Bitfarms Ditched Bitcoin, Renamed Itself Keel, and Lost $145 Million in One Quarter

• Keel Infrastructure posted a $145 million Q1 loss after abandoning Bitcoin mining operations
• Revenue fell 23% as the company exited Latin America and shifted toward AI infrastructure
• Despite the losses, Keel still holds roughly $533 million in liquidity for future expansion

Bitfarms officially completed its transformation into Keel Infrastructure this quarter, but the transition came with a brutal price tag. The company reported a $145 million net loss for Q1 2026, nearly triple the $55.6 million loss recorded during the same period last year.

Revenue also dropped roughly 23% to $37 million as Keel aggressively dismantled much of its former Bitcoin mining business while repositioning itself as an AI and high-performance computing infrastructure company.

Keel Says It’s No Longer A Bitcoin Company

The rebrand became official on April 1 as the company completed its redomiciliation from Canada to the United States. Management described the move as the culmination of a nearly two-year strategic overhaul designed to move beyond crypto mining entirely.

CEO Ben Gagnon made the shift very clear, saying the company is now “no longer a Bitcoin company” and instead aims to become an infrastructure-first operator focused on HPC and AI data centers across North America.

The new “Keel” branding is meant to represent foundational infrastructure — the unseen structural backbone supporting future AI compute demand.

The Losses Came From Transition Costs

A large portion of the quarter’s losses came from non-recurring restructuring items rather than direct operational collapse. Keel recorded roughly $41 million in losses tied to changes in digital asset valuations alongside another $22 million loss connected to extinguishing a Macquarie credit facility.

The company also completed its exit from Latin America after finalizing the sale of its 70-megawatt Paso Pe site in Paraguay.

That cleanup process created a messy financial quarter, but management argues the losses reflect transition costs tied to abandoning its old business model rather than fundamental problems with the company’s long-term direction.

The AI Infrastructure Bet Is The Real Story

The bigger question now is whether Keel can successfully execute its AI infrastructure pivot before its liquidity runway starts shrinking. As of May 8, the company reported roughly $533 million in available liquidity and said three North American data center sites are currently advancing toward lease execution later this year.

That cash position gives Keel time, but competition inside AI infrastructure and high-performance compute markets is becoming increasingly crowded. Nearly every major miner and energy-linked infrastructure company now wants exposure to AI data center demand following the explosion of generative AI systems.

Investors Are Betting On Execution Now

The Bitcoin mining narrative that originally defined Bitfarms is essentially gone. Investors now have to evaluate Keel as a completely different business operating inside a highly competitive AI infrastructure market.

The balance sheet still provides flexibility, and the company clearly believes owning energy-linked compute infrastructure will become significantly more valuable over the next several years.

But honestly, the market probably won’t care much about the rebrand itself. What matters now is whether Keel can actually secure major AI data center customers before the transition costs start outweighing the runway they still have left.

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