Bitcoin miners’ move into AI is creating a new market for trading computing power Luxor raised $16 million to expand into AI hardware and trading, betting that computing power will become a market where companies can hedge costs and prices. – Luxor Technology raised $16 million…
expand its artificial intelligence hardware brokerage and computing-power trading business as bitcoin mining companies increasingly move into AI. – Publicly traded bitcoin miners had signed more than $70 billion in AI and high-performance computing contracts by the end of March, according to CoinShares. – Luxor found that most mining sites it assessed had adequate electricity and fiber connections for AI workloads but would need new data centers. Bitcoin mining companies are increasingly turning to artificial intelligence (AI), renting out computing power and converting mining facilities into data centers
Now, some of the companies that built their businesses serving bitcoin miners are following them into the AI market. Luxor Technology, best known for its bitcoin mining services, is also moving into AI hardware and trading contracts that allow companies to agree on computing prices in advance. The Seattle-based company said on Tuesday that it raised $16 million in a round led by CMT Digital.
Bitcoin mining equipment makers Canaan and MicroBT also invested. Luxor said the money will go toward its AI hardware brokerage and computing-power trading business. The round included new investment and sales of existing shares, although Luxor did not disclose how much of the new funding was invested in the company.