New research from VanEck suggests that Bitcoin (BTC) miners are turning to artificial intelligence (AI) and high-performance computing.
Matthew Sigel, head of digital asset research at VanEck, said in a post on social media platform X that BTC miners are using technology to earn profits through strategic arbitrage.
“Bitcoin miners are turning to artificial intelligence and high-power computing (AI/HPC) to unlock new revenues through strategic arbitrage. We estimate that 20% of their collective capacity translates into a $38 billion NPV opportunity by 2027. (For context, the total market cap of the stocks we looked at is $19 billion).”
According to VanEck, AI projects are energy intensive, something Bitcoin miners have the ability to address and generate a new source of revenue.
“The synergy is simple: AI companies need energy, and Bitcoin miners have it. As the market values the growing AI/HPC data center market, access to electricity (especially in the near term) is taking advantage… Existing Bitcoin miners are uniquely equipped to support AI/HPC right away.”
Publicly traded BTC miners now control a record percentage of Bitcoin’s hash rate, according to VanEck data, while their overall market capitalization hit an all-time high in July.
However, Sigel said that when the crypto market corrected in August, the MarketVector Digital Asset Stock Index, which tracks the performance of the largest and most liquid companies in the digital asset industry, began to severely underperform Bitcoin.
“However, following the recent correction, the MarketVector Digital Asset Stock Index, which tracks these stocks, is flat year to date and 3,800 basis points below the price of Bitcoin. At these levels, we believe investors are missing out on a story that could double the value of stocks even if there is no change in Bitcoin mining profits.”
