# Serenity Says Funding and Potential Approval Limits Could Favor Neocloud Incumbents

By John Kim

Canonical URL: https://www.tokenpost.com/news/business/52234
Published: 2026-11-09T11:05:26.000Z
Updated: 2026-11-09T11:05:26.000Z
Section: Business

> IREN re-contracted older H100 GPUs at twice their previous price. A five-year agreement includes a prepayment that can cover 90% of GPU capital spending.

Serenity said Nov. 8 that some newer cloud-computing providers, including NBIS, looked attractive after a sharp valuation decline, arguing that tighter financing and potential approval limits could favor established firms over new entrants.

The investor said providers may be better positioned when they have close ties to suppliers such as Nvidia, contracted capacity and necessary permits, well-funded partners, and access to equipment financing at reasonable costs. Serenity’s view centers on whether companies can secure the capital and approvals needed to build computing capacity as financing tightens.

Serenity pointed to IREN’s five-year agreement, which includes a prepayment that can cover 90% of GPU capital spending. It also cited IREN’s re-contracting of older H100 GPUs at twice their previous price. Serenity said the higher re-contracting price runs counter to some concerns about equipment depreciation.

For NBIS, Serenity cited a low-risk assessment of the company’s major projects in Missouri, Pennsylvania and South Carolina. Serenity said it was more concerned about new entrants that are just beginning to secure financing or permits. It argued that tighter financing and potential approval limits could strengthen the competitive position of providers already operating or building projects.