Paloma Partners Reduces Core Scientific Position as Mining Efficiency and Costs Shape the Bitcoin Cycle
The Motley Fool
by newsfeedback@fool.com (Eric Trie)February 20, 2026
AI-Generated Deep Dive Summary
Paloma Partners Management Co. has reduced its stake in Core Scientific by selling 2,547,000 shares, valued at $44.41 million based on the average closing price in the fourth quarter of 2025. The sale resulted in a $46.32 million decrease in the fund’s position value, reflecting both trading activity and share price fluctuations. Following this transaction, Paloma Partners now holds only 185,000 shares of Core Scientific, valued at $2.69 million as of year-end 2025. This reduction brings Core Scientific’s weighting down to 0.49% of the firm’s reportable U.S. equity assets.
The decision by Paloma Partners highlights the shifting dynamics in the cryptocurrency mining sector, where operational efficiency and energy costs are critical factors influencing long-term returns. Core Scientific operates in one of crypto’s most capital-intensive segments, making it particularly sensitive to changes in energy prices and production efficiency. Institutional investors like Paloma Partners are closely monitoring these fundamentals to position their portfolios effectively.
The move underscores the importance of mining efficiency and cost management in shaping the Bitcoin cycle. As the cryptocurrency market continues to evolve, institutional players are increasingly focusing on companies that demonstrate strong operational capabilities and financial resilience. Core Scientific’s performance, particularly its ability to manage energy costs and maintain profitability, will likely remain a key focus for investors.
This shift in Paloma Partners’ holdings reflects broader trends in the finance and investing space, where institutions are recalibrating their strategies based on changing market conditions. The sale also highlights the dynamic nature of the cryptocurrency sector, where technical and financial metrics play a pivotal role in determining investment decisions.
For readers interested in finance and investing, this story emphasizes the growing influence of institutional capital in shaping market trends. It also serves as a reminder of the importance of staying attuned to operational and financial metrics
Verticals
financeinvesting
Originally published on The Motley Fool on 2/20/2026