Bitcoin mining company's AI transformation requires $50 billion, with IREN funding gap of $21.1 billion

Publicly traded Bitcoin mining companies need approximately $50 billion to complete their planned AI infrastructure projects, with funding gaps of approximately $21.1 billion, $7.2 billion, and $4.6 billion for IREN, Riot Platforms, and HIVE Digital, respectively. When Bitcoin mining companies expand into AI and high-performance computing, borrowing costs vary depending on customers, contracts, and project completion paths. IREN received $3.65 billion in GPU financing in June, with a comprehensive interest rate of 6%; In August, another $2.4 billion in fixed rate financing was obtained, with an interest rate of 9%. In a transaction with Cipher Digital, Google agreed to provide a backstop for a $1.4 billion lease obligation and obtained warrants representing 5.4% of Cipher's equity. According to VanEck data, at the peak of the Bitcoin bull market in October last year, mining company debt increased by about 500% compared to the second quarter of 2024. Despite the weakening of the Bitcoin market and the shift of mining companies towards AI businesses, capital demand continues to rise.