Bit Digital Exits on Bitcoin Mining to Focus on Ethereum Staking and AI Infrastructure

TheNewsCryptoPublished on 2026-01-30Last updated on 2026-01-30

Abstract

Bit Digital, a Nasdaq-listed crypto company, is exiting Bitcoin mining due to insufficient income, high costs, and hardware limitations. It will now focus on Ethereum staking and AI infrastructure. The company holds over 155,000 ETH, with nearly 90% staked to secure the network. Additionally, through its majority-owned subsidiary WhiteFiber, Bit Digital is expanding into AI and high-performance computing, which already contributes nearly 60% of its total revenue. This strategic shift highlights a broader industry trend toward Ethereum staking and AI for better scalability and steady income.

Bit Digital, a Nasdaq-listed crypto company, has officially announced that it will exit Bitcoin mining and will mainly focus on Ethereum staking and AI infrastructure. Sam Tambar, CEO of Bit Digital, said that Bitcoin mining has not produced sufficient income for the company. Rising costs, hardware limits, and lower efficiency pushed the company to move to an alternative business where the company’s capital could be used productively to gain a steady income and grow more easily.

Bit Digital now describes itself as an “Ethereum Treasury” company as it holds 155,227 ETH as of late 2025. Nearly 90% of the ETH is actively staked, which helps to secure the Ethereum network. Bit Digital began Bitcoin mining in 2020, operating in China and the United States. It started mining Ethereum in 2022, before Ethereum moved to the proof of stake.

Apart from Ethereum Staking, Bit Digital is building an AI and high-performance computing business through WhiteFiber, which is a company that holds a majority stake. WhiteFiber operates a data center-style infrastructure used for AI computing. The business brings nearly 60% of BitDigital’s total revenue, which is one of the largest income sources for the company.

BitDigital’s ETH Holding and its Market Value

BitDigital holds 153,546 ETH worth around $428.8 million in the month of July 2025. In October, the company added 31,057 ETH using the funds raised from a $135 million convertible note offering. Market data shows that BitDigital stock trades 90% above the value of its ETH holdings.

This shift from BitDigital shows the broader trend in the Crypto industry. This shows that ETH staking and AI infrastructure are gaining more income and better scalability than Bitcoin mining. As the CEO, Sam Taber stated that the company’s goal is to build a steady business that can outperform during the bearish crypto markets.

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Related Questions

QWhy is Bit Digital exiting Bitcoin mining according to the article?

ABit Digital is exiting Bitcoin mining because it has not produced sufficient income for the company. Rising costs, hardware limits, and lower efficiency pushed the company to move to an alternative business where its capital could be used more productively.

QWhat are the two main business areas Bit Digital is now focusing on?

ABit Digital is now primarily focusing on Ethereum staking and building an AI and high-performance computing infrastructure business.

QHow much Ethereum does Bit Digital hold and what percentage of it is staked?

AAs of late 2025, Bit Digital holds 155,227 ETH, and nearly 90% of it is actively staked.

QWhat is the name of the subsidiary through which Bit Digital is building its AI business, and how significant is this revenue stream?

ABit Digital is building its AI business through WhiteFiber, a company in which it holds a majority stake. This business brings in nearly 60% of BitDigital's total revenue, making it one of the company's largest income sources.

QHow does the market value of Bit Digital's stock compare to the value of its ETH holdings?

AMarket data shows that Bit Digital stock trades 90% above the value of its ETH holdings.

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