Bitfury, a pioneering name in the blockchain and cryptocurrency space, has announced a major strategic pivot. After 14 years in Bitcoin mining, the company is transitioning into a cutting-edge investment firm, allocating $1 billion to develop AI and crypto startups. This groundbreaking move positions Bitfury at the forefront of ethical emerging technologies.
The Vision Behind the Shift
Bitfury, which began mining Bitcoin in 2011, has decided to explore new horizons beyond traditional blockchain infrastructure. According to CEO Val Vavilov, the company’s mission is to invest in technologies that blend innovation with ethics to promote societal resilience.
The fund will target several key tech areas, including artificial intelligence (AI), quantum computing, and decentralized systems, focusing on projects that enhance transparency and long-term digital sustainability.
Why This Change?
The shift comes amidst declining profitability in Bitcoin mining. Over the past year, mining difficulty has surged by 52%, while Bitcoin’s price has dropped by 26.2% from its recent peak. These factors have prompted many mining firms, including Bitfury, to diversify their operations to maintain profitability.
Other major players have taken similar steps, converting mining sites into AI data centers. For instance, Bitfarms repurposed its mining infrastructure to support AI-driven initiatives. This highlights a growing trend in the crypto space: mining firms pivoting into emerging technologies.
Bitfury’s Experience in Emerging Technologies
Bitfury is no stranger to innovation. The company co-founded Axelera AI, a Netherlands-based chip manufacturer specializing in machine learning, and developed LiquidStack, an immersion-cooling solution for AI data centers. With hands-on expertise in AI hardware and cooling systems, Bitfury is well-positioned to leverage this extensive knowledge for its new investment fund.
The fund also emphasizes ethical tech development, particularly in areas like self-sovereign identity (SSI). With SSI, individuals can control their own digital identities, enhancing privacy and promoting transparency in digital ecosystems.
A Broader Impact
Starting in Q4 2025, the $1 billion investment fund will act as a catalyst, connecting visionary founders with ethical technology investors. This will offer startups a unique opportunity to receive tailored support from a company with a decade of experience in blockchain and crypto innovation.
Bitfury’s exit from Bitcoin mining signals a significant industry evolution. Its commitment to driving ethical innovation and sustainability is poised to set a precedent for other legacy companies navigating these changes.
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