The global Bitcoin mining industry is undergoing a major transformation as top hashrate leaders redirect their computing power toward artificial intelligence (AI) and high-performance computing (HPC). According to CryptoSlate, seven of the ten largest miners are already earning revenue from AI or HPC-related operations, while the remaining three plan to follow soon. This marks a strategic shift from traditional ASIC mining to a more stable and profitable business model built on GPU-based AI workloads.
A Shift in Focus
Leading miners such as TeraWulf, Core Scientific, and CleanSpark are now positioning themselves as infrastructure providers for the rapidly expanding AI industry. In August, TeraWulf signed a 10-year, $3.7 billion contract with the Google-backed AI cloud platform Fluidstack, committing 250 MW of capacity at its Lake Mariner campus in New York for advanced AI computing. Designed for liquid cooling and large-scale performance, this facility could generate up to $8.7 billion in total revenue if extended over 20 years. In return, Google secured warrants for 8% equity in TeraWulf, guaranteeing $1.8 billion in lease obligations.
Similarly, Core Scientific entered into a 12-year, $3.5 billion deal with CoreWeave to provide 200 MW of infrastructure for Nvidia GPU hosting, ensuring an annual income of nearly $290 million. Meanwhile, CleanSpark has expanded aggressively by acquiring 110 hectares and 285 MW in Texas for a next-generation AI and HPC campus, solidifying its footprint in the U.S. data infrastructure market.
AI Hosting Outperforms Bitcoin Mining
The economics of this pivot are clear. A single 1 MW of ASIC power generates roughly $1–1.6 million annually from Bitcoin rewards (at a price near $104,000), before energy and operational costs. In contrast, AI contracts like TeraWulf’s yield around $1.85 million per MW per year, offering higher margins and predictable returns. As AI demand soars, mining companies see this as a more stable and scalable revenue stream compared to volatile crypto rewards.
Investor Confidence Rises
Investors are rewarding this shift. Stocks of miners such as Core Scientific, IREN, and TeraWulf—which have diversified into AI—are outperforming traditional mining-only firms. Analysts attribute this success to diversified revenue sources, improved predictability, and enhanced infrastructure flexibility. However, growth in hashrate among AI-oriented miners may slow compared to pure Bitcoin operations, as resources are redirected to data center development and GPU deployment.
Challenges remain, including limited electricity access, GPU shortages, and grid connection delays, which could hinder rapid expansion. Still, the $1.5–2 million per MW annual benchmark for AI hosting revenue is emerging as a new key metric for investors monitoring the sector.
The Broader Market Impact
This transformation could slow the global Bitcoin hashrate growth, as energy previously allocated for ASIC mining shifts toward AI workloads. Yet, with Bitcoin prices and transaction fees surging, mining remains lucrative. However, hashrate is becoming a less reliable indicator of miner valuation, as firms diversify revenue beyond crypto mining.
Conclusion:
The convergence of AI infrastructure and Bitcoin mining is reshaping the digital economy. Miners are no longer just chasing blocks—they’re building the computational backbone of the AI revolution. As the demand for GPU-driven data centers grows, those who adapt quickly will dominate this new hybrid frontier of crypto and artificial intelligence.
