- Miners are investing in artificial intelligence (AI) and other areas of the economy.
- Individuals and large companies are trying to diversify their risks to be less dependent on mining.
- Besides bitcoin, miners are mining Ethereum Classic, Ravencoin, Ergo.
Bitcoin miners are gradually moving beyond mining cryptocurrencies and exploring new areas of work.
Many of them offer hardware computing power to the artificial intelligence (AI) market, which is growing rapidly. This was reported by Coindesk, citing a study by JPMorgan.
Analysts found that over the past few months, owners of mining equipment have sold some assets and invested in the AI sector.
Experts say they want to reduce their reliance on crypto through diversification.
“With the rapid growth of AI, the increasing demand for high-performance computing is opening up new opportunities for GPUs,” JPMorgan said.
Some bitcoin mining firms have rebranded to emphasize business expansion.
Thus, Hive Blockchain Technologies (HIVE) is now called Hive Digital Technologies, and Riot Blockchain (RIOT) is now Riot Platforms.
After the Ethereum blockchain’s transition to the new Proof-of-Stake consensus algorithm, many graphics processing units (GPUs) have entered the market, experts said.
They were previously used for mining but have since “lost their usefulness.”
Some miners have sold the equipment to recoup their investment, while others have focused on mining cryptocurrencies with the Proof-of-Work algorithm: Ethereum Classic, Ravencoin, Ergo, the report said.
In April 2023, Intel said it would stop producing chips for mining because it does not consider it a priority. Bitcoin mining difficulty set a new all-time high in August.