Bitcoin Network May Be Affected by These Deals, According to JPMorgan Analysis

According to analysis by banking giant JPMorgan, artificial intelligence companies may show interest in Bitcoin miners.

Merger and acquisition deals in the Bitcoin mining industry began to proliferate after the halving in April.

Artificial intelligence companies are interested

According to JPMorgan analysts, artificial intelligence companies and hyperscalers may begin to consider alternative options to meet their energy needs. This could make Bitcoin mining companies an attractive option.

Cloud computing firm CoreWeave has signed a 200 mgv AI deal with Bitcoin miner Core Scientific (CORZ). It was reported that CoreWeave also made an offer to purchase the company. CORZ shares rose following this news.

Last month, Bitcoin miner Riot Platforms made an offer to acquire its rival Bitfarms.

Could be useful for the Bitcoin blockchain

According to JPMorgan analysts, such agreements could make the “Bitcoin network more efficient” by affecting the electricity capacity of miners and increasing the profitability of other miners.

JPMorgan estimates that US-listed Bitcoin miners draw 5 GW of electricity and have access to an additional 2.5 GW.

Some Bitcoin miners are considering exiting the industry as they begin to generate less revenue after the halving. According to JPMorgan, these companies may be open to offers from hyperscaler and artificial intelligence companies.