Bitfarms is set to shut down its Bitcoin mining operations over the next two years and gradually convert its facilities into AI-focused high-performance computing data centers. The transition will begin with its Washington site, which the company plans to repurpose for a new generation of compute-heavy workloads, according to an announcement made on November 13.
The Washington facility, an 18-megawatt Bitcoin mining site, is expected to complete its conversion by December 2026. Once transformed, it will feature state-of-the-art infrastructure powered by Nvidia’s flagship GPUs. This upgrade will enable the facility to support workloads of up to 190 kilowatts per rack, enhanced with advanced liquid cooling systems to maximize efficiency.
As part of the transition deal, Bitfarms’ partner will supply all critical IT hardware and building materials necessary to complete the facility’s conversion.
“We believe there are compelling reasons to consider pursuing a GPU-as-a-Service or Cloud monetization strategy, specifically at Washington. Despite being less than 1% of our total developable portfolio, we believe that the conversion of just our Washington site to GPU-as-a-Service could potentially produce more net operating income than we have ever generated with Bitcoin mining,” said Bitfarms CEO Ben Gagnon in an official statement.
Gagnon expects that the Washington conversion will provide the company with “a strong cashflow foundation” and support the wind-down of its Bitcoin mining business scheduled for 2026 and 2027.
Bitcoin mining has become a highly competitive market characterized by thinning margins and capital-intensive upkeep. Crypto miners, with their ready access to infrastructure and power contracts, currently maintain an advantage over traditional data center operators. However, many mining firms have started dismantling rigs to pivot toward AI and high-performance computing, especially following the 2024 Bitcoin halving event, which cut block rewards and further tightened mining economics.
By the first half of 2025, Bitfarms’ mining revenue was already showing signs of strain, marked by sharply compressed gross margins and soaring production costs. With the AI sector poised to generate stronger recurring revenue and enterprise-grade demand, Bitfarms aims to seize this opportunity alongside many of its publicly traded competitors.
Shareholders have voiced support for this strategic shift, and Bitfarms’ stock has performed strongly through most of 2025 as the company doubled down on its pivot toward compute infrastructure, capitalizing on the booming AI wave.
Another motivating factor for this transition has been Bitfarms’ recent weak financial performance. The company posted a net loss of $46 million, or 8 cents per share, in its latest quarter—worse than analyst expectations of a 2-cent loss per share—even as revenue jumped 156% year-over-year to $69 million.
With this strategic pivot, Bitfarms is positioning itself to thrive in the evolving tech landscape by shifting focus from Bitcoin mining to AI-driven high-performance computing services.
https://bitcoinethereumnews.com/bitcoin/bitfarms-to-exit-bitcoin-mining-and-go-all-in-on-ai-by-2027/
