JPMorgan: Bitcoin miners with lots of power will be potential takeover targets for AI-like giants

The power needs of hyperscale enterprises and artificial intelligence (AI) companies could make bitcoin mining companies potential takeover targets, JPMorgan Chase (JPM) said in a research note on Wednesday. CoreWeave's deal with Core Scientific confirms this, JPM said. MA activity in the mining sector is heating up after the halving, the report said. Shares of Core Scientific (CORZ) have soared after cloud computing company CoreWeave signed a 200-megawatt (MW) AI deal with the bitcoin miner, which it also reportedly offered to buy for all-cash. Meanwhile, another major bitcoin miner, Riot Platforms (RIOT), last month made a takeover offer for peer Bitfarms (BITF). The bank estimates that U.S.-listed bitcoin miners consume up to 5 gigawatts of electricity and have access to an additional 2.5 gigawatts, “making them potentially attractive targets.”