Hyperscale Data shuts down Michigan Bitcoin mining to focus on AI data center
Michigan Bitcoin mining halted for AI project
Hyperscale Data has stopped all Bitcoin mining at its Michigan facility to prepare the site for an artificial intelligence (AI) data center. The company turned off all mining machines after an inspection by a California-based cloud provider and plans to sell the equipment.
The move is part of a shift from Bitcoin mining to AI infrastructure, funded by selling the company’s Bitcoin holdings.
Key numbers
- Bitcoin holdings dropped 79% since late July, from about 1,006 BTC to 215 BTC.
- Sold 65 BTC for $5.1 million in the week ending August 30, 2026.
- AI customer contracted for 20 MW of computing power under a 10-year deal, with options to extend to 20 years.
- Potential revenue from the deal could exceed $1.2 billion over 20 years, or $3 billion if additional capacity is used.
- Site may eventually support 340 MW.
- Company stock hit a record low of $0.1984 on September 3, 2026, after a 17% drop.
What the company says
Hyperscale Data stated that the expansion plans are preliminary and depend on financing, approvals, and other risks. The higher revenue estimates require the customer to exercise extension options and take additional capacity.
What is confirmed
- Bitcoin mining at the Michigan facility has ended.
- Mining equipment will be sold.
- Bitcoin holdings have been reduced to 215 BTC, worth about $16.7 million.
- A 10-year AI data center agreement is in place, with potential extensions.
- The company completed a one-for-five reverse stock split on August 25, 2026.
Why this matters
The shutdown shows how some companies are moving resources from Bitcoin mining to AI, a sector growing in demand. Hyperscale Data is using its Bitcoin sales to fund this transition, which has also led to a sharp drop in its stock price.
