Two Bitcoin miners reported nearly $2 billion in profit. The biggest boost wasn’t cash

Core Scientific and TeraWulf reported nearly $1.9 billion of combined third-quarter profit as they shifted from Bitcoin mining toward data-center hosting for AI customers. Their earnings included $1.76 billion of pretax non-cash gains from revaluing financial instruments.The November 5 Core Scientific disclosure and November 6 TeraWulf disclosure show different operating outcomes for the quarter ended September 30, 2026. Core earned $72 million in operating income under U.S. accounting rules; TeraWulf recorded an $88 million operating loss. Core's operating result itself included a $19 million digital-asset fair-value gain. Hosting now supplies most of both companies' revenue, following their shift from Bitcoin mining toward computing leases. Assessing whether the conversions fund themselves requires the separate cash-flow and financing disclosures.How non-cash gains lifted Core Scientific and TeraWulf profitsCore’s $1,178 million consolidated net income and TeraWulf’s $710 million add up to approximately $1.89 billion.In Core's filing, the $1,034 million revaluation gain comprised $964 million on legacy Tranche 1 and Tranche 2 warrants, $69 million on the liability portion of an A...