SEGMENT REPORTING (Tables)

6 Months Ended

Jun. 30, 2025

Segment Reporting [Abstract]

Schedule of Revenue and Gross Profit by Reporting Segment

The following table presents revenue and gross profit by reportable segment for the periods presented (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
	2025			2024			2025			2024
Digital Asset Self-Mining Segment	(in thousands, except percentages)
Digital asset self-mining revenue	$	62,424		$	110,743		$	129,603		$	260,702
Cost of digital asset self-mining:
Power fees	30,720			41,174			61,039			86,157
Depreciation expense	18,058			28,174			37,317			55,652
Employee compensation	8,272			6,038			15,607			10,718
Facility operations expense	2,089			3,231			5,369			6,181
Other segment items	450			1,384			1,427			2,857
Total cost of digital asset self-mining	59,589			80,001			120,759			161,565
Digital Asset Self-Mining gross profit	$	2,835		$	30,742		$	8,844		$	99,137
Digital Asset Self-Mining gross margin	5		%	28		%	7		%	38		%
Digital Asset Hosted Mining Segment
Digital asset hosted mining revenue from customers	$	5,644		$	24,840		$	9,417		$	54,172
Cost of digital asset hosted mining services:
Power fees	3,208			11,301			4,574			24,795
Depreciation expense	334			1,041			479			2,311
Employee compensation	779			1,640			1,110			3,044
Facility operations expense	220			880			368			1,765
Other segment items	43			2,531			89			5,559
Total cost of digital asset hosted mining services	4,584			17,393			6,620			37,474
Digital Asset Hosted Mining gross profit	$	1,060		$	7,447		$	2,797		$	16,698
Digital Asset Hosted Mining gross margin	19		%	30		%	30		%	31		%
Colocation Segment
Colocation revenue:
License fees	$	7,010		$	3,818		$	13,005		$	3,818
Maintenance and other	86			38			78			38
Licensing revenue	7,096			3,856			13,083			3,856
Power fees passed through to customer	3,464			1,663			6,050			1,663
Total Colocation revenue	10,560			5,519			19,133			5,519
Cost of Colocation services:
Depreciation expense	104			14			171			14
Employee compensation	1,148			78			2,442			78
Facility operations expense	4,336			3,101			8,187			3,101
Other segment items	378			35			686			35
Cost of licensing revenue	5,966			3,228			11,486			3,228
Power fees passed through to customer	3,464			1,663			6,050			1,663
Total cost of Colocation services	9,430			4,891			17,536			4,891
Colocation gross profit	$	1,130		$	628		$	1,597		$	628
Colocation licensing gross margin	16		%	16		%	12		%	16		%
Colocation gross margin	11		%	11		%	8		%	11		%
Consolidated
Consolidated total revenue	$	78,628		$	141,102		$	158,153		$	320,393
Consolidated cost of revenue	$	73,603		$	102,285		$	144,915		$	203,930
Consolidated gross profit	$	5,025		$	38,817		$	13,238		$	116,463
Consolidated gross margin	6		%	28		%	8		%	36		%

Schedules of Reconciliation of Reportable Segment Gross Profit to Loss Before Income Taxes

A reconciliation of the reportable segment gross profit to loss before income taxes included in the Company’s Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2025 and 2024, is as follows (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Reportable segment gross profit	$	5,025	$	38,817	$	13,238	$	116,463
(Increase) decrease in fair value of digital assets	(29,797)		584		(19,109)		41
Decrease in fair value of energy derivatives	—		539		—		2,757
Loss (gain) on exchange or disposal of property, plant and equipment	4,166		(268)		4,172		3,552
Selling, general and administrative	56,940		31,383		97,055		48,307
Operating (loss) income	(26,284)		6,579		(68,880)		61,806
Non-operating expense (income), net:
Loss on debt extinguishment	1,377		120		1,377		170
Interest (income) expense, net	(1,185)		14,775		(3,372)		28,862
Change in fair value of warrants and contingent value rights	909,958		796,035		288,494		735,921
Reorganization items, net	—		—		—		(111,439)
Other non-operating expense, net	207		401		364		2,147
Total non-operating expense, net	910,357		811,331		286,863		655,661
Loss before income taxes	$	(936,641)	$	(804,752)	$	(355,743)	$	(593,855)

Schedules of Customer Concentration Risk

For the three and six months ended June 30, 2025, and 2024, the concentration of customers comprising 10% or more of the Company’s Digital Asset Self-Mining, Digital Asset Hosted Mining, and Colocation segment revenue were as follows:

Three Months Ended June 30,

Three Months Ended June 30,

Three Months Ended June 30,

2025

2024

2025

2024

2025

2024

Percent of Digital Asset Self-Mining segment revenue:

Percent of Digital Asset Hosted Mining segment revenue:

Percent of Colocation segment revenue:

Customer

F

N/A

N/A

47

%

58

%

N/A

N/A

G

100

%

100

%

N/A

N/A

N/A

N/A

H

N/A

N/A

N/A

25

%

N/A

N/A

J

N/A

N/A

N/A

N/A

100

%

100

%

L

N/A

N/A

53

%

N/A

N/A

N/A

Six Months Ended June 30,

Six Months Ended June 30,

Six Months Ended June 30,

2025

2024

2025

2024

2025

2024

Percent of Digital Asset Self-Mining segment revenue:

Percent of Digital Asset Hosted Mining segment revenue:

Percent of Colocation segment revenue:

Customer

F

N/A

N/A

60

%

54

%

N/A

N/A

G

100

%

100

%

N/A

N/A

N/A

N/A

H

N/A

N/A

N/A

25

%

N/A

N/A

J

N/A

N/A

N/A

N/A

100

%

100

%

L

N/A

N/A

32

%

N/A

N/A

N/A