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AI & TECH

Miners flip rigs to AI for 4x valuation jump

Saturday, June 27, 2026 · from 2 podcasts
Nostr CompassTFTC
  • Bitcoin miners repurposing energized sites for AI hit 4x valuation multiples.
  • Core Scientific proves miners can deliver industrial-grade AI infrastructure.
  • Stranded power assets become AI’s fastest on-ramp.

Miners who secured gigawatts of power after the 2021 China ban now own the scarcest resource in AI: energized real estate. Companies like Marathon Digital and Riot locked down land and interconnection rights during Bitcoin’s bull run, building what hyperscalers now see as turnkey sites. Tech giants face years-long grid delays - miners bypass that.

Brandon Bailey on TFTC argues the hash rate migration to North America created an accidental pipeline of ready-to-deploy compute. AI demand isn’t just opportunistic leasing - it’s a structural shift. A 15-year lease with Microsoft or Google transforms a speculative miner into a high-grade infrastructure play.

"The miners own the dirt and the wires that the AI arms race requires."

- Brandon Bailey, TFTC

Valuation arbitrage is real. Bitcoin miners trade at 4-6x EBITDA; data centers like Equinix at 20-24x. Switching offtakers - from Bitcoin to AI - triggers re-rating. Core Scientific, HUT 8, and TerraWolf already leased capacity to CoreWeave. Smaller miners with 50 MW could see $1M/MW valuations, up from $200k-$400k.

But execution matters. Bitcoin mining tolerated downtime. AI training demands five-nines uptime. Core Scientific delivered first, proving miners can build to spec. Others face skepticism until construction is financed and complete.

"It’s a two-phase re-rating: sign the lease, then deliver the build."

- Brandon Bailey, TFTC

The AI arms race - driven by US-China game theory and hyperscaler moat defense - makes power the new bottleneck. Miners aren’t just selling excess capacity. They’re repositioning as energy infrastructure firms. The rush will push Bitcoin mining toward stranded and distributed power, creating durable economics in a supply-constrained ASIC market.

#AI Infrastructure#Energy#Regulation
CoreWeaveMarathon DigitalChinaGoogleMicrosoft

Source Intelligence

- Deep dive into what was said in the episodes

Nostr Compass
Nostr Compass

Nostr Compass Podcast #26 • Jun 24

Also from this episode: (12)

Media (1)

  • Jillian introduces Capital Compass, the official podcast of the New York State Catholic conference, noting episode 26 features an interview with Bishop Richard Henning.

Religion (10)

  • Pope Francis appointed Bishop Richard Henning as coadjutor Bishop of Providence, Rhode Island, on November 23rd, transitioning him from his current auxiliary bishop role in the Diocese of Rockville Center.
  • Bishop Richard Henning explains a coadjutor bishop serves as a designated successor to an existing bishop nearing retirement or facing illness, providing a preparatory period before automatically assuming the diocesan bishop role upon the predecessor's retirement.
  • Bishop Richard Henning was ordained in 1992, led the Seminary of the Immaculate Conception from 2012, and became auxiliary Bishop of Rockville Center in 2018, later serving as vicar for clergy and pastoral planning in 2021.
  • Bishop Richard Henning actively serves on the United States Conference of Catholic Bishops, contributing to the doctrine committee, the subcommittee for the church in Latin America, and chairing the subcommittee for the translation of the Sacred Scriptures.
  • Bishop Richard Henning plans to engage early with Providence's Spanish-speaking community, scheduling a Spanish mass after his installation, as his fluency offers a distinct leadership dynamic not present with Bishop Tobin. He will relocate to Providence by the third week of January.
  • Bishop Richard Henning is fluent in Spanish and formerly fluent in Italian, having studied in Italy for two years. His five years of in-depth scripture study using ancient French, Greek, and Hebrew profoundly influences his preaching and leadership; he is now learning Portuguese.
  • Bishop Richard Henning holds that the church's vitality resides primarily in parishes, guiding his commitment to parish life and supporting priests. He emphasizes listening during his initial months in Providence, aligning with Pope Francis's focus on discernment and community input.
  • Bishop Richard Henning will apply his experiences with international priests, Hispanic ministry, and educational leadership from Rockville Center in his new role. He praises Bishop Tobin's team in Providence as dedicated and mission-driven.
  • Bishop Richard Henning notes he will primarily miss the people and relationships in New York, including his priest friends and the New York State Bishops. He commends Cardinal Dolan for courageous leadership and humor, and Bishop Barris for exceptional mentorship.
  • Bishop Richard Henning thanks the faithful of Rockville Center for preparing him, trusting them to God's grace as he departs. He expresses eagerness to learn the hopes and needs of the people of Providence while proclaiming the Gospel.

Sports (1)

  • Bishop Richard Henning describes his deep passion for water-based activities like sailing and kayaking as his "happy place." He values Rhode Island's identity as the "ocean state" for keeping him near water despite moving into a city.
#Society#Religion
TFTC: A Bitcoin Podcast
TFTC: A Bitcoin Podcast

Marty Bent

#761: Miners Own The Power Gold Rush with Brandon Bailey • Jun 22

  • Brandon Bailey argues the 2021 China mining ban caused up to 30% of Bitcoin hash rate to relocate to the US, leading to a North American gold rush and the institutionalization of mining.
  • Bailey says Bitcoin mining companies like Marathon, Riot, and CleanSpark amassed gigawatts of power portfolios during the 2021 bull cycle because margins were incredible.
  • Bailey states Bitcoin miners transitioned to AI compute because a 10-15 year hyperscaler lease offers guaranteed cash flow, unlike volatile mining income.
  • He explains Bitcoin miners trade at 4-6 times EBITDA, while traditional data center players like Digital Realty and Equinix trade at 20-24 times EBITDA, creating a massive multiple expansion opportunity.
  • Bailey cites Core Scientific, HUT 8, Cypher, TerraWolf, and Applied Digital as pioneers successfully pivoting from mining to AI compute.
  • He notes Core Scientific has 590 megawatts of critical capacity leased to CoreWeave and has begun delivering.
  • Bailey describes a two-phase re-rating process for Bitcoin miners: signing a lease creates the first valuation pop, and financing and delivering construction removes the remaining execution discount.
  • He argues AI compute demand is driven by nation-state game theory, with the US and China in an AI arms race, and by hyperscalers like Google, Amazon, Meta, and Microsoft competing to protect their moats.
  • He says smaller Bitcoin miners with 50 MW of power could contribute their assets into a JV at valuations over $1 million per megawatt, far above their current $200k-$400k valuations.
  • Bailey believes using LLMs is a learned skill akin to the internet age; laggard employees who don't adopt it will face a massive disadvantage.
  • He built Dimetrix.ai as a market intelligence tool for digital infrastructure investors, automating the extraction of granular site data like power capacity and lease details from SEC filings.
  • Bailey argues counties that reject data centers miss the opportunity to bring new generation, capture capital for local investment, and potentially see lower power rates compared to anti-data center regions.
  • He concludes the AI compute rush will push Bitcoin mining towards stranded and distributed power sources, potentially creating a golden era of durable mining economics due to constrained ASIC supply and power availability.
Also from this episode: (2)

Politics (1)

  • Bailey observes political pushback against massive AI data centers is creating more demand for smaller 20-50 megawatt sites.

Big Tech (1)

  • Marty Bent notes Google raised $84.5 billion in an equity raise involving Berkshire Hathaway to fund AI CapEx, signaling a shift from stock buybacks to full growth mode.
#Energy#Markets#Macro#Big Tech#AI Infrastructure

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