Core Scientific plans to exit Bitcoin mining by the end of 2026

What happened

Core Scientific plans to end its self-mining of Bitcoin by December 31, 2026, and is also winding down hosted mining for third parties. From 2027, it intends to focus on colocation services for high-performance computing and AI workloads, as colocation revenue grows and mining revenue falls.

Confirmed

Global impact / market context

The shift redirects power and data-center space from Bitcoin mining toward contracted computing services. Colocation revenue and margins are stronger in the reported quarter, while self-mining recorded a gross loss. If the transition succeeds, it could make company revenue less dependent on mining activity, but execution and customer demand remain important.

Analyst inference

The article shows a sharp contrast between the two businesses: colocation revenue was $215.4 million in the third quarter, while self-mining revenue was $12.3 million. Management says 485 MW of billing capacity supports more than $700 million in annualized colocation revenue; that is a stated run-rate, not reported revenue.

Confirmed

What to watch

1. Watch whether Core Scientific completes the self-mining exit by December 31, 2026, and continues winding down hosted mining, as planned. Confirmed
2. Track whether colocation capacity converts into actual customer revenue; management’s annualized figure is a run-rate estimate, not a guarantee of future sales. Analyst inference
3. The disclosed CoreWeave contract covers approximately 590 MW; watch for details on how customer agreements support the planned shift to computing services. Confirmed

Affected assets

• BTC — Bitcoin

Evidence

• cryptobriefing.com