AI changes the rules of the game: miners shift to Bitcoin accumulation strategy.

Large Bitcoin mining companies are actively storing this cryptocurrency to shield their profits from rising electricity costs, even amidst the record Bitcoin price of $100,000.

Since November, miners have received over $3.7 billion in investments through the issuance of zero or nearly zero coupon bonds to purchase Bitcoin and prepare for upcoming market changes, reports Mezha citing FT.

This activity coincided with Donald Trump's victory in the US presidential elections. He promised that Bitcoin would be mined and produced in the USA. However, industry representatives state that the main reason for the massive reduction in cryptocurrency is the economic pressure from high electricity costs and hopes for its future price increase.

Revenue from Bitcoin mining has decreased following the halving of mining rewards in April. The number of new coins miners can receive daily has dropped from 900 to 450. Along with rising electricity prices, this has put pressure on miners' profits. According to CoinShares, the average cost of mining one Bitcoin for public companies in the USA amounted to $55,950 in the third quarter. Considering depreciation and other costs, the total cost could reach $106,000 per coin. Meanwhile, the price of Bitcoin fluctuates around $102,175.

'If the price of Bitcoin wasn't rising, we would have seen many companies shutting down equipment or declaring bankruptcy,' said James Butterfill, head of research at CoinShares.

Despite rising prices, miners faced increased competition and hash rate - the total computing power required to ensure the security of the Bitcoin network. Last week, the hash rate reached an all-Time high, threatening to reduce miners' profits due to the difficulty in mining new coins.

'We are observing a sharp increase in Bitcoin hash rate, indicating a massive rollout of new equipment. This makes companies with high mining costs particularly vulnerable in the event of a price correction,' Butterfill added.

In the USA, miners also faced tough competition for energy resources. In Texas, the largest state for cryptocurrency mining, regulators have mandated data centers consuming over 75 MW to provide annual reports on energy usage. By 2025, energy demand among large users is expected to grow by 60%.

The biggest challenge for miners may come from companies developing artificial intelligence. AI companies have more financial resources and increase the demand for computing power and energy.

Some companies plan to relocate half of their farms abroad by 2028, to regions with surplus energy, such as Kenya, the UAE, and Paraguay. Others are trying to profit from artificial intelligence. NVIDIA graphics cards, used for cryptocurrency mining, can also be utilized for processing large volumes of data in the artificial intelligence sector. Companies like Hut 8, Core Scientific, and Hive have already started renting their data centers to large AI hyperscalers.