CoinShares (CS) said in a report on Friday that crypto miners may move to artificial intelligence (AI) in an energy safe space due to the potential for increased revenue after the Bitcoin (BTC) halving. said.
of Half-life once every 4 yearsAn unusual event occurred on Friday night that slowed the growth rate of Bitcoin supply by 50%.
Coinshares points out that mining companies such as Bit Digital (BTBT), HIVE (HIVE), and Hut8 (HUT) are already generating revenue from AI. At the same time, TeraWulf (WULF) and Core Scientific (CORZ) have existing AI operations or plans to grow in this space.
“This trend suggests that Bitcoin mining may increasingly move to stranded energy facilities, while investment in AI increases in more stable locations,” the authors, led by James Butterfill, wrote. ing.
According to the report, miners will face significant cost increases as a result of the halving, with electricity bills and overall production costs almost doubling. Mining companies can mitigate these higher costs by optimizing energy costs, increasing mining efficiency, and purchasing cheaper hardware.
“The weighted average cash cost of production for the fourth quarter was approximately $29,500. After the halving, it is expected to be approximately $53,000,” the authors wrote. The average cost of electricity produced in the fourth quarter was approximately $16,300 per Bitcoin and is expected to increase to approximately $34,900 after the halving.
The asset manager predicts that the hash rate could rise to 700 exahash by 2025, but could fall by 10% after the halving as miners shut down unprofitable machines. be. After the event, the hash price is expected to drop to $53 per day.
hash rate Refers to the total computing power used to mine and process transactions. proof of work blockchain.
CoinShares notes that miners are actively managing their financial debt, with some using excess cash to pay down debt.