Bitfarms is making a large investment in HPC and AI.

Bitfarms Transitions to High-Performance Computing and AI

Bitfarms Ltd. (NASDAQ:BITF) is rapidly transitioning from Bitcoin (Crypto: BTC) mining to the burgeoning high-performance computing (HPC) and artificial intelligence (AI) data center sectors. Last week, it announced plans to issue $500 million in convertible bonds to finance this transformation.

In total, Bitfarms has reportedly secured $800 million in financing. This amount is allocated between the $500 million convertible bond offering and $300 million in project financing for the construction of the Panther Creek data center in Pennsylvania.

Inspired by Market Players

This aggressive transformation is modeled after peers like IREN Ltd. (NASDAQ:IREN) and Hut 8 Corp. (NASDAQ:HUT), who have converted their mining infrastructures into HPC operations to meet the wave of AI demands. The 350-megawatt capacity Panther Creek campus, which forms the cornerstone of Bitfarms' expansion process, is designed to host large-scale workloads.

The first phase of the project is expected to be operational by the end of 2026, positioning Bitfarms as a serious data infrastructure player in the U.S. market.

Companies Successfully Undergoing Transformation

Bitfarms aims to emulate the success of firms like IREN and Hut 8, which have transformed their high energy-consuming operations into data center services that cater to AI training, cloud computing, and enterprise applications. Both IREN and Hut 8 have successfully executed their transformations financially.

IREN reported record revenues of $501 million for the fiscal year 2025, with a net income of $86.9 million. IREN shares have surged over 550% year-on-year and are targeting over $500 million in annual revenue at the start of 2026.

Hut 8 has also reaped early rewards from its transition to an energy infrastructure and AI data center operator. HUT shares have increased by more than 250% in the past year, and it achieved unexpected earnings in its latest earnings report.

Investor Interest and Stock Performance

The transformations of IREN and Hut 8 support Bitfarms' strategic move. They serve as examples of value creation and investor excitement when mining firms transition to the AI and cloud industries. Over the past month, BITF shares have risen by more than 70%, reflecting investors' positive outlook on the AI transition.