{"id":639231,"date":"2026-10-07T15:50:44","date_gmt":"2026-10-07T15:50:44","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/639231\/"},"modified":"2026-10-07T15:50:44","modified_gmt":"2026-10-07T15:50:44","slug":"arthur-hayes-bets-ai-data-center-crash-will-boost-bitcoin","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/639231\/","title":{"rendered":"Arthur Hayes bets AI data center crash will boost bitcoin"},"content":{"rendered":"\n

Arthur Hayes, co-founder and chief investment officer of crypto investment firm Maelstrom, is predicting that the artificial intelligence data center buildout will overshoot, crash, and ultimately send bitcoin higher. <\/p>\n

Hayes, the former CEO of crypto exchange BitMEX, made the case<\/a> in Singapore at the Gamma Prime Investing Conference, where he told CNBC that humanity is “wasting multi-trillion dollars” building AI data centers. In his view, the construction boom will result in an abundance of cheap computing capacity while burdening infrastructure providers with heavy financial obligations contingent on AI companies eventually paying for the capacity they have reserved. <\/p>\n

SpaceX, OpenAI, and Anthropic are among the end users driving demand for that computing power, Hayes said, and none of them currently makes money. Providers are expected to seek payment when new data center capacity is delivered, which Hayes places in late 2027 or 2028. <\/p>\n

“If you study financial history and you study every single major technological rollout, it always is overbuilt. There always is a crash, and there always is a bailout,” Hayes told CNBC. <\/p>\n

He argued that investors who get into position before such bailouts arrive stand to gain, citing the 2008 financial crisis and comparable historical episodes as examples. “Thankfully, we have bitcoin and other crypto to soak up that excess liquidity, and so we know the asset that’s going to perform the best when the bailout comes,” Hayes said. “You just have to be patient.” <\/p>\n

Hayes said that betting against AI companies holds little appeal for him, describing short positions as “not really a great investment opportunity,” while reiterating his view that large-scale technology rollouts reliably attract more capital than the market can absorb. <\/p>\n

The AI infrastructure buildout Hayes is describing is substantial. A Brookings Institution study \u2014 authored by Columbia Business School professor Stijn van Nieuwerburgh \u2014 put total spending on data centers and related AI infrastructure at $10.3 trillion between 2025 and 2032<\/a>, a scale exceeding any prior technology rollout in American history, including railroads and the internet. Van Nieuwerburgh warned that uncertain revenue streams and complex debt arrangements create meaningful downside risk if expectations are revised. He calculated that achieving a 10% return on the total outlay would demand roughly $3.7 trillion in annual AI sector revenue by 2032. <\/p>\n

The abundance of cheap computing power Hayes anticipates is also behind a new project he is launching. Flop, an AI-agent payments venture, is expected to launch in the first quarter of 2027. The project aims to create a spot market for computing power, where participants provide GPUs and perform AI inference in exchange for Flop tokens. “If agents can convert a currency directly into compute, which is what they eat and consume, then they will use this currency,” Hayes told CNBC. <\/p>\n","protected":false},"excerpt":{"rendered":"Arthur Hayes, co-founder and chief investment officer of crypto investment firm Maelstrom, is predicting that the artificial intelligence…\n","protected":false},"author":2,"featured_media":639232,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[6638,114,357,184,268,13368,85,4141,13516,9445,46,2450,8553,9331,266,13517,4861,688,5615,13369,13370,5268,13518,270,13519],"class_list":["post-639231","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-401k","tag-business","tag-business-news","tag-economy","tag-finance","tag-financial-information","tag-il","tag-investing","tag-investment-tools","tag-investor","tag-israel","tag-market-news","tag-mortgage","tag-mutual-funds","tag-personal-finance","tag-quote","tag-real-estate","tag-retirement","tag-stock","tag-stock-research","tag-stock-valuation","tag-stocks","tag-suze-orman","tag-tax","tag-track-portfolio"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/639231","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=639231"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/639231\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/639232"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=639231"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=639231"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=639231"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}