Keel Infrastructure Scraps All US Bitcoin Mining Equipment as Q2 Revenue Drops 50%

Keel Infrastructure is shutting down its Bitcoin mining business in the US and pivoting to high-performance computing, or HPC, infrastructure.

Cointelegraph reported on August 11 that the digital infrastructure company said in its second-quarter earnings report it had scrapped all of its US Bitcoin mining equipment. The move is a preliminary step toward building HPC facilities.

Second-quarter revenue fell 50% from a year earlier to $30 million. The decline was driven by a lower average Bitcoin price and the shutdown of its Moses Lake mining facility in April. The company posted an operating loss of $141 million, compared with an operating profit of $11 million a year earlier. The loss included $84 million in non-cash depreciation charges.

Keel Infrastructure sold 1,085 Bitcoin for $75 million after April 1 and now holds 1,861 Bitcoin. Liquidity totaled about $819 million, including $698 million in unrestricted cash.

Few Bitcoin miners have fully exited mining and shifted to AI infrastructure. Some companies, including Bit Digital and Crusoe, have halted mining as part of AI transitions, but Keel Infrastructure is among the few to scrap all of its US mining equipment. Its shares fell 12% on the day, according to Yahoo Finance.