Core Scientific to quit Bitcoin mining by year-end as AI business surges

What happened

Core Scientific said it expects to end Bitcoin mining by the end of 2026, complete the wind-down in the fourth quarter, and enter 2027 focused on high-density colocation, providing data-center space and services. Bitcoin mining brought in $17.5 million, or 7.5% of its third-quarter revenue.

Confirmed

Global impact / market context

The shift redirects Core Scientific’s business away from mining revenue, which fell sharply year over year, toward colocation services, which generated most third-quarter revenue. Completing the exit could reduce exposure to mining operations while making results more dependent on demand for AI and computing infrastructure.

Analyst inference

The reported figures show colocation already accounted for $215.4 million of third-quarter revenue, while Bitcoin mining contributed $17.5 million. That revenue mix suggests the planned exit is an acceleration of an existing business shift, rather than a move away from the company’s main current revenue source.

Analyst inference

What to watch

1. Watch whether Core Scientific completes the mining wind-down in the fourth quarter and enters 2027 as a colocation provider, as its chief financial officer expects. Confirmed
2. Track whether Bitcoin self-mining and hosted-mining revenue continue to decline before the exit; the latest quarter reported $12.3 million and $5.2 million, respectively. Confirmed
3. Colocation revenue and customer demand will indicate whether AI and computing infrastructure can replace mining income and support the company’s planned business focus. Analyst inference

Affected assets

• BTC — Bitcoin

Evidence

• cointelegraph.com