Core Scientific, once among the world’s largest publicly traded Bitcoin miners, plans to shut down its remaining cryptocurrency mining operations by the end of 2026 as it accelerates its transition toward artificial intelligence and high-performance computing infrastructure.
The Nasdaq-listed company, trading under the ticker CORZ, confirmed the timeline during its third-quarter earnings call on November 5. Chief Financial Officer Jim Nygaard said the company expects to complete its mining wind-down during the fourth quarter and begin 2027 operating exclusively as a high-density colocation provider.
The announcement marks a significant strategic shift for a company that previously relied heavily on Bitcoin mining revenue.
Core Scientific has already reduced its active mining fleet by nearly 50% compared with the end of 2025, reallocating electricity capacity and facilities toward long-term AI infrastructure contracts.
Bitcoin Mining Revenue Collapses as AI Hosting Expands
Core Scientific reported third-quarter revenue of $232.9 million, compared with $81.1 million during the corresponding period in 2025. High-density colocation services generated $215.4 million, representing approximately 92.5% of quarterly revenue.
That figure increased nearly 60% from the previous quarter and more than fourteenfold from the $15 million recorded a year earlier. Meanwhile, Bitcoin self-mining revenue declined to $12.3 million from $57.4 million in the third quarter of 2025.
Hosted mining contributed another $5.2 million, bringing combined cryptocurrency mining revenue to approximately $17.4 million. The company reported net income of $1.18 billion, compared with a $144 million loss a year earlier.
However, the substantial profit was primarily driven by non-cash gains associated with changes in the fair value of warrants. Adjusted EBITDA reached $133.6 million, compared with $6.5 million in the prior-year quarter. Core Scientific also disclosed that it mined approximately 869 Bitcoin during the first nine months of 2026 while selling 3,374 BTC for $286.8 million.
Its remaining Bitcoin holdings stood at just 32 BTC on September 30, down from 2,537 BTC at the end of 2025.
CoreWeave and AMD Agreements Drive Infrastructure Transition
Core Scientific’s transformation centers on long-term agreements with companies developing AI computing infrastructure. By September 30, the company was billing customers for 485 megawatts of capacity, representing more than $700 million in annualized accounting revenue.
Its existing relationship with CoreWeave remains a major contributor to the expansion. In July, Core Scientific also announced a partnership involving AMD and a cloud infrastructure counterparty covering approximately 530 megawatts across five facilities.
The agreement forms part of a broader commercial relationship potentially supporting up to 2.5 gigawatts of leasable capacity. The company controlled approximately 2.6 gigawatts of gross utility power capacity across 11 data centers in seven US states at the end of September.
However, converting mining facilities into AI-ready data centers requires substantial capital expenditure, specialized equipment and additional infrastructure. Core Scientific reported approximately $985 million in third-quarter capital expenditures and $1.74 billion in available liquidity and designated reserves.
Its decision reflects a broader industry trend in which cryptocurrency miners are evaluating AI infrastructure as an alternative use for their electricity and data center assets. Long-term colocation contracts can provide more predictable revenue than Bitcoin mining, where profitability depends on cryptocurrency prices, network difficulty and electricity costs.
Nevertheless, AI infrastructure development introduces construction, financing and customer concentration risks. Core Scientific’s planned exit represents one of the clearest examples of a major Bitcoin miner transitioning away from cryptocurrency production.
The company expects its remaining hosted mining arrangements to conclude by December 31, although completion of the wider transition remains subject to operational execution.