Ethereum co-founder Vitalik Buterin has defended opposition to large AI data centers, arguing that slower construction could give society more time to address cybersecurity and other emerging risks without seriously delaying technological progress.
Summary
- Vitalik Buterin defended anti-data-center movements, arguing improved algorithms could reduce future demand for computing infrastructure.
- Buterin said slower AI expansion could give society time to address cybersecurity and biological threats.
- Riot Platforms announced a $28 billion Texas data center lease covering 910 megawatts of capacity.
- Cipher Digital reported its first high-performance-computing lease revenue as its data center business continued expanding.
- Texas governor-elect Gina Hinojosa proposed a moratorium on new data center approvals pending community protections.
Buterin, in a November 8 post, disagreed with the strong criticism directed at anti-data-center movements during the past week. He argued that improvements in AI algorithms could eventually allow existing computing facilities to perform tasks that would otherwise require much larger centers.
His comments arrive as Bitcoin mining companies, including Riot Platforms and Cipher Digital, expand into artificial intelligence infrastructure while communities and policymakers raise concerns about electricity demand, water use and the pace of data center development.
Vitalik Buterin Says AI Progress Does Not Require Endless Data Centers
Buterin challenged the idea that limiting new data centers would necessarily prevent AI developers from achieving their technical goals.
His argument centers on algorithmic efficiency, which allows software to perform certain tasks using fewer computing resources as developers improve their methods.
He suggested that capabilities requiring much larger facilities in two years could become achievable with today’s computing infrastructure within four years, or possibly sooner.
“Nothing remotely apocalyptically bad will happen from even extreme levels of success by anti-data-center people,” Buterin said.
The Ethereum co-founder did not call for an immediate shutdown of existing facilities or propose a specific government ban. His comments supported the idea that slower construction could be acceptable while AI technology continues to develop.
He argued that society needed additional time to strengthen its defenses against cybersecurity threats and possible biological risks associated with increasingly capable artificial intelligence systems.
According to Buterin, scientific research depends on several factors beyond AI computing power. Consequently, slowing AI development by one year would not necessarily delay scientific advances by the same amount.
“A slowdown in compute hyper-scaling seems quite net good,” he wrote, presenting the position without relying on predictions that advanced AI would inevitably cause catastrophic harm.
Bitcoin Miners Expand Into AI Hosting With Multibillion-Dollar Deals
The discussion arrives during a major expansion into AI hosting among publicly traded Bitcoin mining companies seeking revenue from their existing land, power connections and computing infrastructure.
Riot Platforms reported on November 4 that it had signed a 15-year lease covering 910 megawatts of critical computing capacity at its Corsicana facility in Texas.
The agreement carries an estimated $28 billion in contracted revenue over its initial term. Including other leases, Riot said its contracted data center capacity had reached 1,151 megawatts, representing approximately $38 billion in long-term revenue.
The company sold 20,264 Bitcoin during the first nine months of 2026, raising approximately $1.5 billion, primarily to finance data center development.
As crypto.news previously covered, Riot has been reducing its Bitcoin holdings while expanding its infrastructure business.
Cipher Digital has taken a similar direction. Its November 2 earnings release confirmed the company’s first high-performance-computing lease revenue following the start of rent payments at Black Pearl.
Cipher extended its Barber Lake lease to 20 years, bringing expected contracted revenue from the site to approximately $9.1 billion. The company reported a development pipeline totaling roughly 5.9 gigawatts.
Texas Data Center Restrictions Raise Questions for AI Projects
Texas has become a focal point of opposition to new data centers, particularly among communities concerned about electricity costs and water supplies.
In a September 21 directive, Governor Greg Abbott ordered state environmental regulators to pause permits for data center projects while officials reviewed their potential effects on electricity reliability and water resources.
The restrictions were followed by renewed political uncertainty after Gina Hinojosa won the November 3 gubernatorial election.
Hinojosa has proposed suspending new data center approvals until lawmakers establish protections for communities, including rules addressing energy costs, water supplies and public participation.
On November 4, Cipher shares fell nearly 19% following the election result, as investors assessed the possibility of further restrictions on development.
However, Hinojosa’s proposed moratorium has not yet become a new statewide law. Her administration would need to determine how the promised restrictions would operate after she takes office.
Buterin Has Previously Focused on AI Security and Privacy
Buterin’s comments follow his earlier work on limiting security and privacy risks associated with increasingly powerful AI systems.
In October, he tested privacy-focused AI tools that combined Tor routing, anonymous payments and locally processed prompts to reduce the personal information shared with external AI services.
The experiment involved separate network connections for conversations, additional traffic designed to obscure requests and local software that rewrote prompts before transmitting them.
Buterin acknowledged that the setup introduced processing delays and did not eliminate every possible privacy weakness.
His November 8 statement made a separate argument about the pace of AI infrastructure construction. He said concerns about cybersecurity and future biological threats justified allowing more time for protective measures, even if that meant slower expansion of large computing facilities.
