Texas Bitcoin Miners with Secured Power Capacity Poised for Valuation Gains

Investment firm Bernstein has identified an opportunity for Bitcoin miners and AI infrastructure companies in Texas to see their valuations rise due to secured power capacity. The state's audit of grid interconnection projects could lead to higher returns per megawatt for companies that have already navigated the regulatory landscape.

This development is significant as Texas has become a hub for both industries, with its deregulated energy market and abundant renewable resources. However, the state's grid operator, ERCOT, has faced challenges in managing the rapid growth of large-scale energy consumers.

Bernstein maintains an outperform rating on several companies that it believes are well-positioned: Cipher Mining (CIFR), CleanSpark (CLSK), Core Scientific (CORZ), IREN (IREN), Riot Platforms (RIOT), and TeraWulf (WULF). In contrast, MARA Holdings (MARA) was assigned a market-perform rating.