Crypto mining meets AI – Cipher ‘ahead of the curve’ with $5.5B AWS deal
Key Takeaways
How a lot capability will Cipher ship beneath the AWS settlement?
The corporate will ship 300 megawatts of capability, with each air and liquid cooling programs, beginning in July 2026.
What different main undertaking did Cipher announce?
Cipher unveiled a three way partnership to develop a 1-gigawatt (GW) web site in West Texas, named “Colchis.”
Cipher Mining Inc. has unveiled a game-changing transfer in its newest Q3 2025 monetary report, and that may be a $5.5 billion, 15-year lease cope with Amazon Net Companies (AWS) to provide high-performance infrastructure for AI workloads.
It goes to point out how Cipher Mining is quickly increasing past Bitcoin [BTC] mining, positioning itself as a key infrastructure participant in AI and high-performance computing (HPC).
Cipher Mining’s AI cope with AWS
Underneath the deal, Cipher will ship 300 megawatts of capability, geared up with each air and liquid cooling programs, in two phases starting July 2026 and concluding by year-end. That stated, the lease funds beneath the settlement are set to start out in August 2026.
For sure, Tyler Web page, Cipher’s CEO, didn’t shrink back from expressing himself when he famous,
“The third quarter was really transformative for Cipher. We executed a pivotal transaction with Fluidstack and Google, which firmly established our credibility within the HPC house. We at the moment are following that transaction with one other main step ahead by signing our first direct lease with a Tier 1 hyperscaler.”
Cipher’s three way partnership in West Texas
Alongside its AWS partnership, the corporate additionally announced a three way partnership to develop a 1-gigawatt (GW) web site in West Texas, known as “Colchis.” On this partnership, Cipher will fund a lot of the undertaking, securing round 95% fairness possession.
The 620-acre Colchis web site features a 1-GW Direct Join Settlement with American Electrical Energy (AEP), which is able to construct a twin interconnection facility focusing on energization in 2028.
AEP will assemble a twin interconnection facility, with the focused date for energization being 2028.
Strategically situated close to an current substation, the location is designed to energy large-scale AI and HPC knowledge facilities.
On that word, Cipher’s CEO emphasised that the corporate is delivering on its technique to remain “forward of the curve.”
Different particulars of the Cipher’s Q3 2025 outcomes
Now, when you look rigorously, Cipher’s Q3 2025 outcomes spotlight sturdy momentum, pushed by main AI infrastructure offers.
The corporate secured a 10-year internet hosting settlement with Fluidstack and Google and a 15-year knowledge middle lease with AWS, totaling $8.5 billion in contracts.
It additionally accomplished a $1.3 billion convertible word providing to fund growth.
With a 3.2 GW undertaking pipeline, Cipher is swiftly evolving from a crypto miner to a diversified computing powerhouse.
As anticipated, this transfer had an enormous impression on its inventory (CIFR) because it surged 22.04% to $22.76 at press time, in keeping with Google Finance.
The opposite facet of AI
Nevertheless, the broader digital panorama paints a contrasting image.
Whereas AI continues to speed up development and innovation for corporations like Cipher, it is usually being exploited for malicious functions.
A report from the Multinational Sanctions Monitoring Crew (MSMT) revealed that North Korea has stolen about $2.84 billion in cryptocurrencies since early 2024. Of this, $1.65 billion was taken this 12 months alone.
As Cipher Mining leads this technological shift, the duality of AI as each an innovation driver and an exploitation software is changing into clearer.
