Bitcoin mining companies are making a noticeable shift in how they use their massive computing power, with some redirecting energy-hungry operations away from cryptocurrency and toward artificial intelligence.
Bitcoin mining is the process of verifying transactions and creating new bitcoins, which relies on energy-intensive data centers packed with specialized computers.
According to NPR, some companies are now exploring whether those same facilities could generate steadier income by supporting AI workloads instead.
One of those companies is Bitfarms, a major bitcoin mining firm with operations across several countries.
CEO Ben Gagnon explained that while bitcoin mining can be profitable, it also comes with sharp price swings. AI computing, by contrast, often involves longer-term contracts and more predictable demand, which can make revenue easier to forecast.
That predictability is especially appealing for businesses that consume enormous amounts of electricity. Running data centers requires constant power, and sudden drops in income can make those costs harder to manage.
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Shifting part of an operation to AI can help smooth out those ups and downs without fully abandoning cryptocurrency.
The trend matters beyond the crypto industry. As AI demand surges, companies with large-scale computing infrastructure are ready to meet it. At the same time, how these facilities source their electricity can affect local power grids and energy prices, which ultimately affect nearby communities.
For residents near large data centers, those shifts can influence electricity costs and how utilities plan future power supply.
The relationship between cryptocurrency and the environment remains complex. Bitcoin mining has faced criticism for its high energy use, particularly when powered by fossil fuels.
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$200 or more 💰 However, some mining companies have partnered with renewable energy projects or located operations near surplus power sources, such as hydroelectric plants.
In some cases, consistent demand from mining has helped support new clean energy development. AI operations raise similar questions, making energy choices a key factor in how this shift plays out.
Gagnon emphasized that the move isn't about walking away from bitcoin altogether.
"We all believe in bitcoin … so that's not a decision that anyone made lightly," he told NPR.
He added that bitcoin mining often feels unpredictable, with prices constantly rising and falling, while shifting part of the business toward AI means moving to "a business that is not volatile and is predictable, has higher revenues, higher margins, higher cash flows."
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