, built during deal week. The counterparties to the miner-turned-AI-landlord's bet are now on record before the November 2 earnings print." publisher: "The Inference" section: "Data Center" published: 2026-10-22T18:07:48.688Z modified: 2026-10-22T18:07:48.688Z canonical: https://theinference.org/article/jane-street-and-citadel-each-crossed-5-of-cipher-digital-in-the-week-it-sold-850-million-of-0-notes language: en keywords: "Convertible Bonds, Schedule 13G, Cipher Digital, Jane Street, Citadel" --- # Jane Street and Citadel each crossed 5% of Cipher Digital in the week it sold $850 million of 0% notes > Cipher Digital sold $850 million of 0% convertible notes, and October 21 filings show Jane Street and Kenneth Griffin's Citadel entities each hold more than 5% of the stock, built during deal week. The counterparties to the miner-turned-AI-landlord's bet are now on record before the November 2 earnings print. [Cipher Digital](https://theinference.org/markets/companies/cipher-mining) sold $850 million of convertible notes at 0% interest, [pricing them on October 14 and settling on October 16](https://markets.businessinsider.com/news/stocks/cipher-digital-announces-pricing-of-private-offering-of-850-0-million-of-0-00-convertible-senior-notes-due-2032-and-concurrent-exchange-of-convertible-senior-notes-due-2030-1036625065), and filings released on October 21 name who stands on the other side of that trade: [Jane Street](https://theinference.org/markets/companies/jane-street) and Kenneth Griffin's Citadel entities, each reporting more than 5% of the stock. [1][3][6] The notes pay no regular interest and the principal does not accrete, which suggests the buyers expect their return from conversion into shares rather than from the coupon; the filings themselves do not state a motive. [6] Cipher Digital, the former bitcoin miner now converting itself into a landlord for AI data centers, set the conversion price at about $15.31, a 35% premium over the $11.34 close on October 13, the day the deal was announced. [6] Within days, [three Schedule 13Gs, the filings institutions use to report passive stakes of 5% or more](https://www.stocktitan.net/sec-filings/CIFR/schedule-13g-cipher-digital-inc-passive-investment-disclosure-5-302e99c608b4.html), put both houses on record. [1][3] ## The filings line up with deal week The timing is the tell. Jane Street's parent-level stake stood at 3.0% at the September 30 event date; by [its October 15 event date](https://www.stocktitan.net/sec-filings/CIFR/schedule-13g-a-cipher-digital-inc-amended-passive-investment-disclosu-4b03c0519ebe.html), the day before the notes settled, it reported 22,350,232 shares, 5.4%. [1][2] That is a build of roughly 9.85 million shares across the week the deal was proposed and priced [1][2]. Citadel's event date is October 14, the pricing day, with Kenneth Griffin, the head of Citadel, deemed to hold about 22.9 million shares, 5.5%. [3] All reported positions are as of the October 21 market open; the event dates mark when the positions crossed the reporting threshold, not when they were measured. [1][3] [The Citadel filing also states](https://www.stocktitan.net/sec-filings/CIFR/schedule-13g-cipher-digital-inc-passive-investment-disclosure-5-8e21971cccdc.html) the shares may include instruments exercisable for or convertible into shares. [3] These are passive filings, not control bids; what they record is the financing trade. *Chart: **Jane Street's stake grew from 3.0% to 5.4% in the two weeks before the notes issued** Bars comparing reported Cipher Digital stakes: Jane Street 5.4 percent as of October 15, Kenneth Griffin 5.5 percent, Citadel Securities Group LP and GP LLC 5.5 percent each, Citadel Securities LLC 4.3 percent, and Jane Street's prior 3.0 percent as of September 30.* *Beneficial ownership of CIFR common stock as reported on Schedule 13G filings accepted October 21, 2026; holdings as of the October 21 market open. Jane Street's figures are the parent-level aggregate, so the Sep 30 to Oct 15 comparison is like-for-like. Citadel entity positions overlap and are not additive. Sources: SEC filings via Stock Titan [1][2][3]. [1][2][3]* ## The bet is on rent that has not arrived yet The bet is on rent, not the business as reported. Cipher Digital's [revenue fell to $24.8 million last quarter](https://www.trefis.com/stock/cifr/articles/619688/should-you-wait-before-buying-cipher-digital-stock/2026-10-21) and the stock has lost 63.7% in three months. [5] What holders are positioned for is the roughly $793 million of average annualized net operating income management says its three campus leases should generate over ten years, with the first Black Pearl capacity delivered ahead of schedule in August and [Barber Lake's first rent expected to begin in the fourth quarter](https://theinference.org/article/cipher-s-first-barber-lake-rent-decides-between-wells-fargo-s-25-and-morgan-stanley-s-51-50). [5][7] The new notes' proceeds go largely to that build: about $89.7 million to capped calls that limit dilution, with the rest to the Barber Lake equity commitment and the wider HPC pipeline. [6] The conversion price of about $15.31 sits well above a stock that has since fallen further, so the notes only pay if the recovery is real. [6] The dilution is priced in advance: a 0% yield means shareholders fund the carry, and a concurrent exchange of $165.9 million of the 2030 notes already put about 40.7 million new shares into the float. [6] ## The November 2 print decides whose read pays [The fiscal Q3 print, due before markets open on Monday, November 2](https://investors.cipherdigital.com/news-events/press-releases), is the test. [4] If Barber Lake rent starts on schedule and Black Pearl ramps, Jane Street and Citadel sit on the recovery they financed. If it slips, the dilution lands on everyone else. Either way, the counterparties are now on the record, and that is worth more to a deciding investor than another price target. ## Takeaway The institutions that bought Cipher Digital's $850 million of 0% converts are now named in 13G filings: Jane Street at 5.4% and Citadel entities at about 5.5%. Their bet is on the roughly $793 million of annualized campus NOI the November 2 print must start proving out. ## Sources 1. [Stock Titan, Cipher Digital: Jane Street reports 5.4% passive stake (Schedule 13G), 21 October 2026](https://www.stocktitan.net/sec-filings/CIFR/schedule-13g-cipher-digital-inc-passive-investment-disclosure-5-302e99c608b4.html) 2. [Stock Titan, Cipher Digital: Jane Street reports 3% passive stake (Schedule 13G/A, Amendment No. 2), 21 October 2026](https://www.stocktitan.net/sec-filings/CIFR/schedule-13g-a-cipher-digital-inc-amended-passive-investment-disclosu-4b03c0519ebe.html) 3. [Stock Titan, Cipher Digital: Kenneth Griffin may be deemed to own 5.5% (Schedule 13G), 21 October 2026](https://www.stocktitan.net/sec-filings/CIFR/schedule-13g-cipher-digital-inc-passive-investment-disclosure-5-8e21971cccdc.html) 4. [Cipher Digital Inc. investor relations, Press Releases: Third Quarter 2026 Business Update scheduled before market open on November 2, 2026 (announced 20 October 2026)](https://investors.cipherdigital.com/news-events/press-releases) 5. [Trefis, Should You Wait Before Buying Cipher Digital Stock?, 21 October 2026](https://www.trefis.com/stock/cifr/articles/619688/should-you-wait-before-buying-cipher-digital-stock/2026-10-21) 6. [GlobeNewswire via Markets Insider, Cipher Digital Announces Pricing of Private Offering of $850.0 Million of 0.00% Convertible Senior Notes Due 2032 and Concurrent Exchange of Convertible Senior Notes Due 2030, 14 October 2026](https://markets.businessinsider.com/news/stocks/cipher-digital-announces-pricing-of-private-offering-of-850-0-million-of-0-00-convertible-senior-notes-due-2032-and-concurrent-exchange-of-convertible-senior-notes-due-2030-1036625065) 7. [GlobeNewswire via Markets Insider, Cipher Digital Expands Barber Lake Lease Term to 20 Years, Increasing Revenue to Over $9 Billion, 25 September 2026](https://markets.businessinsider.com/news/stocks/cipher-digital-expands-barber-lake-lease-term-to-20-years-increasing-revenue-to-over-9-billion-1036574024) --- Jane Street and Citadel each crossed 5% of Cipher Digital in the week it sold $850 million of 0% notes — The Inference. Canonical: https://theinference.org/article/jane-street-and-citadel-each-crossed-5-of-cipher-digital-in-the-week-it-sold-850-million-of-0-notes