Close Menu
Invest Insider News
    Facebook X (Twitter) Instagram
    Thursday, September 17
    Facebook X (Twitter) Instagram Pinterest Vimeo
    Invest Insider News
    • Home
    • Bitcoin
    • Commodities
    • Finance
    • Investing
    • Property
    • Stock Market
    • Utilities
    Invest Insider News
    Home»Bitcoin»Bitcoin Miners Shift To AI Compute As Mining Profits Shrink
    Bitcoin

    Bitcoin Miners Shift To AI Compute As Mining Profits Shrink

    September 17, 20263 Mins Read


    TLDR

    • Bitcoin miners are shifting toward AI computing because it pays far more than mining
    • CoinShares data shows AI compute leases bring in about $1.5 million per megawatt a year, compared to $500,000 for Bitcoin mining
    • Core Scientific paid roughly $42 million to cancel a next-generation mining hardware order
    • Keel and Cipher sold parts of their Bitcoin holdings to help fund AI and data center expansion
    • CoinShares expects 35 exahash of hashpower to leave listed miners by year end, and doubts a Bitcoin price rebound will change that

    Bitcoin miners are shifting toward artificial intelligence computing, and new data shows why. A report from CoinShares found that AI compute leases pay far more than mining Bitcoin does.

    The report says AI leases generate about $1.5 million per megawatt each year. Bitcoin mining, in comparison, brings in roughly $500,000 per megawatt.

    That gap has pushed several publicly traded mining companies to change direction. Some are cutting mining plans entirely, while others are mixing AI work into their existing operations.

    Miners Are Paying To Stop Mining

    Core Scientific paid about $42 million to cancel an order for next-generation mining machines. The company scrapped a deal tied to 15 exahash of mining power.

    Keel, formerly known as Bitfarms, and Cipher have both sold parts of their Bitcoin holdings. They are using the funds to build out AI and data center capacity instead.

    Keel stopped mining Bitcoin completely in June. IREN plans to do the same by December 2026.

    Other companies are taking a slower path. Mara Holdings, for example, has been gradually adding AI work alongside its mining business.

    CoinShares expects the shift to keep growing. The firm estimates that 35 exahash of hashpower will leave publicly listed miners by the end of the year.

    The firm also said a recovery in Bitcoin’s price is unlikely to reverse the trend. Companies have already signed long-term deals, some lasting 15 years, to lease their sites for AI use.

    Strict rules around building new AI and data center sites are also playing a role. Locations with existing power hookups, including old mining sites, have become harder to find and more valuable.

    Why Mining Became Less Profitable

    The cost of mining Bitcoin has risen sharply. CoinShares said the average cost to mine one Bitcoin reached $75,500 in the second quarter of 2026.

    At the same time, Bitcoin’s price fell to a low of $58,400 during that period. That combination made mining unprofitable for many operators.

    Mining revenue reflects the squeeze. Monthly revenue for miners dropped from about $60 million in late 2025 to around $20 million by mid-2026.

    Bitcoin’s price has also fallen from more than $125,000 in October 2025 to under $60,000 in 2026. The drop pushed hashrate down by more than half as miners exited or scaled back.

    CoinShares said the current hashrate decline looks similar to patterns seen after past Bitcoin halvings. The firm suggested hashrate could recover before the next halving event.

    Not everyone agrees. Economist Saifedean Ammous said on social media that mining may have already peaked and could keep declining.

    Ammous pointed to future mining rewards as a reason. The Bitcoin reward per block is set to drop from 3.125 to 1.56 starting in 2028, which he said will make mining less attractive.

    Mara chief executive Fred Thiel has made similar comments in the past about the shrinking appeal of mining alone. For now, AI leasing remains the more profitable option for miners with available power.



    Source link

    Share. Facebook Twitter Pinterest LinkedIn Tumblr Email
    Previous ArticleStock Market Today: Fed Hikes Rates for First Time in Three Years, Dow Falls 600 Points
    Next Article Bitcoin (BTC) Price: BTC Holds Near $76K After Fed Raises Rates 25 Basis Points

    Related Posts

    Bitcoin

    Bitcoin (BTC) Price: BTC Holds Near $76K After Fed Raises Rates 25 Basis Points

    September 17, 2026
    Bitcoin

    Celsius Estate Demands $495M From BitMEX Over 2020 Bitcoin Liquidation Controversy

    September 17, 2026
    Bitcoin

    Bitcoin hit by ‘double whammy’ of bill rejection, rate hike

    September 16, 2026
    Leave A Reply Cancel Reply

    Top Posts

    How is the UK Commercial Property Market Performing?

    December 31, 2000

    How much are they in different states across the US?

    December 31, 2000

    A Guide To Becoming A Property Developer

    December 31, 2000
    Stay In Touch
    • Facebook
    • YouTube
    • TikTok
    • WhatsApp
    • Twitter
    • Instagram
    Latest Reviews
    Stock Market

    Stock Market News From May 28, 2026: Dow, S&P 500, Nasdaq Records; Trump, Iran Strikes; Snowflake, Salesforce, and More Movers

    May 29, 2026
    Bitcoin

    Why Bitcoin is Falling: Key Drivers & 2026 Crypto Outlook

    June 18, 2026
    Bitcoin

    SpaceX could IPO at $2T valuation while holding $637M in Bitcoin

    May 18, 2026
    What's Hot

    Bitcoin Bull Market Hinges On $13.8 Billion Options Expiry

    August 21, 2025

    Oil rallies as Zelensky-Putin meeting looks unlikely

    August 29, 2025

    Evergrande: Chinese property giant delisted after spectacular fall

    August 24, 2025
    Most Popular

    Q2 2026 In Commodities And Upgrading The HGER ETF To Buy Due To Key Drivers (NYSE:HGER)

    July 9, 2026

    Atlantique Finance, SGI n°1 du marché financier de l’UEMOA en 2024

    February 17, 2025

    Is Bitcoin Price Set for a Rebound as DEC Rate Cut Hit 80.9%?

    November 25, 2025
    Editor's Picks

    Sensex Today | Stock Market LIVE Updates: Nifty 50 back above 22,400, Infosys, Wipro, TechM top losers

    March 12, 2025

    Bitcoin price outlook: is same pattern that caused 400% gains forming again?

    May 11, 2026

    ‘Rs 50 lakh loss in a day’: Stock market trader says in viral post with optimism – ‘Hopefully this time also will come back’ – Trending News

    April 3, 2026
    Facebook X (Twitter) Instagram Pinterest Vimeo
    • Get In Touch
    • Privacy Policy
    • Terms and Conditions
    © 2026 Invest Insider News

    Type above and press Enter to search. Press Esc to cancel.