Report: In 2024, multiple listed Bitcoin mining companies increased their BTC holdings and expanded into AI businesses, achieving business diversification

ChainCatcher message, according to a report released by NiceHash and Digital Mining Solutions on January 7, publicly listed Bitcoin mining companies are following in the footsteps of MicroStrategy by increasing their Bitcoin treasury holdings.

The report states: "In 2024, there has been a significant shift among Bitcoin mining companies, with many choosing to retain more of their mined Bitcoin or not selling it at all."

Mining companies may choose not to sell Bitcoin for various reasons, including expectations of further appreciation in BTC prices or strengthening their balance sheets, as well as for hedging against currency devaluation.

The report mentions that MARA Holdings, Riot Platforms, and Hut 8 have used borrowed funds to increase their Bitcoin holdings, further expanding their treasury strategies. Four of the largest 16 Bitcoin-holding companies are mining firms.

The report states that, in addition to their core mining operations, by 2024, some mining companies "will further diversify into high-performance computing and artificial intelligence to generate predictable revenue streams to buffer against mining volatility."

This trend is particularly evident in the United States, where "the harsh mining economics and lucrative AI/HPC business are enticing them to diversify into other computing fields." In addition to increasing their BTC holdings, mining companies like CleanSpark have also chosen to retain most of the BTC produced in recent months. Several Bitcoin miners with a market capitalization of at least $100 million have generated significant revenue from AI and HPC initiatives. For example, in the first three quarters of 2024, HPC/AI revenue accounted for nearly 8% of Hut 8's revenue and nearly 7% of Hive Digital's revenue.