Bitcoin Miners Are Pivoting to Powering AI Instead

The Impact of Bitcoin Halving Events

Every four years, bitcoin has a “halving” event, which cuts the benefits of mining in half — naturally deincentivizing mining over time, unless bitcoin’s value continues growing rapidly.

“Bitcoin mining just doesn’t cut it anymore,” Daniel Keller, CEO and co-founder of cloud infrastructure firm InFlux Technologies, told Yahoo Finance, adding that “due to halving schedules, mining is less profitable in the long run than AI computing.”

Plus, there’s one more reason making smaller computing operations attractive to AI companies.

The race to develop the best new AI tools requires quick deadlines, but top cloud giants like Amazon and Google are tied up in multi-year paperwork for their huge grids. This creates opportunities for smaller locations that had previously stuck to bitcoin mining.