Canadian bitcoin miner Bitfarms mulls pivot to AI data centers

Jan 31 (Reuters) - Toronto-based bitcoin miner Bitfarms BITF.TO has enlisted two consultants to explore how it can transform some of its facilities to meet the growing demand for artificial intelligence data centers, it said on Friday.

WHY IT'S IMPORTANT

Crypto miners often own large plots of land and significant power resources — assets that are also crucial for high-performance computing (HPC) and AI data centers.

To capitalize on the AI boom, many miners have begun to repurpose parts of their operations into data centers, given they already have most of the infrastructure.

Critics of the approach, however, warn that the shift may not be successful because AI data centers are more sophisticated.

CONTEXT

Bitfarms said the consultants, Appleby Strategy Group and World Wide Technology, will analyze its North American sites.

They will also advise the company on its computing and AI strategy, while marketing the sites to potential customers.

Earlier this month, Riot Platforms RIOT.O launched a review of the potential AI and computing uses for parts of its facility in Navarro County, Texas.

KEY QUOTE

"The contracts associated with HPC/AI customers provide long-term, steady cash flows and earnings streams, while our bitcoin mining operations will continue to monetize bitcoin's flexible upside potential," Bitfarms CEO Ben Gagnon said.