Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnSquareMore
Bitcoin News Today: Bitcoin Miners Take Bold Steps Toward AI—Will Borrowed Funds Lead to Profits or Risk Financial Collapse?

Bitcoin News Today: Bitcoin Miners Take Bold Steps Toward AI—Will Borrowed Funds Lead to Profits or Risk Financial Collapse?

Bitget-RWA2025/10/25 17:44
By:Bitget-RWA

- Mid-tier Bitcoin miners are restructuring post-2024 halving, pivoting to AI/HPC amid debt surges and declining block rewards. - Argo Blockchain's LSE delisting and 87.5% equity transfer to Growler Mining highlights sector-wide financial distress and aging infrastructure challenges. - $6B+ in debt-funded AI/HPC expansions by public miners (e.g., Bitfarms, TeraWulf) has driven stock gains but raised default risks as interest costs rise. - Institutional bets like Jane Street's 5% stakes in Bitfarms/Hut 8 tr

Mid-level

mining companies are transforming the industry’s dynamics after the April 2024 halving, as mounting financial strain prompts bold overhauls and a strategic shift toward artificial intelligence (AI) and high-performance computing (HPC). This realignment is occurring alongside escalating debt, a surge in institutional funding, and a widespread move to broaden income sources in response to reduced block rewards.

Argo Blockchain, among the first Bitcoin miners to go public, illustrates the sector’s upheaval. The London-based company revealed it will withdraw from the London Stock Exchange (LSE) as part of a court-led debt reorganization, with its primary lender, Growler Mining LLC, poised to take control of 87.5% of its shares, as detailed in a

. This decision follows years of financial hardship, including the 2022 sale of its Helios data center in Texas and reliance on outdated Antminer S19j equipment. Argo’s restructuring highlights the vulnerable status of mid-level miners, whose older technology and increasing operational costs have made it harder to manage debt.

The industry at large is reacting by leveraging debt to pivot toward AI and HPC. Publicly listed miners secured more than $4.6 billion in debt and convertible bonds in late 2024, with this trend gaining speed into 2025, according to a

. , for example, completed a $588 million convertible bond sale to invest in HPC and AI infrastructure, while TeraWulf announced a $3.2 billion senior secured bond issuance to expand its data centers, as reported by Cointelegraph. The MinerMag, an industry outlet, estimates that the total raised through debt and convertible bonds by 15 public miners reached $6 billion in the third quarter of 2025, raising alarms about potential defaults, according to a . Despite these risks, investors have responded positively to these changes, with companies such as Cipher Mining, Hut 8, and Bitfarms seeing their stock prices jump by double digits after revealing institutional support, according to .

Interest from major institutions has grown, with Wall Street powerhouse Jane Street Capital disclosing 5% ownership stakes in three leading Bitcoin miners: Bitfarms, Cipher Mining, and Hut 8, as reported by

. These investments sparked an immediate market reaction, with Cipher Mining’s shares climbing 19.73% and Hut 8’s rising 17.27% over two trading days, CoinCentral noted. Jane Street’s participation signals broader faith in the sector’s evolution, especially as miners secure long-term contracts for AI and HPC services to counteract falling Bitcoin income, according to Cointelegraph.

This new direction is yielding short-term benefits. Shares of Bitcoin mining firms have outpaced the cryptocurrency itself, with Bitfarms gaining 131% and Hut 8 rising 211% over the past year, compared to Bitcoin’s 73% increase, CoinCentral reports. Still, experts warn that higher interest expenses and execution risks remain significant obstacles. For example, TerraWulf’s 7.75% interest rate on its $3.2 billion in bonds results in $250 million in annual interest payments—a cost that could pressure profits if demand for AI services declines, according to CoinDesk.

At the same time, the post-halving market continues to challenge the sector’s durability. Bitcoin’s value, which briefly dipped below $105,000 in late October, has since steadied around $110,000, according to

. However, the real challenge for mid-level miners is to balance the volatility of cryptocurrency markets with the stability offered by AI and HPC contracts. As one executive shared in a , "Every addition to our treasury is more than just an investment—it’s a move toward aligning our corporate structure with the innovation happening directly on Bitcoin."

0
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

The ICP Surge: Unpacking a 30% Jump and Its Driving Factors

- ICP surged 30% in late October 2025 amid speculation and institutional adoption, driven by Microsoft/Azure partnerships and AI upgrades like Caffeine. - On-chain data shows 35% growth in active addresses but 91% fewer token transfers during downturns, highlighting fragile retail-driven momentum. - TVL hit $237B via asset tokenization, yet dApp engagement dropped 22.4%, signaling volatility despite 40+ tech upgrades including Chain Fusion. - Analysts project $11.15–$88.88 price ranges by 2030, contingent

Bitget-RWA2025/12/14 17:40
The ICP Surge: Unpacking a 30% Jump and Its Driving Factors

The Rise of a Structured Market for Clean Energy Derivatives and Its Influence on Institutional Investors

- CFTC's 2025 approval of CleanTrade and other platforms as SEFs transformed the opaque clean energy derivatives market into a transparent, institutional-grade ecosystem. - CleanTrade's $16B notional trading volume in two months highlights surging demand for standardized instruments, attracting BlackRock and Goldman Sachs to hedge decarbonization risks. - ESG-driven institutional investment in renewables reached $75B in Q3 2025, with global clean energy derivatives projected to grow from $39T to $125T by 2

Bitget-RWA2025/12/14 17:40
The Rise of a Structured Market for Clean Energy Derivatives and Its Influence on Institutional Investors

The Rise of a Fluid Clean Energy Marketplace: How CleanTrade is Transforming Institutional Investment in Renewable Resources

- CleanTrade's CFTC-approved SEF platform transforms VPPAs, PPAs, and RECs into institutional-grade renewable energy commodities. - The platform addresses historic market issues like illiquidity and opacity, enabling $16B in notional trading volume within two months. - Industry giants Cargill and Mercuria validate clean energy as a serious asset class through strategic participation in the regulated market. - By aligning financial and ESG goals, CleanTrade creates scalable alpha opportunities as global cle

Bitget-RWA2025/12/14 17:14
The Rise of a Fluid Clean Energy Marketplace: How CleanTrade is Transforming Institutional Investment in Renewable Resources

Clean Energy Market Dynamics and Investment Prospects: The Role of CFTC-Approved Platforms in Facilitating Institutional Participation

- CFTC-approved platforms like CleanTrade are transforming clean energy markets by standardizing derivatives and centralizing trading infrastructure, boosting institutional liquidity and transparency. - CleanTrade’s SEF designation in September 2025 enabled $16B in notional trades within two months, converting illiquid assets like RECs into tradable commodities with ESG-aligned risk management tools. - Institutional demand surged as 70% of large asset owners integrated climate goals, with IRA-driven clean

Bitget-RWA2025/12/14 16:38
Clean Energy Market Dynamics and Investment Prospects: The Role of CFTC-Approved Platforms in Facilitating Institutional Participation
© 2025 Bitget