Hut 8 Secures $150 Million Funding to Venture into AI

The high-performance computing market is big enough for multiple bitcoin miners to win there, Hut 8 CEO says..$BTC

Several Bitcoin mining companies have increasingly vocalized their diversification strategies following the Bitcoin halving, with many venturing further into artificial intelligence.

Hut 8 is among them, recently announcing plans to build a high-performance computing (HPC) sector to support AI applications.

On Monday, the company revealed it had secured $150 million in funding through convertible bonds from technology-focused investment firm Coatue Management. The investor believes that the mining company is well-positioned to enhance its new computational capabilities and advance its AI segment.

Indeed, Hut 8 CEO Asher Genoot told Blockworks that he sees “hundreds of megawatts of opportunity” to expand upon the company’s existing footprint in this area.

He explained, “We believe that scale is significant in meeting some of the current market demands while providing us with ample capacity and growth in our Bitcoin mining operations.”

According to Yahoo Finance, Hut 8’s stock surged over 12% on Tuesday and climbed an additional 5% on Wednesday.