Bit Digital Inc (NASDAQ:BTBT) CEO Sam Tabar talked with Proactive about the company’s major strategic shift in 2025 and its positioning at the intersection of artificial intelligence and digital assets.

Tabar detailed how Bit Digital exited the bitcoin mining business, sold its bitcoin holdings, and shifted focus to Ethereum and its high-performance computing (HPC) business.

That HPC division was spun out into a new company called WhiteFiber (NASDAQ: WYFI), which Bit Digital still controls with a 70% stake.

Proactive: Welcome back inside our Proactive newsroom. Joining me now is Sam Tabar, the CEO of Bit Digital. Sam, it’s great to see you again. How are you?

Sam Tabar: Thanks for having me.

Exciting news from the company — you’ve delivered your annual letter to shareholders. In that, you described the change Bit Digital made in 2025 that set the company on a new course. Why don’t we take a step back and talk about that decision and what you’ve seen so far?

A couple of years ago, we were a bitcoin miner. We felt that wasn’t a good business for a variety of reasons. We were the first in our sector to announce we were exiting — we got a lot of flack, but we were right. Most miners today either want to exit or add higher-margin businesses like HPC.

So, we sunset the bitcoin mining business and spun off our HPC/AI business, which was already performing well. That business is now WhiteFiber, which IPO’d under the ticker WYFI. Bit Digital still owns 70% of WhiteFiber.

After exiting mining, we sold all our bitcoin and bought a significant amount of Ethereum — now around half a billion dollars worth — so we own digital assets and artificial intelligence. We believe we’re uniquely positioned at the intersection of the two biggest investment arcs of our time.

What are the long-term strategic goals going forward?

I’m not satisfied with Bit Digital’s share price performance. Right now, we’re a passive holder of Ethereum and a passive holder of WhiteFiber. While we do generate some yield — about 3% from staking — it’s not enough.

In 2026, we plan to pursue M&A or other strategies that will generate proper EBITDA. That will allow investors to apply earnings multiples rather than just valuing us based on our net asset value (NAV). This will help the market better understand our growth trajectory.

In your letter, you also talked about self-funding and protecting shareholder value. Could you elaborate on that?

First, we’ve decided not to sell our WhiteFiber shares, even though the lock-up expires February 6th and we’re legally entitled to. It might be financially attractive, but we believe in WhiteFiber’s future and think it would be premature to sell.

Second, although our Ethereum staking generates a small yield, it’s not enough to make us fully self-sufficient. So we’re exploring business acquisitions or operational strategies that deliver alpha — returns that don’t depend on whether Ethereum rises or whether WhiteFiber gets revalued. That’s what we mean by becoming self-funded.

Lastly, tell me more about the AI side of the business. It’s still a young story, right?

Absolutely. We IPO’d WhiteFiber just in August last year. The business is on fire — we’re getting more reverse inquiries than we know what to do with.

Our edge is in retrofitting facilities into data centers within six months. That’s far faster and cheaper than greenfield builds, which take around two years. We recently signed an $865 million contract with Nscale, and we’ve got clients like Cerebus. We’re executing fast and effectively. The companies selling picks and shovels for AI are making a lot of money, and we’re one of them.

Quotes have been lightly edited for clarity and style