Simply put
- Bitfarms, a publicly traded Bitcoin miner, reported a loss of $46 million in the third quarter.
- The company is transitioning away from mining, now focusing on AI computing infrastructure.
- Bitcoin mining operations are expected to cease between 2026 and 2027.
BitFarms announced on Thursday its plans to reduce BTC mining operations and pivot to AI infrastructure.
This announcement accompanied its third-quarter results, revealing a net loss of $46 million, which contrasts with a $24 million loss from its Bitcoin division in Q3 2024.
CEO Ben Gagnon stated, “We continue to execute our HPC/AI infrastructure development strategy with a well-funded supply chain, and will be converting our Washington location to support the Nvidia GB300 with state-of-the-art water cooling.”
Gagnon mentioned, “Converting just our Washington site to GPU-as-a-service could potentially generate more net operating income than we’ve ever made from Bitcoin mining, even though it represents less than 1% of our total developable portfolio.”
Gagnon also added that the company is weighing the possibility of “winding down” its Bitcoin mining operations around 2026-2027.
Currently, Bitfarms operates 12 data centers with a total of 341 megawatts (MW) across North America and is optimistic about the transition.
The company recently converted a $300 million debt facility and secured funds for its Panther Creek, Pennsylvania site, hoping to meet the rising AI infrastructure demand.
Following these developments, BitFarms’ stock dropped about 18% on Thursday, closing at $2.60. This decline follows an already challenging month, where stocks fell over 51%.
BitFarms isn’t alone in targeting AI; other miners, like MARA, are also planning to expand their focus into AI computing.
While several Bitcoin mining firms are capitalizing on the AI surge, BitFarms is the first major firm to announce a full departure from its original business.
A representative from BitFarms did not immediately respond to a request for comments.
Bitcoin has decreased nearly 3% over the last 24 hours, trading at $99,441 after hitting a six-month low early Thursday.
