Bitcoin Mining in 2025: Unleashing the Potential of AI Hosting and BTC Yield Strategies for Explosive Growth

According to a recent report by Clear Street, Bitcoin miners are exploring new strategies to generate income from their BTC holdings and are diversifying into AI compute. The report, titled ‘BTC Mining: 2025’s Key Themes Emerge,’ identifies three key themes for 2025: generating revenue from bitcoin reserves, leveraging existing infrastructure for high-performance computing (HPC) initiatives, and benefiting from a shift in US regulatory leadership.

Clear Street suggests that miner management teams are considering various approaches to create income from stored BTC. One potential strategy is securities lending, which could be enabled by regulatory adjustments. The report mentions that a new stance from the SEC could allow miners to exchange bitcoin directly for ETF units and partner with prime brokers to earn income from share lending. The report also highlights the potential for higher yields if ETF shares become harder to borrow.

Clear Street notes that legal changes would align BTC securities lending with broader lending practices, leading sector participants to focus on operational details. The report mentions CleanSpark, which holds a significant BTC balance, and suggests that the company could earn millions of dollars in annual interest once their strategies scale. Other companies, such as Bit Digital, Bitfarms, and TeraWulf, have different approaches to BTC holdings, including staking programs or not retaining Bitcoin at all, depending on corporate policy. Clear Street predicts that these yield mechanisms could unlock additional revenue streams and optimize large-scale mining operations.

The report also highlights the growing trend of miners repurposing their data centers, power sources, and advanced equipment for HPC compute to serve AI-driven workloads. For example, Bit Digital is transitioning into a data center enterprise through acquisitions in Montreal, aiming to host HPC clients for stable fees and potential upside. TeraWulf has also entered into a new HPC agreement that could expand its capacity to over 100 MW, targeting the demand for complex AI research needs. Clear Street’s figures show that HPC services can generate attractive revenues per megawatt, with margins depending on data center configuration and contract size.

In addition to these trends, the report suggests that political shifts may impact the industry’s outlook. The Trump administration is seen as more favorable to Bitcoin interests due to potential changes at the SEC and Department of Energy, as well as more open views on BTC products. Clear Street recommends keeping an eye on companies that are well-positioned based on valuations, expansion potential, and current HPC roadmaps.

Clear Street recommends Bit Digital as a Buy due to its shift towards HPC revenue and a pipeline of potential data center tenants. CleanSpark is presented as a favorite pure-play miner, supported by best-in-class energy strategies and a growth pipeline. TeraWulf has a larger multiple relative to others but aims to justify it with new HPC deals and improved mining metrics. Bitfarms, known as a BTC mining specialist, reportedly has stable energy contracts and is preparing for a potential HPC expansion in the future.

Clear Street emphasizes that the projections for these companies depend on their ability to scale data center operations, secure or renew power agreements, and navigate regulatory steps for securities lending. Clarity from the SEC on in-kind BTC ETF share creation is seen as crucial for unlocking yield on BTC holdings. The report predicts stronger revenue for participating miners as new practices mature and institutional partners increase their exposure to digital assets. Bitfarms, Bit Digital, CleanSpark, and TeraWulf are the companies that remain in focus based on Clear Street’s forecasts.