Crusoe Energy Spins Off Bitcoin Mining Unit to NYDIG, Shifts Attention to AI Development

Bitcoin mining firm Crusoe Energy, based in the United States, is concluding its Bitcoin mining activities as it prepares to concentrate on the artificial intelligence (AI) sector.

As stated in a recent announcement, Crusoe intends to sell 425 of its modular data centers, which are spread across sites in Colorado, North Dakota, Montana, Wyoming, New Mexico, Utah, Texas, and Argentina, with a total power generation capacity of 270 megawatts, to the New York Digital Investment Group (NYDIG).

The agreement encompasses its Digital Flare Mitigation business as well, and about 135 employees will transition to NYDIG.

"Our revolutionary strategy for energy utilized in mining is exceptionally compatible with NYDIG's bitcoin custody, institutional trading, and mining operations, resulting in a unified enterprise that is more valuable than the sum of its components," remarked Chase Lochmiller, CEO and co-founder of Crusoe, about the acquisition.

NYDIG, which already has a significant presence in Bitcoin custody, trading, and mining, intends to keep running and investing in the newly acquired business. In a separate declaration, the firm stated that the move will help maintain Bitcoin's proof-of-work mechanism and contribute to the network's long-term security.

Established in 2018, Crusoe Energy was one of the first U.S. Bitcoin mining companies to harness wasted natural gas to power the high-performance computing necessary for both crypto mining and AI workloads.

Now, the company asserts that it is prepared to change direction and prioritize the expansion of its AI infrastructure.

"We will persist in directing the same energy-first mentality towards scaling AI infrastructure and hastening the adoption and widespread use of AI in our daily lives," Lochmiller added.

Indications of a shift towards AI had already appeared in 2024, when Crusoe revealed a multibillion-dollar agreement with energy tech firm Lancium to construct a 200-megawatt AI data center in Abilene, Texas.

Promoted as the "first phase" of a larger expansion, the facility was intended to utilize up to 1.2 gigawatts of clean power and support GPU clusters designed for AI training and inference at scale.

At the time, Lochmiller referred to the project as a unique chance to "sustainably power the future of AI." Although a specific launch date was not confirmed, the facility was anticipated to become operational in 2025.

Crusoe's transition to AI occurs at a time when the U.S. government is also focusing on the sector. Since resuming office in 2025, President Donald Trump has signed an executive order aimed at promoting American leadership in artificial intelligence.