Bitcoin miners face AI squeeze as hash rate flattens, network enters

American Bitcoin Corp. (ABTC) announced the activation of more than 11,000 new ASIC miners at its Drumheller facility, adding roughly 3.05 EH/s to its operational hash rate and bringing its active fleet to about 25 EH/s [1]. At the same time, MARA Holdings disclosed a strategic shift away from aggressive mining expansion toward energy and artificial‑intelligence (AI) data‑center projects, even as its hash rate rose 33 % year‑over‑year to 72.2 EH/s [2]. The broader Bitcoin network, having just completed its fourth halving, is entering a new security phase with flat hash‑rate growth and miners confronting tighter margins [3].

Key takeaways

• ABTC’s Drumheller expansion added 3.05 EH/s, raising its active capacity to ~25 EH/s [1].
• MARA’s hash rate grew to 72.2 EH/s, but the company sold $1.5 billion of Bitcoin and is redirecting capital to AI‑compatible power assets [2].
• The recent halving cut block rewards to 3.125 BTC, prompting analysts to expect consolidation among miners as profitability narrows [3].

Expansion and diversification in the mining sector

American Bitcoin’s latest deployment marks the completion of a previously announced expansion plan, bringing its total owned fleet to roughly 89,242 miners capable of producing up to 28.1 EH/s [1]. The new machines operate at an efficiency of about 13.5 J/TH, improving the company’s average operational efficiency to 14.1 J/TH. Executives framed the move as a disciplined capital allocation strategy aimed at scaling Bitcoin exposure while maintaining low operating costs [1].

MARA Holdings, by contrast, is reshaping its business model. After reporting a $1.3 billion net loss and a 18 % revenue decline, the firm sold about $1.5 billion of Bitcoin, including a $1.1 billion block used to repurchase convertible notes [2]. Management described Bitcoin as “ammunition” on the balance sheet and signaled that future capital will prioritize the Long Ridge Energy & Power campus in Ohio—a 505‑MW gas‑fired plant that could support over 600 MW of AI and high‑performance computing loads [2]. Around 90 % of MARA’s non‑hosted mining capacity is expected to be convertible to AI or IT workloads, positioning the company at the intersection of two energy‑intensive sectors [2].

Post‑halving security dynamics and miner outlook

The fourth Bitcoin halving, which occurred on 8:09 p.m. Eastern, reduced the block subsidy to 3.125 BTC and left the network’s hash rate largely unchanged in the immediate aftermath, with price stability around $63,000 [3]. Analysts note that the halving’s impact on price appears largely priced in, but the reduction in miner revenue could accelerate consolidation as less‑efficient operators exit the market [3]. Some miners are exploring alternative revenue streams, such as higher transaction fees from emerging use cases like Ordinals and layer‑two solutions, to offset the revenue shortfall [3].