1 AI Stock That Could Quietly Compound Wealth Over the Next Decade

• AI demand continues to heat up, which is fueling the need for additional AI data centers and gigawatts.

• Cipher Mining is signing lucrative long-term deals with tech giants, with the recent xAI news a major catalyst.

• According to Deloitte, the demand for gigawatts of artificial intelligence data centers in the United States will increase more than 30 times by 2035.

• 10 stocks we like better than Cipher Mining ›

Artificial Intelligence (AI) chips are a fundamental building block of the AI ​​boom, but they are not the only input making the technology possible. Discovering different parts of the AI ​​bottleneck can lead to lucrative investment opportunities, e.g. Crypto mining (NASDAQ: CIFR).

The cryptocurrency mining company is centered around artificial intelligence infrastructure and has signed long-term agreements with some of the leading technology companies. It has AI data centers and multi-gigawatt pipelines to drive long-term growth.

AI data centers are an important part of the AI ​​bottleneck because they have the unique ability to handle intensive workloads. Traditional data centers are not well suited for artificial intelligence applications, which is why the tech giant signed a long-term agreement with Cipher Mining.

While these deals have been a catalyst for some time, the recent ruling surrounding xAI’s Memphis data center is another boost for Cipher Mining. The U.S. Environmental Protection Agency has ruled that Elon Musk’s artificial intelligence company illegally skirted rules by using methane gas turbines to power its data centers at the cost of increased pollution in cities.

Cipher Mining’s data centers rely on renewable energy and therefore comply with this rule. While Cipher Mining does not yet have an AI data center in Tennessee, other states may pass laws similar to Tennessee’s, making it more difficult to operate natural gas-powered AI data centers.

Not only is this a setback for competitors looking to use gas turbines in AI data centers, but it also poses a pressing problem for xAI. The company may have to strike a deal with Cipher Mining for additional AI capabilities.

The xAI news is a huge bonus for Cipher Mining investors, but the company has been delivering a string of wins for long-term shareholders.

The company has signed 15-year agreements with Amazon Valued at $5.5 billion, totaling 300 megawatts. Cipher Mining’s pipeline capacity exceeds 3 gigawatts, giving it the flexibility to support at least nine Amazon-like deals. Cipher Mining also signed a 10-year agreement with Google-backed Fluidstack.