Crypto Miners Eyeing AI in Energy-Secure Locations Post Bitcoin Halving: CoinShares Report

Following the recent bitcoin halving, crypto miners are looking towards artificial intelligence (AI) in energy-secure locations to increase revenue, according to a report by CoinShares.

The halving, which occurred on Friday evening, has led mining companies like BitDigital, Hive, and Hut 8 to explore AI as a source of income. Additionally, TeraWulf and Core Scientific are either already involved in AI operations or planning to expand in that area.

With the halving resulting in substantial cost increases for miners, including doubling electricity and production costs, companies are looking to optimize energy costs, improve mining efficiency, and invest in better-priced hardware to mitigate these expenses.

CoinShares forecasts a potential rise in hashrate to 700 exahash by 2025, but expects a temporary 10% drop post-halving as miners shut down unprofitable machines. Hash prices are projected to decrease to $53/ph/day after the event.

Miners are also actively managing financial liabilities, with some using excess cash to pay down debt. The shift towards AI in energy-secure locations highlights the evolving landscape of crypto mining post-halving, as companies seek to adapt and thrive in the changing market.