CORZ Stock Rises as Bitcoin Miner Core Scientific Bets Big on AI

The shares of Nuclear science (NASDAQ:CORZ) share, a Bitcoin (BTC USD) Miner, which also offers some hosting services, are up over 30% in early trading. The company is getting a boost as it announced it has signed a series of 12-year deals expected to be worth over $3.5 billion CoreWeavean artificial intelligence (AI) Hyperscalers.

Important information about Core Scientific offerings

Under the agreements, Core Scientific will host CoreWeave’s high-performance computing operations, including its AI chips from Nvidia (NASDAQ:NVDA). Core Scientific expects the deals to generate over $3.5 billion in revenue and predicts the company will be ready to provide hosting services for CoreWeave in the first half of 2025.

Core Scientific will generate approximately 200 megawatts of electricity to power CoreWeave’s operations.

Core Scientific’s longer-term goals

The company says its agreements with CoreWeave position it well to generate additional revenue by providing hosting services to other AI players. CoreScientific adds that entering the AI ​​space while continuing Bitcoin mining will increase cash flow and reduce risk.

The company reported that demand for powerful AI hosting sites exceeds the supply of such facilities. It noted that discussions are already underway with other companies about hosting their high-performance computing operations.

Nuclear science has almost 500 megawatts of power that it can use for such undertakings.

Not entirely new territory for Core Scientific and CORZ shares

The company previously provided hosting services to CoreWeave between 2019 and 2022, and the two companies signed a new hosting agreement in March.

Under pressure from rising energy costs and low crypto prices, Core Scientific filed for bankruptcy in December 2022 and exited bankruptcy earlier this year.

Today it’s about stocks is resurrected 44% in the last month, while they had gained 34% in the last three months.

On penny stocks and low volume stocks:With only the rarest of exceptions, InvestorPlace does not publish commentary on companies that have a market capitalization of less than $100 million or trade fewer than 100,000 shares per day. Because these “penny stocks” are often a playground for fraudsters and market manipulators. If we ever publish commentary on a low-volume stock that may be affected by our commentary, we urge InvestorPlace.com writers to disclose that fact and warn readers of the risks.

Read more:penny stocks – This is how you benefit without being cheated

At the time of publication, Larry Ramer did not hold, directly or indirectly, any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author and are subject to InvestorPlace.com’s publication policies.