Thanks to the high energy capacity and infrastructure, two-thirds of the facility is now used for artificial intelligence (AI) and high-performance computing (HPC) activities. The facility, which was once considered the “temple” of Bitcoin, is being converted into an AI factory.
Bitcoin machines are disappearing, GPUs are coming
This transformation is not limited to a single company. In the last 18 months, at least nine publicly traded Bitcoin mining companies, including Bitfarms, Core Scientific, Riot, IREN, TeraWulf, CleanSpark, Bit Digital, MARA Holdings and Cipher Mining, have announced that they will shift all or a significant portion of their operations to AI services.
The reason is simple: the AI industry requires huge data centers and infrastructure that can handle very high energy consumption. The systems that Bitcoin miners have been building for years are perfect for this.
“Bitcoin mining created the model for modern data centers,” says Crucible Capital’s Meltem Demirors. Demirors explains that companies have realized that their investment costs are much lower when they move into AI: “They have already set up the facility, they remove the mining machines and replace them with the GPUs brought by the tenant.”
The profitability of mining is falling
In Bitcoin mining, revenue depends on being the first to solve a complex mathematical puzzle. But the competition has increased exponentially over the years; Winning the same prize requires much more computing power.
With the halving in 2024, the block reward was halved, further reducing profitability. Additionally, the decline in Bitcoin price – around $85,000, 30 percent less than its 2025 peak – is depressing mining revenues.
Charles Chong of BlockSpaceForce puts it best: “If I bought a Bitcoin mining machine today, I wouldn’t even know if I would make any money back.”
According to an analysis by CoinShares, only a few major mining companies were profitable in mid-November. In contrast, the AI industry offers much higher profit margins and predictable revenue thanks to long-term contracts with large technology companies. This is why Bitcoin mining companies have signed AI and HPC contracts worth more than $43 billion in the last few months.
“Artificial intelligence creates much more value per energy”
Ben Gagnon, CEO of Bitfarms, argues that Bitcoin mining is still profitable, but emphasizes that HPC “creates much higher value per unit of energy and delivers it predictably over years.” For this reason, the company no longer considers it logical to invest in mining equipment.
This rapid shift from crypto mining to artificial intelligence gives an important sign for the future of the sector: the main profitable area for large facilities that can consume a lot of energy is no longer mining, but artificial intelligence.
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