Bitfarms, a leading Bitcoin miner, reported a first-quarter net loss of $36 million, a significant increase from the $6 million loss in the same period last year. The company’s shift from Bitcoin mining to high-performance computing for artificial intelligence applications contributed to this loss. Despite the loss, Bitfarms saw a 33% increase in sales to $67 million for the quarter ending March 31. However, the gross profit margin for Bitfarms’ mining operations decreased to 43% from 63% year-over-year, mainly due to Bitcoin’s “halving” in April 2024 and price volatility. The quarterly operating performance of Bitfarms reflected these challenges. In response to market conditions, Bitfarms has diversified into high-performance computing (HPC) and expanded its presence in the US to mitigate potential trade wars. The company’s CEO, Ben Gagnon, highlighted the strategic pivot to the US and HPC as essential for the company’s growth and development. This move aligns with a broader trend of miners entering AI data-center hosting to increase revenue and repurpose existing infrastructure for high-performance computing. CoreWeave, an AI computing provider, recently raised $1.5 billion in an IPO, emphasizing the growing demand for AI-related companies. Bitfarms secured a $300 million credit line from Macquarie to expand its HPC facility in Pennsylvania. Additionally, the company sold a Bitcoin mining facility in Paraguay to Hive Digital for $85 million. These strategic moves position Bitfarms well to capitalize on potential Bitcoin upside while focusing on AI and HPC development.