Source: Cointelegraph
Original: “Bitfarms Records $36 Million Net Loss Due to Shift from Bitcoin (BTC) Mining to AI”
Bitfarms recorded a net loss of $36 million in the first quarter of 2025, a significant increase from a $6 million loss in the same period last year, as the Bitcoin mining company shifts from mining to high-performance computing (HPC) for artificial intelligence applications.
The mining company achieved sales of $67 million in the quarter ending March 31, a 33% increase year-over-year. However, according to the data released in the company's first-quarter financial report, Bitfarms' mining business gross margin fell from 63% to 43% year-over-year.
The decline in gross margin reflects the pressure from Bitcoin (BTC) halving in April 2024 and the volatility in Bitcoin prices. The halving event occurs every four years, reducing the amount of BTC mined per block, thereby decreasing the profitability of Bitcoin miners.
According to Google Finance, in the first quarter of 2025, the spot price of Bitcoin fluctuated from over $100,000 in January to less than $80,000 in March. As of March 14, the cryptocurrency was trading at over $103,000 each.
Bitfarms is responding to changing market conditions by investing in high-performance computing (HPC) while expanding its operations in the United States to hedge against potential trade war risks.
Bitfarms CEO Ben Gagnon stated in a statement, “In this quarter, we made progress in several key areas of our strategic shift to the U.S. and HPC.”
He added, “The mining business now provides the company with a stable foundation of low capital expenditure and free cash flow, allowing us to effectively grow and convert U.S. assets into HPC/AI data centers while still capturing any potential upside in Bitcoin in 2025 and 2026.”
A report from Coin Metrics in March noted that miners are “diversifying into the AI data center hosting space to expand revenue and repurpose existing infrastructure for high-performance computing.”
The computer hardware and power supply required for Bitcoin mining are also suitable for applications that require high-performance computing, including AI use cases.
In March, AI computing provider CoreWeave raised $1.5 billion in its initial public offering, with a company valuation of approximately $20 billion, reflecting strong investor demand for services to AI application companies. CoreWeave's financial report for the previous quarter is scheduled for release on May 14.
In April, Bitfarms secured a $300 million credit line from investment bank Macquarie to fund the expansion of an HPC facility in Pennsylvania.
In January, the company sold a Bitcoin mining facility in Paraguay to another mining company, Hive Digital, for $85 million.
Related: Bitcoin miners stop selling; BTC has risen 20% since the Hash Ribbons indicator issued a “buy” signal.
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
