Bitcoin mining companies have accumulated $12.7 billion in debt over the past year as they expand infrastructure for both Bitcoin and AI, according to VanEck's October ChainCheck report. The surge in debt financing comes as equity valuations decline and demand for AI services grows. Notable recent funding includes Bitfarms securing $588 million and TeraWulf obtaining $3.2 billion. Analysts highlight that the shift towards AI hosting services is helping miners stabilize cash flows and reduce dependency on Bitcoin rewards, especially in light of the upcoming April 2024 halving.
Bitcoin Miners' Debt Reaches $12.7 Billion Amid AI Expansion
Disclaimer: The content provided on Phemex News is for informational purposes only. We do not guarantee the quality, accuracy, or completeness of the information sourced from third-party articles. The content on this page does not constitute financial or investment advice. We strongly encourage you to conduct you own research and consult with a qualified financial advisor before making any investment decisions.