XML 27 R7.htm IDEA: XBRL DOCUMENT v3.22.2.2
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
9 Months Ended 12 Months Ended
Sep. 30, 2022
Sep. 30, 2021
Dec. 31, 2021
Dec. 31, 2020
Cash Flows from Operating Activities        
Net loss from continuing operations $ (10,034) $ (34,500) $ (54,366) $ (101)
Adjustments to reconcile net loss to net cash used in operating activities        
Depreciation and amortization 430 264 2,917
Stock-based compensation expense 111 28 113
Amortization of right of use asset 119    
Amortization of debt discount and debt issuance costs 1,055 2,173
Realized gain on sale of digital assets (1,498) (91) (106) (44)
Loss on extinguishment of debt 1,008    
Gain on settlement of vendor liabilities (1,533) (38) (145)
Impairment of data mining assets     3,276
Impairment of digital assets 2,494 325 704
Loss contingency on debt default     7,821
Change in fair value of debt conversion feature 1,559 814 6,278  
Issuance of shares in exchange for services 240 2,377 2,577
Merger charges 22,004 22,004
Debt restructuring expense 2,000 2,000
Change in fair value of share derivative liability (263) (9)    
Changes in assets and liabilities:        
Digital assets - mining net of pool fees and management fees     (18,153) (966)
Prepaid assets and other current assets 805 (72) (173)
Accounts receivable and other receivables 2,099 4,010 1,650 2
Accounts payable (1,385) (3,908) 8,729
Accrued liabilities and other current liabilities 737 442 2,859
Operating lease liability (35)    
Net cash used in operating activities – continuing operations (5,146) (5,299) (9,842) (1,109)
Net cash used in provided by operating activities – discontinued operations (1,795) (500) 1,369 595
Net cash used in operating activities (6,941) (5,799) (8,473) (514)
Cash Flows from Investing Activities        
Proceeds from sale of digital assets 8,023 3,670 3,670 555
Purchase of mining equipment     (50)
Reverse acquisition of Sysorex business 28 28
Pre-funded right in Ostendo (1,600)    
Up North business combination, net of cash received     (34)
Net cash provided by investing activities -continuing operations 6,423 3,698 3,614 555
Net cash used in investing activities – discontinued operations (603) (1,436) (582)
Net cash provided by investing activities 6,423 3,095 2,178 (27)
Cash Flows from Financing Activities        
Proceeds received for convertible debt 12,415    
Cash paid for convertible debt transaction costs (1,261)    
Repayment of loans (3,346) (4,349)
Payments for convertible debt transaction costs     (1,279)
Issuance of members’ interests 100 100 554
Proceeds received from issuance of convertible debt     12,415
Net cash provided by financing activities- continuing operations 7,908 6,887 554
Net cash used in financing activities – discontinued operations (1,003) 20
Net cash provided by financing activities 6,905 6,887 574
Net (decrease) in cash and cash equivalents (518) 4,201 592 33
Cash and cash equivalents at beginning of period 659 67 67 34
Cash and cash equivalents at end of period 141 4,268 659 67
Cash paid for:        
Interest 1,009 89 344
Income taxes
Supplemental disclosure of noncash investing and financing activities:        
Sysorex recapitalization 19,401 19,401
Debt discount attributed to the fair value of warrants 810 896
Debt discount attributed to the fair value of the conversion option 2,077 2,077
Settlement of loan with mining equipment 1,091    
Conversion of debt to equity 8,082    
Equipment exchanged for equity 7,620 7,620
Equipment acquired through lease purchase agreement 2,130    
Equipment acquired through lease purchase arrangement     2,130
Digital assets received for members interest     46
Distributions of digital assets to members 1,521 1,521 1,211
Reclassification of equity contracts to liabilities 314    
Settlement of share derivative liability $ 5    
Payments of short-term borrowing with digital assets     1,091
Right of use assets exchanged for lease obligation     $ 558