SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2023

SUBSEQUENT EVENTS.

SUBSEQUENT EVENTS

NOTE 17 – SUBSEQUENT EVENTS

On July 14, 2023, the Company entered into a future sales and purchase agreement (the “July 2023 Bitmain Agreement”) with Bitmain Technologies Delaware Limited (“Bitmain Delaware”). The July 2023 Bitmain Agreement provides that the Company will receive 15,138 S19j XP miners from Bitmain Delaware, with an option to receive an additional 3,362 miners if the Company meets its payment obligations under the July 2023 Bitmain Agreement, for delivery in the fourth quarter of 2023 for a total purchase price of $75.4 million.  The Company is entitled to apply coupons equivalent to 30% of the total purchase price, resulting in an estimated effective purchase price of $53.4 million for 18,500 miners.  As of August 14, 2023, the Company has made payments of $5.3 million, representing 10% of the contract price after application of coupons.  The Company plans to use the new Bitmain miners to expand its mining capacity at its Lake Mariner Facility.

Subsequent to June 30, 2023 and through to August 14, 2023, the Company sold, pursuant to the April ATM Sales Agreement, 3,623,762 shares of Common Stock for net proceeds of $10.0 million.