Crusoe Energy, a company that repurposes waste gas from oil production to power high-performance computing, is shifting its focus towards artificial intelligence by exiting the Bitcoin mining sector.
On March 25, the company announced plans to sell its Bitcoin mining operations and digital flare mitigation business to New York Digital Investment Group (NYDIG). This transaction is pending regulatory approvals and other required consents.
As part of the deal, Crusoe will transfer 270 megawatts of power generation technology across more than 425 modular data centres in the United States and Argentina to NYDIG. Additionally, 135 Crusoe employees will transition to NYDIG, with no job losses resulting from the acquisition.
“The AI business—it’s become the majority of our revenue,”
said Cully Cavness, Crusoe’s co-founder, president, and chief operating officer, in an interview with CNBC.
Founded in 2018, Crusoe pioneered a technology that captures waste gas from oil extraction and refinement—typically burned off through gas flaring—to generate electricity for Bitcoin mining operations. By converting this stranded energy into power, Crusoe has played a significant role in sustainable mining, reportedly accounting for approximately 1% of global Bitcoin mining activity.
Meanwhile, NYDIG sees this acquisition as an opportunity to strengthen Bitcoin’s proof-of-work security. NYDIG founder and executive chairman Ross Stevens emphasized the importance of maintaining a secure Bitcoin network at the lowest possible cost. He also argued that fiat currencies are “collapsing against Bitcoin worldwide,” reinforcing NYDIG’s belief in Bitcoin’s long-term value.
Similarly, Bitcoin mining firm Bitdeer has acquired a 101-megawatt site and a gas-fired power project near Fox Creek, Alberta, Canada, for $21.7 million. The site has licenses for a natural gas power plant and approval for a 99-megawatt interconnection grid with the Alberta Electric System Operator. The estimated cost of the grid is around $30 million, and energy production costs are projected between $20 to $25 per megawatt-hour, depending on gas prices.
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