Hut 8 has announced plans to expand its energy capacity with the development of 1.53 gigawatts across four sites in the U.S. Investment bank Benchmark has raised its price target for Hut 8 from $33 to $36, maintaining a 'buy' rating on the company's shares. Senior Equity Research Analyst Mark Palmer highlighted that the expansion will position Hut 8 among the largest energy owners suitable for AI and high-performance computing. The new capacity will also provide energy for computing purposes beyond Bitcoin mining. Hut 8's pivot from mining to energy infrastructure is expected to enhance its financial flexibility while retaining exposure to Bitcoin through a 64% stake in American Bitcoin, a venture they formed in partnership with American Data Centers, which is backed by Donald Trump's sons. This strategic shift aligns with trends in the Bitcoin mining industry as companies explore opportunities in AI and high-performance computing due to rising energy costs associated with Bitcoin mining.

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