Bitcoin Hashrate, Longest-Ever Decline..."Mining Halted, $70 Billion Invested in AI"

▲ Bitcoin (BTC) Mining

The shift of the Bitcoin (BTC) mining industry to artificial intelligence is causing the network's hashrate to decline for the longest period ever.

According to cryptocurrency media outlet BeInCrypto on August 6 (local time), the Bitcoin 30-day average hashrate fell by 19% from 1,108 EH/s in November 2025 to 898 EH/s. This nine-month continuous decline is the longest in Bitcoin network history. Glassnode analyzed that even though August has begun, there are no signs of the hashrate bottoming out.

In the past, sharp drops in hashrate ended relatively quickly. In 2021, when China's mining ban was implemented, it fell by 42% over about 10 weeks, but recovered within six months as equipment moved to the United States and Central Asia. After the 2024 halving, inefficient miners were phased out, leading to an 8% decrease over three months. The current decline is approximately 210 EH/s, which is larger than the entire Bitcoin network hashrate in early 2021. Poolin, formerly the world's largest mining pool, filed for Chapter 11 bankruptcy protection in late July.

Mining difficulty has also decreased by 1.1% compared to a year ago. This is the first time since August 2021, when China's mining ban occurred, and only the second time in Bitcoin history, that the annual mining difficulty has turned negative. Mining difficulty peaked at approximately 156 trillion in November 2025, then fell by 19.9% to 126.23 trillion. Unlike 2021, when mining companies moved their equipment to other regions, a key difference now is that they are transferring their power facilities to artificial intelligence (AI) data centers for long periods.

The value of AI contracts secured by listed mining companies has exceeded $70 billion. Hut 8 has secured contracts worth $26.6 billion, and Core Scientific provides approximately 1.1 GW of power to CoreWeave. TeraWulf signed a 20-year contract worth approximately $19 billion with Anthropic. IREN and Cipher Mining also signed contracts worth $9.7 billion and $5.5 billion with Microsoft and AWS, respectively. Revenue per unit of power for AI data centers is reportedly 3 to 25 times higher than for Bitcoin mining.

Low mining profitability is also accelerating the exodus. The industry estimates that 15% to 20% of all mining equipment is operating at a loss. Listed mining companies sold over 32,000 BTC in the first quarter to fund their transition to AI businesses. Coinbase CEO Brian Armstrong dismissed concerns that the power shift would harm Bitcoin prices. In contrast, André Dragosch, Head of Research at Bitwise Europe, analyzed that companies that chose to switch to AI might regret their decision if mining profitability recovers.

[Article Key Summary]

-The Bitcoin 30-day average hashrate has fallen by 19% over nine months, setting a record for the longest continuous decline.

-Mining difficulty has decreased by 1.1% year-over-year, marking the second annual negative change in Bitcoin history.

-Listed mining companies are securing AI contracts exceeding $70 billion and shifting their mining power to data centers.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*