Bitfarms Announces Gradual Shutdown of Bitcoin Mining Operations Over Next Two Years

2025-11-14 08:21:34

Bitfarms Bitcoin mining shutdown is underway, with the publicly traded crypto miner planning to phase out its BTC operations by 2027 in favor of high-performance computing (HPC) and AI infrastructure. The announcement, made alongside Q3 2025 earnings on November 13, sent shares tumbling 17% in pre-market trading to $1.27, reflecting a $46 million quarterly loss and strategic pivot amid shrinking mining margins.

The Pivot: From Bitcoin Mining to AI Data Centers

Bitfarms Ltd. (NASDAQ: BITF), one of North America’s largest Bitcoin miners, will wind down its BTC mining over 2026-2027, converting sites to AI and HPC facilities. The transition starts with its 18-megawatt Washington State site, now slated for Nvidia GB300 GPUs with liquid cooling. A fully funded $128 million agreement with a U.S. partner covers equipment and build-out, targeting December 2026 completion.

CEO Ben Gagnon stated: “Despite being less than 1% of our total developable portfolio, the conversion of just our Washington site to GPU-as-a-Service could potentially produce more net operating income than we have ever generated with Bitcoin mining.” The shift addresses falling BTC prices and halving impacts, with AI demand offering stable, high-margin revenue.

Timeline: Wind down 2026-2027; Washington conversion by Dec 2026.
Capacity: 341 MW across 12 North American data centers.
Partner Deal: $128M fully funded for GPUs and infrastructure.

Q3 Earnings: $46 Million Loss Amid Revenue Dip

Bitfarms reported Q3 revenue of $69 million, down from prior quarters, with a $46 million net loss ($0.08 per share) versus $24 million last year. Adjusted EBITDA rose to $20 million (28% of revenue), but operating losses widened to $29 million. The company mined 520 BTC at $48,200 direct cost and sold 185 at $116,500 average for $22 million proceeds. Liquidity stands at $814 million, including $637 million cash and $177 million unencumbered BTC.

A $10 million share buyback is underway, repurchasing 7.8 million shares at $1.27 average, with 94% YTD stock gains despite the pivot news.

Q3 Revenue: $69M; net loss $46M.
Mining Output: 520 BTC; $22M sales proceeds.
Liquidity: $814M; buyback 10% float.

Broader Industry Trend: Miners Chasing AI Gold Rush

Bitfarms joins peers like Core Scientific, Iris Energy, and TeraWulf pivoting to AI/HPC, where long-term contracts yield 2-3x mining margins. BTC mining’s profitability fell 50% post-halving, with $0.10/kWh energy costs eroding edges. AI’s $500 billion market offers stable revenue, with Bitfarms eyeing GPU-as-a-Service for $20-30M annual income per site.

2025 Bitfarms Stock Price Prediction: $2-$3 Consensus

Bitfarms stock price prediction for 2025 targets $2-$3, with 57-136% upside on AI pivot. Changelly $1.80-$2.20; CoinDCX $2.50. Bull catalysts: HPC conversions; bear risks: Volatility testing $1 support.

For investors, how to buy Bitfarms stock via compliant platforms ensures entry. How to sell Bitfarms stock and how to cash out Bitfarms stock offer liquidity. Sell Bitfarms stock for cash and convert Bitfarms stock to cash enable fiat conversions.

Trading Strategy: Pivot Longs

Short-term: Long above $1.27 targeting $1.50, stop $1.10 (13% risk). Swing: Accumulate dips, staking for 5% APY. Watch $1.35 breakout; below $1.10, exit.

In summary, Bitfarms’ two-year Bitcoin mining shutdown for AI infrastructure, amid $46M Q3 loss, signals $2-$3 2025 stock potential in mining’s AI pivot.

BTC0,21%

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