12H·

Impact of Chinese tariffs on IREN ?

The tariff on Chinese imports has no material impact on the core business of $IREN (-9.15%)

$IREN (-9.15%) operates data centers in the US and Canada, uses domestically sourced GPUs (from Nvidia/AMD) and sells computing services directly to US companies.

Take profits if you want, stay true to your strategy, but don't make emotional decisions.

You must be able to sleep well with your investment or weight it in your portfolio in such a way that it lets you sleep well.

2026 will also be a very exciting year for Irish as significant capacities are being expanded and added.

$IREN (-9.15%) methodical strategy - building a low-cost, high-density infrastructure initially through bitcoin mining and then expanding into AI computing - positions $IREN (-9.15%) as a more resilient, vertically integrated player. Its strong asset base, low operating costs and limited reliance on external funding lend $IREN (-9.15%) a structurally more profitable, lower risk business model compared to the highly leveraged, asset-light models of many newer cloud providers.

In general, Bitcoin mining typically requires much lower capital expenditure (capex) than AI or HPC data centers. However, Iren's existing data centers (e.g. over 150 MW in Canada) are configured for both Bitcoin mining and high-density AI workloads, with rack densities of around 80 kW. Despite this, Iren achieved construction costs of around $650,000 per megawatt, well below the $6-15 million per megawatt typical of specialized AI facilities. Iren's designs are not only extremely fast to build, but also easy to retrofit (e.g. rack density should be scalable to 300 kW and beyond), giving Iren a significant advantage in terms of flexibility and time to market (e.g. in relation to the B200s).

This efficient, infrastructure-oriented approach has $IREN (-9.15%) enabled it to grow without taking on significant debt. In contrast, most of Neocloud's competitors, such as $CRWV (-5.69%) have financed their rapid expansion by eliminating large amounts of debt. Unlike Irish, most neoclouds typically own little land or physical infrastructure, which can hinder future growth.

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BamBamInvest

@BamBamInvest

1D·

IREN 🚀

$IREN (-9.15%)

Graphics from Bernstein

Analysts at research and brokerage firm Bernstein said Bitcoin miners are becoming the unexpected winners of the artificial intelligence infrastructure boom thanks to their access to pre-secured, high-density power capacity.

In a new report on Friday, analysts led by Gautam Chhugani argued that this power advantage makes miners key partners for AI cloud providers facing long connection delays and increasing network congestion. Bernstein named the leading listed Bitcoin miner by market capitalization IREN as its top recommendation, rated the stock as "outperform" and reiterated its recently raised price target of USD 75.

The report points out that Bitcoin miners have collectively secured access to more than 14 gigawatts of grid-connected power - much of it in regions with surplus renewable energy. This infrastructure could reduce the time it takes to deploy AI data centers by up to 75%, according to the analysts. This gives miners an edge over greenfield developers who face multi-year queues to connect to the grid. "Access to the power grid has become a very scarce resource in the US," the analysts write, emphasizing that miners are now attractive strategic partners for hyperscalers and AI infrastructure providers due to their early expansion.

$IREN (-9.15%) The company controls around 3 gigawatts of operational and in-development power capacity in North America alone and has been the fastest to capitalize on the opportunity, according to analysts. The company has also acquired more than 23,300 GPUs - including the latest Blackwell models from $NVDA (-6.14%) - and expects its AI cloud business to exceed $500 million in annual revenue by the first quarter of 2026. The upcoming 50-megawatt liquid-cooled data center from $IREN (-9.15%) and a 2-gigawatt Sweetwater hub in Texas are key components of this expansion.

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10 Comments

All-in-or-nothing@All-in-or-nothing

11H

As you may know by now, I'm sitting on quite a few Bitcoin miners and am still absolutely relaxed😁👍🏻. Thank you for your contributions to $IREN, which finally convinced me at some point einzusteigen🙏🏻.

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BamBamInvest@BamBamInvest

11H

@All-in-or-nothing the situation may seem dramatic now, but I don't think we're at the end of the Bitcoin cycle yet, especially as the debt and repayment of debt up to 2027 is enormous and the money supply will continue to expand and interest rates will have to come down. Even if this is accompanied by more volatility, the central banks are ready to act. $IREN could therefore continue to benefit from $BTC mining in its transformation, as it will continue to make a profit even without deals or capacity utilization. A really exciting situation, especially when the enormous capacities are added next year. Yes, it can go away in the short term, but 20% + days are no longer a rarity, possible deals can also lead to 50% situations. The risk/reward situation here is immense, also due to the lack of available capacity. I don't want to miss out, that's also one reason why I haven't taken any profits yet, I really believe that prices will be between 100-150$ by the end of 2026 if everything goes well 😊. But to minimize risk, I will probably still gradually take 1/3 - 40% off the table at some point, perhaps in tranches. 👌

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Alfred E.Neumann :-)@Papiertiger

🍑Party Crasher. Just wait until the cops have gone and then we'll really turn up the music. 😂

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BamBamInvest@BamBamInvest

@Papiertiger Hopefully ✌️

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FinanzKeks@ImmoHai

Exciting article, do you think it's still worth getting in now?

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BamBamInvest@BamBamInvest

@ImmoHai 🙏 I don't know what you mean by worthwhile, but I think it's worthwhile if you're planning to hold out for the next 3-5 years. If the capacities are expanded and utilized and they don't make a complete fool of themselves, I think we'll be much higher. Go in in tranches if you're unsure.

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jkb92@jkb92

11H

I have some China stocks in my portfolio for which this also applies. The car stocks alone are not selling anything in America anyway...

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Michey777@Michey777

@jkb92 I agree with you. But prosperity in China also depends on exports. If that collapses, it won't do you any good either, because people don't have the money to buy a car in China. The economy within the country looks terrible.

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Thomas@waldbrandgefahr

$IREN is currently shifting towards AI hypervisors, i.e. away from mining. Don't really see any reason for a setback due to Chinese tariffs

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BamBamInvest@BamBamInvest

34Min

@waldbrandgefahr absolutely right, but we have already run very hot, I do not see a cooling of the price as negative. ✌️

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