Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnWeb3SquareMore
Trade
Spot
Buy and sell crypto with ease
Margin
Amplify your capital and maximize fund efficiency
Onchain
Going Onchain, without going Onchain!
Convert
Zero fees, no slippage
Explore
Launchhub
Gain the edge early and start winning
Copy
Copy elite trader with one click
Bots
Simple, fast, and reliable AI trading bot
Trade
USDT-M Futures
Futures settled in USDT
USDC-M Futures
Futures settled in USDC
Coin-M Futures
Futures settled in cryptocurrencies
Explore
Futures guide
A beginner-to-advanced journey in futures trading
Futures promotions
Generous rewards await
Overview
A variety of products to grow your assets
Simple Earn
Deposit and withdraw anytime to earn flexible returns with zero risk
On-chain Earn
Earn profits daily without risking principal
Structured Earn
Robust financial innovation to navigate market swings
VIP and Wealth Management
Premium services for smart wealth management
Loans
Flexible borrowing with high fund security
Bitcoin miners could earn $13.9B yearly by shifting 20% to AI and HPC

Bitcoin miners could earn $13.9B yearly by shifting 20% to AI and HPC

GrafaGrafa2024/08/19 06:45
By:Mahathir Bayena

Bitcoin (CRYPTO:BTC) miners have an opportunity to significantly increase their profitability by reallocating part of their energy capacity to the artificial intelligence (AI) and high-performance computing (HPC) sectors. 

According to a report by investment firm VanEck, Bitcoin miners could generate an additional $13.9 billion in yearly revenue if they shift 20% of their energy resources to these sectors by 2027.

The report highlights that Bitcoin miners, who often face financial challenges due to debt, share dilution, and high executive compensation, could benefit from diversifying their operations. 

By partnering with AI companies, which require substantial energy resources, miners could secure a more stable and profitable revenue stream.

Several Bitcoin mining firms have already started incorporating HPC capabilities into their operations. 

For instance, Core Scientific, one of the largest Bitcoin miners by hashrate, recently signed a 12-year contract with AI hyperscaler CoreWeave. 

This deal is expected to generate over $3.5 billion in revenue by providing 200 megawatts of infrastructure. 

Similarly, Hive Digital Technologies is expanding its facilities to offer HPC services to companies in gaming, AI, and graphics rendering industries.

Despite these opportunities, the Bitcoin mining industry is facing a challenging year, especially following the Bitcoin halving in April 2024, which reduced mining rewards from 6.25 BTC to 3.125 BTC per block. 

This has increased the cost of mining, leading to lower profits for many miners. 

The halving has made it even more critical for miners to explore new revenue streams, such as those offered by the AI and HPC sectors.

VanEck’s report suggests that by diversifying their operations and capitalizing on the growing demand for AI and HPC, Bitcoin miners could improve their financial stability and profitability, making them more resilient in the face of industry challenges.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Locked for new tokens.
APR up to 10%. Always on, always get airdrop.
Lock now!