According to BlockBeats, a report released by CoinShares on April 22 suggests that cryptocurrency miners might pivot to the Artificial Intelligence (AI) sector following the halving of Bitcoin. The halving event is expected to significantly increase the costs for miners, with electricity and overall production costs nearly doubling. Miners might attempt to mitigate these higher costs by optimizing energy costs, improving mining efficiency, and purchasing more cost-effective hardware. However, the potential returns from redirecting the obsolete computing power to the AI sector could be higher.
CoinShares pointed out that mining companies such as BitDigital (BTBT), Hive (HIVE), and Hut 8 (HUT) have already started generating revenue from the AI sector. Meanwhile, TeraWulf (WULF) and Core Scientific (CORZ) either already have AI operations or plan to develop in this field. The shift to AI could provide a new avenue for these companies to maintain profitability in the face of rising costs associated with cryptocurrency mining.
