• Val Vavilov, Bitfury's co-founder and CEO, is purchasing Bitcoin during a ~50% market decline from its October 2025 peak of $126,080, viewing it as a diversified opportunity alongside AI investments.
  • Bitfury announced in November 2025 it will exit Bitcoin mining after 14 years to launch a $1 billion fund targeting ethical tech, including AI, crypto startups, quantum computing, and decentralized systems, with deployments starting in Q4 2025.
  • Vavilov's net worth remains steady at $1.1 billion, contrasting with high-profile moves like Michael Saylor's $7 billion Bitcoin purchases post-crash, as he navigates volatility through a mix of crypto and AI-focused data centers.

Val Vavilov, the co-founder and CEO of blockchain hardware firm Bitfury, is seizing on Bitcoin's recent steep decline to add to his holdings, according to people familiar with the matter. The cryptocurrency has plunged roughly 50% from its peak of $126,080 on October 6, 2025, in a sell-off that has rattled markets, but Vavilov sees it as a buying opportunity within a broader portfolio strategy that now heavily emphasizes artificial intelligence.

"It's about diversification and long-term vision," Vavilov said in a brief statement, without disclosing the exact amount he's investing. His approach comes as Bitfury, one of Bitcoin's earliest industrial miners founded in 2011, pivots away from mining after 14 years. In November 2025, the company announced plans to exit mining and launch a $1 billion fund focused on ethical technology, targeting areas like AI, crypto startups, quantum computing, and decentralized systems, with deployments slated to begin in Q4 2025. Efforts to reach Bitfury for additional comment on the timing were not immediately successful.

Vavilov's move contrasts with other crypto elites, such as Michael Saylor, who has spent $7 billion on Bitcoin since the October crash, sparking debates on elite dip-buying versus retail losses. While Vavilov remains bullish on Bitcoin, he emphasizes it's just one component of his investments, which include AI-focused data centers through ventures like LiquidStack's immersion-cooling technology and AI chips via co-founded company Axelera AI. This blend has helped him maintain a net worth of $1.1 billion amid the volatility, according to sources close to the situation.

The broader context includes significant pressures in the Bitcoin mining sector, with a 52% rise in mining difficulty and Bitcoin's 26.2% drop squeezing profitability for miners. Bitfury's decision to exit mining aligns with trends like Bitfarms' shift to AI power sites, as 20 of the 22 top miners' stocks fell last month. Funding for the $1 billion initiative comes from mining profits, prior investments, and backers, with plans to deploy $200 million in the next year, though no public revenue figures have been disclosed.

Looking ahead, short-term developments include Bitfury's recent $50 million investment in Gonka, a decentralized AI compute network, as part of its ethical tech focus. Analysts note that the AI-crypto convergence, supported by loosening U.S. crypto regulation under the Trump administration, could position Bitfury for long-term growth in areas like self-sovereign identity to combat AI fakes. Vavilov predicts dominance for AI-decentralized systems, with experts eyeing a potential Bitcoin rally post-sell-off bottom, though the market remains volatile with Singapore launching BTC/ETH futures and institutions leaning into crypto.

Correction: An earlier version misstated the timing of Bitfury's mining exit; it was announced in November 2025, not earlier. The article has been updated.