New research from VanEck reveals that Bitcoin (BTC) miners are shifting to artificial intelligence (AI) and high-performance computing.
In a thread on the social media platform X, Matthew Sigel, the head of digital assets research at VanEck, says that BTC miners are utilizing technology to earn profits through strategic arbitrage.
“Bitcoin miners are shifting to AI and high-powered computing (AI/HPC), unlocking new revenue through strategic arbitrage. We estimate a $38 billion net present value opportunity by converting 20% of their collective capacity by 2027. (For context, the combined market cap of the stocks we looked at is $19 billion).”
According to VanEck, AI projects are energy-intensive endeavors and Bitcoin miners are well-positioned to address the issue and generate a new income stream.
“The synergy is simple: AI companies need energy, and Bitcoin miners have it. As the market values the growing AI/HPC data center market, access to power – especially in the near term – is commanding a premium… Existing Bitcoin miners are uniquely equipped to support AI/HPC immediately.”
According to VanEck’s data, publicly traded BTC miners currently control a record percentage of Bitcoin’s hashrate while their overall market cap hit all-time highs in July.
However, Sigel says that when crypto markets corrected in August, the MarketVector Digital Asset Equity Index – which keeps track of the performance of the largest and most liquid companies in the digital assets industry – started heavily underperforming against Bitcoin.
“After the recent correction, however, the MarketVector Digital Asset Equity Index, tracking these stocks, is flat year-to-date, underperforming the Bitcoin price by 3,800 basis points. At these levels, we believe investors are missing a story that could double the market cap of the stocks, even with no change in Bitcoin mining profits.”
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