BTC mining companies are diversifying into AI and high-performance computing to double revenues.
VanEck analysts project significant value creation potential from this strategic shift.
Publicly
listed Bitcoin (BTC) mining companies from Wall Street are exploring new avenues for
revenue generation, with a focus on high-performance computing (HPC) and artificial
intelligence (AI), according to recent analysis from investment management firm
VanEck.
Bitcoin Miners Eye AI and
High-Performance Computing for Revenue Boost
The shift
comes as miners seek to diversify their operations and capitalize on the
growing demand for computational power in the AI sector. VanEck's head of
digital assets research, Matthew Sigel, estimates that this strategic pivot
could unlock $38 billion in value for mining companies by 2027.
VanEck's Head of Digital Assets Research, Matthew Sigel
“AI
companies need energy, and bitcoin miners have it,” commented
Sigel. “As the market values the growing AI/HPC data center market, access
to power—especially in the near term—is commanding a premium.”
The
synergy between Bitcoin mining and AI computing stems from the miners'
access to abundant energy resources and existing data center infrastructure. As
AI development intensifies, the demand for energy-intensive computing
facilities has surged, creating a natural fit for mining operations looking to
diversify.
“Many
miners are leaning toward the complementary strategies presented by Bitcoin
& AI/HPC,” added Sigel. “In its May 2024 update, Iris Energy noted that
cloud services help optimize capital costs and diversify revenue streams,
smoothing returns through Bitcoin’s cycle.”
Examples of
such moves have been evident since last year. For instance, HIVE Blockchainrebranded
to HIVE Digital to better reflect the evolving nature of its business,
which now focuses not only on BTC mining but also on supporting the HPC and AI
industries. The company expects this new venture to
double its revenues, and to that end, it announced the construction of a
new hydroelectric data center.
Don't Miss the Market
Opportunity, Says VanEck
Despite the
optimistic outlook, recent market trends have shown a divergence between
Bitcoin's performance and mining stocks. The MarketVector Digital Asset Equity
Index, which tracks major players in the digital asset space, has
underperformed Bitcoin by a significant margin year-to-date. This disparity
suggests that investors may be overlooking the potential upside of miners'
diversification strategies.
VanEck notes
that while Bitcoin mining remains the core business for these companies, the
ability to pivot towards AI and HPC could provide a hedge against
cryptocurrency market volatility and create more stable revenue streams.
“While the
miner AI/HPC trend is nascent, it represents a significant merger of two
high-growth tech sectors, creating a fascinating game theory dynamic,” Sigel concluded.
“As some miners go offline to run GPUs, Bitcoin’s difficulty algorithm will
automatically adjust, allowing the remaining miners to gain a slightly larger
market share.”
Although
cryptocurrencies still account for the majority of revenues for the largest
miner on Wall Street, Hive Digital, in the second quarter HPC generated $2.6
million—and these figures are expected to continue growing.
Publicly
listed Bitcoin (BTC) mining companies from Wall Street are exploring new avenues for
revenue generation, with a focus on high-performance computing (HPC) and artificial
intelligence (AI), according to recent analysis from investment management firm
VanEck.
Bitcoin Miners Eye AI and
High-Performance Computing for Revenue Boost
The shift
comes as miners seek to diversify their operations and capitalize on the
growing demand for computational power in the AI sector. VanEck's head of
digital assets research, Matthew Sigel, estimates that this strategic pivot
could unlock $38 billion in value for mining companies by 2027.
VanEck's Head of Digital Assets Research, Matthew Sigel
“AI
companies need energy, and bitcoin miners have it,” commented
Sigel. “As the market values the growing AI/HPC data center market, access
to power—especially in the near term—is commanding a premium.”
The
synergy between Bitcoin mining and AI computing stems from the miners'
access to abundant energy resources and existing data center infrastructure. As
AI development intensifies, the demand for energy-intensive computing
facilities has surged, creating a natural fit for mining operations looking to
diversify.
“Many
miners are leaning toward the complementary strategies presented by Bitcoin
& AI/HPC,” added Sigel. “In its May 2024 update, Iris Energy noted that
cloud services help optimize capital costs and diversify revenue streams,
smoothing returns through Bitcoin’s cycle.”
Examples of
such moves have been evident since last year. For instance, HIVE Blockchainrebranded
to HIVE Digital to better reflect the evolving nature of its business,
which now focuses not only on BTC mining but also on supporting the HPC and AI
industries. The company expects this new venture to
double its revenues, and to that end, it announced the construction of a
new hydroelectric data center.
Don't Miss the Market
Opportunity, Says VanEck
Despite the
optimistic outlook, recent market trends have shown a divergence between
Bitcoin's performance and mining stocks. The MarketVector Digital Asset Equity
Index, which tracks major players in the digital asset space, has
underperformed Bitcoin by a significant margin year-to-date. This disparity
suggests that investors may be overlooking the potential upside of miners'
diversification strategies.
VanEck notes
that while Bitcoin mining remains the core business for these companies, the
ability to pivot towards AI and HPC could provide a hedge against
cryptocurrency market volatility and create more stable revenue streams.
“While the
miner AI/HPC trend is nascent, it represents a significant merger of two
high-growth tech sectors, creating a fascinating game theory dynamic,” Sigel concluded.
“As some miners go offline to run GPUs, Bitcoin’s difficulty algorithm will
automatically adjust, allowing the remaining miners to gain a slightly larger
market share.”
Although
cryptocurrencies still account for the majority of revenues for the largest
miner on Wall Street, Hive Digital, in the second quarter HPC generated $2.6
million—and these figures are expected to continue growing.
Damian's adventure with financial markets began at the Cracow University of Economics, where he obtained his MA in finance and accounting. Starting from the retail trader perspective, he collaborated with brokerage houses and financial portals in Poland as an independent editor and content manager. His adventure with Finance Magnates began in 2016, where he is working as a business intelligence analyst.
Coinbase Enters Prediction Markets as the Amazonification of Financial Platforms Gathers Pace
Executive Interview | Charlotte Bullock | Chief Product Officer, Bank of London | FMLS:25
Executive Interview | Charlotte Bullock | Chief Product Officer, Bank of London | FMLS:25
In this interview, we sat down with Charlotte Bullock, Head of Product at The Bank of London, previously at SAP and now shaping product at one of the sector’s most ambitious new banking players.
Charlotte reflects on the Summit so far and talks about the culture inside fintech banks today. We look at the pressures that come with scaling, and how firms can hold onto the nimble approach that made them stand out early on.
We also cover the state of payments ahead of her appearance on the payments roundtable: the blockages financial firms face, the areas that still need fixing, and what a realistic solution looks like in 2026.
In this interview, we sat down with Charlotte Bullock, Head of Product at The Bank of London, previously at SAP and now shaping product at one of the sector’s most ambitious new banking players.
Charlotte reflects on the Summit so far and talks about the culture inside fintech banks today. We look at the pressures that come with scaling, and how firms can hold onto the nimble approach that made them stand out early on.
We also cover the state of payments ahead of her appearance on the payments roundtable: the blockages financial firms face, the areas that still need fixing, and what a realistic solution looks like in 2026.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
Exness expands its presence in Africa: Inside our interview with Paul Margarites in Cape Town
Exness expands its presence in Africa: Inside our interview with Paul Margarites in Cape Town
Finance Magnates met with Paul Margarites, Exness regional commercial director for Sub-Saharan Africa, during a visit to the firm’s office opening in Cape Town. In this talk, led by Andrea Badiola Mateos, Co-CEO at Finance Magnates, Paul shares views on the South African trading space, local user behavior, mobile trends, regulation, team growth, and how Exness plans to grow in more markets across the region. @Exness
Read the article at: https://www.financemagnates.com/thought-leadership/exness-expands-its-presence-in-africa-inside-our-interview-with-paul-margarites/
#exness #financemagnates #exnesstrading #CFDtrading #tradeonline #africanews #capetown
Finance Magnates met with Paul Margarites, Exness regional commercial director for Sub-Saharan Africa, during a visit to the firm’s office opening in Cape Town. In this talk, led by Andrea Badiola Mateos, Co-CEO at Finance Magnates, Paul shares views on the South African trading space, local user behavior, mobile trends, regulation, team growth, and how Exness plans to grow in more markets across the region. @Exness
Read the article at: https://www.financemagnates.com/thought-leadership/exness-expands-its-presence-in-africa-inside-our-interview-with-paul-margarites/
#exness #financemagnates #exnesstrading #CFDtrading #tradeonline #africanews #capetown
