Core Scientific, a Bitcoin mining company, announced on Thursday that Morgan Stanley will provide up to $1 billion to help it convert all ten of its mining facilities into data centers focused on artificial intelligence.
Core Scientific has secured a loan of $500 million for 364 days. The loan agreement also includes an option to borrow up to an additional $500 million, if needed.
The company plans to use the money to buy equipment and property, and to pay for the increased energy needed to support its AI clients’ data centers.
Core Scientific stimulus loan to transition to AI
This update follows Core Scientific’s announcement that its fourth-quarter 2025 revenue fell short of expectations by more than $44 million. This occurred because the price of Bitcoin dropped significantly in 2025, falling from a peak of $126,000 to a low of $71,000. This drop put pressure on miners, as their production costs were around $93,000 per Bitcoin. As of the latest reports, Bitcoin was still trading at $71,086, remaining within the range where miners were selling off their holdings.
To address financial challenges, Core Scientific recently sold almost all of its Bitcoin—around 2,537 coins—and is using the funds to build infrastructure for artificial intelligence. They’ve also partnered with CoreWeave, an AI cloud platform, providing the physical facilities and equipment—specifically, the powerful graphics processing units (GPUs) needed—for CoreWeave’s operations. This partnership is valued at $10 billion.
Pragmatic approach towards profitability
Core Scientific isn’t alone – several major Bitcoin mining companies are now shifting towards becoming AI data centers. Iris Energy, Cipher Mining, TeraWulf, and Hut 8 Corp. are also making this change.
This change is possible because they already have the necessary electrical systems and available power, along with the physical space like land, storage buildings, and cooling systems.
Running AI services on our platform is now projected to earn up to 25 times more revenue per unit of electricity used compared to Bitcoin mining. Importantly, this income will be in dollars, offering greater financial stability than revenue earned from Bitcoin.
As of today, Core Scientific stock is trading at $15.67, down 1.07% over the past 24 hours, and hasn’t yet shown signs of reacting to recent developments.
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2026-03-05 23:52