
CoreWeave’s $9 billion acquisition of Core Scientific provides an AI road map for struggling Bitcoin miners
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CoreWeave was once all in on crypto. Now the AI company has helped another crypto miner pivot.
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cryptocurrency
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July 9, 2025
03:58 PM
Fortune
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Companies·Artificial IntelligenceCoreWeave’s $9 billion acquisition of Core Scientific vides an AI road map for struggling Bitcoin minersBY Ben WeissBY Ben WeissCrypto ReporterBen WeissCrypto ReporterBen Weiss is a crypto reporter at Fortune
SEE FULL BIO CoreWeave went public in March on the Nasdaq exchange
Yuki Iwamura—Bloomberg/Getty ImagesIn March, the AI data center company CoreWeave went public, and its price quadrupled amid the broader artificial intelligence boom
But AI wasn’t always the company’s focus
It started in 2016 as a specialist in crypto mining—a term for using computers to cess transactions and secure a cryptocurrency’s network
Amid crypto’s volatile ups and downs, CoreWeave shifted its to AI in 2019
Now, CoreWeave has helped another crypto mining operation fully pivot
On Monday, the company announced its plans to acquire Core Scientific, a publicly traded Bitcoin miner
The acquisition, which CoreWeave said is expected to close in the fourth quarter, was an all-stock deal for $9 billion
The deal s months of announced contracts between CoreWeave and Core Scientific, in which the AI company paid the Bitcoin miner for an increasingly larger of its cessing power
And it comes as Bitcoin mining has become less fitable owing to increased competition and decreased margins
Amid the tightening sector, other Bitcoin mining operations have also lent their data warehouses out to AI companies, which require large amounts of computing power for tasks such as training large language models
Still, Core Scientific’s pivot underlines the increasingly road map for Bitcoin miners: dedicate warehouses once reserved for Bitcoin mining servers to servers designed for AI. “It kind of reinforces the thesis that there is bably some shortage when it comes to power,” Brett Knoblauch, an analyst at Cantor Fitzgerald, told Fortune, in reference to AI companies’ hunger for computing power
Bitcoin to AI At their core, Bitcoin miners are data center operators
They build large warehouses to house thousands of computers designed to support Bitcoin’s network
Meanwhile, as much as 20% of global data-center demand comes from artificial intelligence, according to recent re in the academic journal Joule
And 40% of existing AI data centers will reach their power limits in 2027, predicted the analytics firm Gartner
That hunger for power has AI specialists CoreWeave looking to build out their fleets of computers to account for rising demand. “The only place where you can get power and size is the miners,” said Knoblauch
Core Scientific isn’t the only Bitcoin miner shifting to AI
In 2023, Hive Blockchain nologies changed its name to Hive Digital nologies and said it planned to use some of its computers for AI
In December, TeraWulf struck a deal with Core42
And in April, the crypto company Galaxy, which has a Bitcoin mining division, said it planned to work with CoreWeave. “Pivoting to HPC compute has been a key theme among BTC miners with strong energy asset portfolios,” Brian Dobson, an analyst at Street, told Fortune. (HPC refers to high-performance computing, a catch-all term that includes AI. ) Larger data center viders, including hyperscalers Amazon, Google, and Microsoft, haven’t struck similar deals with a Bitcoin miner, said Knoblauch, the Cantor Fitzgerald analyst. “The only one that’s been super aggressive and taking up capacity is CoreWeave,” he added
Hyperscalers tend to conduct due diligence on their vendors for longer periods than more nimble upstarts CoreWeave, he said
And companies Google or Amazon may be skeptical of Bitcoin miners’ ability to convert their simpler facilities into more sophisticated AI data centers, he added
Now that CoreWeave, one of the few firms taking chances on miners, has committed to Core Scientific, it may be more difficult for Bitcoin mining operations to replicate Core Scientific’s success
Knoblauch remains optimistic that miners, who have built es on finding and using cheap electricity to power warehouses of servers, can still ride the energy-intensive AI boom. “Miners are relatively unique in that they are experts when it comes to power,” he said. “And they have a lot of it. ” Learn more all things crypto with short, easy-to-read lesson cards
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