1. Bitfarms

A very large Bitcoin miner has announced that it will cease mining by 2026–2027 and instead fully transition to AI / HPC (high-performance computing).

  • The reason is the decline in mining margins, rising costs, and the opportunity to earn more from centralized resources for training AI models.

  • They have already signed a contract for approximately $128 million to retrofit one of the data centers for Nvidia GPU servers.

  • A company listed on Nasdaq was previously a gaming company, but now holds about 280,706 ETH in its treasury, making it one of the largest corporate holders of Ether.

  • Moreover, they are actively staking this ETH, which brings additional income.

  • At the same time, SharpLink is buying back its own shares (worth $15 million) because it believes they are trading significantly below their 'net asset value' (NAV) linked to ETH.

  • That is, the strategy is not just to accumulate, but to make ETH a 'productive' asset (through staking).

3. Companies in the style of 'Digital Asset Treasury' (DAT)

  • The number of public companies that are rebranding or structuring themselves for holding cryptocurrencies on their balance sheets (like MicroStrategy did before) is increasing.

  • Some of them are focusing specifically on $ETH , others on $BTC .

WHY ARE THEY DOING THIS?

  • Income diversification: mining is becoming less profitable, especially after halvings, and AI infrastructure may be a more stable source of income.

  • Capitalization on the crypto hype: companies with a large cryptocurrency balance (treasury) can potentially attract more investors, especially institutional ones.

  • Income from staking: holding ETH is not just about betting on the coin's growth, but also generating income through staking.

  • Regulatory effect: some companies want to position themselves as legitimate institutional players in the crypto space, not just speculators.

RISKS

  • The transition from mining to AI is a significant capital-intensive transformation (CAPEX), and it is not guaranteed that all capacities will be filled by clients.

  • The level of debt and operating expenses can increase significantly.

  • During strong corrections in cryptocurrencies, these 'treasury' companies may suffer — if the value of BTC or ETH falls, their assets 'on paper' will decrease significantly.

What does this mean for the market?

The transition of public companies to ETH-treasuries (not just BTC) is a new trend for 2025: ETH can not only be stored but also staked/generated income, so companies see it as a 'productive reserve'.

Miners whose margins are falling are reallocating capital into AI/HPK or into crypto itself (depending on strategy). This changes the supply-demand dynamics for electricity, equipment, and — indirectly — for crypto-assets.

#MiningCrypto #ETH #BTC #Aipump #NVIDIA