Bit Digital, Inc., a New York-based company, has reported a significant shift in its revenue streams, with high-performance computing (HPC) services surpassing Bitcoin mining for the first time.

In the third quarter of 2024, the company generated $12.2 million from HPC services, compared to $10.1 million from Bitcoin mining.

The decline in Bitcoin mining revenue, down 11% from the previous year, is attributed to the April 2024 Bitcoin halving event, which reduced block rewards, and increased network difficulty.

In contrast, the HPC segment has shown robust growth, contributing significantly to the company’s overall revenue increase of 96% year-over-year, totaling $22.7 million for the quarter.

Strategic initiatives have bolstered Bit Digital’s HPC capabilities, including the acquisition of Enovum Data Centers and a substantial agreement with cloud gaming provider Boosteroid, potentially generating over $700 million in revenue over five years.

CEO Sam Tabar emphasized the company’s focus on expanding its HPC business, viewing it as a foundation for sustainable growth and long-term value creation.

Despite challenges in the Bitcoin mining sector, Bit Digital’s strategic pivot towards HPC services positions the company to capitalize on the growing demand for high-performance computing infrastructure.

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