U.S. Mining Giants Abandon Bitcoin Amid Rising Costs

Large public mining companies in the U.S. are transitioning away from cryptocurrency mining due to falling profits, according to recent developments.

The industry has faced significant challenges since the 2024 halving and decline in Bitcoin's price at the end of 2025, making it unprofitable for some miners. For example, TerraWulf's cost to mine a single BTC soared to $385,000, while the market price hovered around $70,000.

Instead, these companies are repurposing their operations to develop infrastructure for artificial intelligence initiatives and high-performance computing (HPC). IREN, HUT 8, TerraWulf, Riot Platforms, Bitdeer, and Cipher Digital are among those leading this shift.

The transition is largely driven by the increasing costs of mining, including electricity prices, ASIC hardware expenses, and ancillary costs. Miners will receive substantial compensation for providing their data centers to support AI companies, such as Anthropic and Microsoft.