Bitfarms pivots to AI after wider Q3 loss

Bitfarms Ltd. will phase out Bitcoin mining over the next two years and redirect capital to artificial-intelligence computing, beginning with the conversion of its Washington state site into a GPU-as-a-Service facility. The shares slipped about 5.7% Thursday after the company posted a wider third-quarter loss.

The Toronto-based miner plans to redesign the Washington property for AI and other high-performance computing workloads. Management cited pressure on mining margins, tied in part to lower cryptocurrency prices, as a reason to reallocate resources to data-center services. Bitfarms expects renting graphics-processing-unit capacity to generate stronger returns than operating bitcoin rigs.

The company noted the Washington location represents less than 1% of its developable portfolio. “Despite being less than 1% of our total developable portfolio, we believe that 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,” Chief Executive Officer Ben Gagnon noted in a Thursday statement.

For the third quarter, Bitfarms reported a net loss of $46 million on revenue of $68 million. The stock was down about 5.7% as of 9:56 a.m. in New York and remains roughly doubled year to date.

Other miners experimenting with AI-oriented projects, including Cipher and Terawulf, have attracted investors such as SoftBank and Google to fund data-center development, bringing in sizable projected revenue and supporting additional debt financing.

As we covered previously, U.S. energy officials asked federal regulators to develop uniform rules for connecting large power users-primarily AI data centers and crypto-mining sites-to interstate transmission. The proposal under discussion targets loads above 20 megawatts, standardizes contracts, and offers faster reviews for projects that agree to managed curtailment or co-locate with generation. It also outlines cost-sharing for grid upgrades and keeps reliability checks, with work requested by April 30, 2026.