MARA Claims AI is More Profitable than Bitcoin Mining

MARA, one of the largest publicly traded Bitcoin miners, may pivot towards AI. Fred Thiel stated that AI generates between $10 million and $15 million per megawatt, compared to about $1 million for Bitcoin mining. This difference encourages miners to transition to AI. However, Thiel emphasizes that mining remains a diversification tool and that MARA will continue to mine where electricity is cheap. MARA has signed a partnership with Starwood Capital Group to convert some mining sites into AI infrastructures, initially targeting 1 gigawatt of capacity, with a goal of over 2.5 gigawatts. In July, MARA acquired a site in Texas with access to approximately 2 gigawatts of power. The company has over 4 gigawatts of energy capacity, making it one of the largest portfolios in the sector. MARA sold about 20,000 BTC to reduce its bond debt, viewing its BTC reserves as an asset management tool. MARA's hybrid strategy, dubbed "mullet data centers," allows for continued mining while gradually converting sections for AI.