The Largest Mining Company On The Verge Of Bankruptcy

Core Scientific, one of the largest bitcoin mining companies in the world, is on the verge of bankruptcy. 

In her statement, which she sent to the US Securities and Exchange Commission, she said that the main reasons were the cost of electricity, the fall in the value of bitcoin and the increase in the hash rate of the asset. 

Another blow to the company’s activities was a lawsuit with the notorious creditor Celsius. As of October 26, the company holds only 24 BTC and approximately $26.6 million in cash.

Core Scientific was quick to reassure investors, saying it was developing strategies to get out of the predicament, but warned that its resources could run out before 2022 and investors could be left with nothing. 

The company’s report said its board of directors had decided not to make payments due in late October and early November. These payments include the purchase of equipment, financing, etc. 

Since the beginning of the year, the company has lost up to 90% of the value of its shares. Core Scientific, among other mining companies, has suffered the most.