Bitcoin miners’ AI pivot faces investor scrutiny over insider sales
Several publicly traded Bitcoin miners have seen sharp stock gains after shifting toward AI infrastructure, but that rally has cooled as AI and chip stocks pull back. A mining-focused AI infrastructure index has fallen about 16% over the past month, prompting closer scrutiny of insider and strategic investor sales. Executives at TeraWulf, Cipher Digital, Riot Platforms, and Core Scientific have disclosed stock sales, often through Rule 10b5-1 plans, while Tether reduced its Bitdeer stake after its AI-driven rebound. The biggest concern centers on governance: investors are asking whether the upside from the AI transition will mainly benefit public shareholders or insiders. TeraWulf is a key example, with CEO Paul Prager and an entity he manages selling shares before a major 20-year AI infrastructure lease with Anthropic. Miner pivots to AI reflect pressure from weak Bitcoin mining economics after the 2024 halving, but investors remain wary because AI spending is rising faster than proven returns.
