Bitfarms (BITF) shares gained 6.64% on Tuesday, closing at 2.73 Canadian dollars ($1.96), even as the company reported a widened net loss of $284.5 million for the full year 2025. The results reflected a difficult environment for Bitcoin miners, with declining coin prices and rising operational costs weighing heavily on the business. Despite the losses, investors appeared encouraged by the company’s strategic shift toward artificial intelligence and high-performance computing infrastructure.
Full-year revenue rose 72% year-on-year to $229 million, but this was more than offset by $248 million in cost of revenue, resulting in a gross loss. General and administrative expenses also increased compared with the prior year. A change in the fair value of digital assets contributed a $50.5 million loss in 2025, reversing a $26 million gain recorded in 2024, though this was partially cushioned by a $28.2 million realized gain on the sale of digital assets.
The results highlight the mounting pressure on Bitcoin miners broadly. Bitcoin has fallen 46% from its peak in October, compressing profitability margins across the sector. At the same time, Bitcoin difficulty — a measure of how hard it is to mine a new block — has climbed 58.5% since the last halving event in May 2024, further squeezing returns for mining operations.
During the earnings call, Bitfarms CEO Ben Gagnon described the company’s decision in November to exit Bitcoin mining as a “bold decision to walk away.” He said the company has since built a new business focused on powering high-performance computing and AI data centers. “No half-measures, no compromises, and in time, no Bitcoin. We built a new company,” Gagnon said. He added that Bitfarms expects to rebrand as Keel Infrastructure and has received shareholder approval to move its legal base from Canada to the United States.
Gagnon outlined the strategic rationale behind the transformation, stating that everything built in 2025 — including sites, personnel, and the balance sheet — was in service of the thesis that HPC and AI’s exponential growth requires top-tier infrastructure. The company said its focus is on powering hyperscalers and neoclouds to support the next generation of AI applications. Bitfarms is currently advancing a 2.2 gigawatt digital infrastructure development pipeline across North America to support that ambition.
The company’s filing also shows it currently holds approximately $161 million in unencumbered Bitcoin, suggesting it retains meaningful exposure to the asset even as it transitions away from mining. The retained holdings could provide financial flexibility as the company funds its infrastructure buildout. No timeline was given for fully divesting those holdings.
Bitfarms is not alone in making this strategic shift. Iris Energy is scaling AI cloud services using Nvidia GPUs, while Cipher Mining has secured a long-term AI hosting agreement with cloud platform Fluidstack. Riot Platforms and MARA Holdings have similarly expanded into AI and HPC, reflecting a broader industry trend among Bitcoin miners seeking higher-margin opportunities beyond cryptocurrency production.
Originally reported by CoinTelegraph.
