IREN Still Relies Heavily on BTC as it Transitions to AI Cloud Provider
Bitcoin miner IREN has made significant strides in transitioning from a BTC-focused business to an AI cloud provider, but it still derives 82% of its revenue from Bitcoin mining. According to its fiscal 2026 results, filed on August 27, IREN generated $578.2 million from Bitcoin mining out of total annual revenue of $707 million.
The company is in the process of clearing room for Microsoft's AI cloud infrastructure and growing its own AI cloud services revenue. However, it still has a substantial amount of installed Bitcoin mining capacity, with about 23.2 EH/s across roughly 380MW remaining to be decommissioned and converted to AI workload sites.
IREN aims to substantially complete this transition by the end of the year, but there are risks associated with delays in customer acceptance, performance, and counterparty risks. The company has contracts worth $4 billion for its AI cloud services, which could potentially replace its mining business on a run-rate basis if executed.