Fun

Public miners raised $2.2B as cash flow crunch intensifies post-halving

News Feed - 2024-08-16 06:08:08

Ana Paula Pereira2 hours agoPublic miners raised $2.2B as cash flow crunch intensifies post-halvingA total of nine out of 13 US-listed Bitcoin mining companies raised capital through stock offers in the second quarter of 2024.1369 Total views15 Total sharesListen to article 0:00NewsOwn this piece of crypto historyCollect this article as NFTCOINTELEGRAPH IN YOUR SOCIAL FEEDFollow ourSubscribe onPublic mining companies are turning to debt financing to boost cash flow following the Bitcoin halving. 


According to data from BlocksBridge Consulting based on earnings reports, nine out of the 13 United States-listed companies raised a combined $1.25 billion through stock offers during the second quarter of 2024. The list includes Bitdeer, Bitfarms, Cipher, CleanSpark, Core, HIVE, Marathon, Riot, and Terawulf.


In addition, Iris Energy reportedly raised $458 million over the previous quarter, bringing the total raised by miners to over $1.7 billion. An additional $530 million raised so far in the third quarter raises the sum to over $2.2 billion.Public Miners Equity Financing. Source: BlocksBridge/The Miner Mag


Core Scientific announced on Aug. 14 a $400 million private offering of convertible notes to qualified investors. According to the Bitcoin miner, the net proceeds will be used to pay off its “outstanding loans under its credit and guaranty agreement entered into on Jan. 23, 2024 and redeem all of its outstanding senior secured notes due 2028.”


A senior convertible note is a type of debt security that can be converted into equity at a later date.


Related: Bitcoin miners record lowest daily revenue of 2024


Another Bitcoin miner offering convertible notes to qualified institutional investors is Marathon Digital. The company announced a $250 million private offering on Aug. 12 to acquire more Bitcoin (BTC) and for “general corporate purposes,” including expenses on working capital, debt repayment, and other obligations.


“CleanSpark disclosed in its Q2 filing that it has entered into credit facilities with Coinbase for loans collateralized by Bitcoin,” noted BlocksBridge’s analysis, adding that Canaan also pledged 530 BTC during the second quarter to secure loans totaling $19.2 million with a maturity date of 18 months.


The latest Bitcoin halving took place in April, cutting in half miner rewards for adding a new block to the blockchain from 6.25 BTC to 3.125 BTC.


With reduced rewards, miners are facing tighter margins while the Bitcoin price has been is a downward trend. The cryptocurrency price plummeted from around $64,300 on April 20 to $56,866 at the time of writing, marking an 11.5% drop since the halving.


Miners are seeking to diversify their revenue streams to remain competitive. Core Scientific, for instance, has entered into a 12-year agreement with artificial intelligence cloud provider CoreWaeve to host its Nvidia graphics processing units (GPUs). The deal is expected to generate $6.7 billion in total revenue for Core.


Magazine:How Chinese traders and miners get around China’s crypto ban# Bitcoin# Mining# Business# Bitcoin Mining# Bitcoin HalvingAdd reaction

News Feed

Bitcoin Price Trading Within Dense Supply Cluster — What Lies Beyond $100K?
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Ray Salmond10 hours agoBitcoin price falls to $29.5K, but on-chain data reflects investors’ growing interestBTC price dropped below $30,000 again on July 18, but the recent crab market price action is also backed by co
UAE Airliner Emirates to Launch NFTs and Experiences in the Metaverse
UAE Airliner Emirates to Launch NFTs and Experiences in the Metaverse United Arab Emirates (UAE) airliner, Emirates, has announced plans to launch non-fungible tokens (NFT) and exp
Brayden Lindrea3 hours agoBitcoin Ordinals creator Casey Rodarmor pitches BRC-20 alternative ‘Runes’Bitcoin Ordinals inventor Casey Rodarmor says a fungible token protocol like Runes wouldn’t leave as much “junk
William Suberg14 hours agoBTC price breakout by end of August? 5 things to know in Bitcoin this weekBitcoin stays frustratingly quiet after the weekly close, but BTC price forecasts are giving ever-shorter breakout deadl
BTC price all-time high in July? 5 things to know in Bitcoin this week
William Suberg14 hours agoBTC price all-time high in July? 5 things to know in Bitcoin this weekBTC price gains since the weekend have transformed market sentiment, but not all Bitcoin traders think the good times will r
TON Holds The Line: Consolidation Break Could Trigger Fresh Momentum
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
Bankrupt Crypto Lender Celsius’ Asset Sale Is Scheduled, Sources Say FTX CEO May Bid
Bankrupt Crypto Lender Celsius" Asset Sale Is Scheduled, Sources Say FTX CEO May Bid According to a filing published by the U.S. Bankruptcy Court for the Southern District of New Y
Zhiyuan Sun5 hours agoBitdeer’s losses widen in Q2 after one-time $33M listing fee, shares up 44%The company entered into a $150 million share purchase agreement with B. Riley Financial on Aug. 10.2769 Total views14 To
How Many Women Users Before Crypto Is Not Sexist?
How Many Women Users Before Crypto Is Not Sexist? A recent headline on Micky — an iconoclastic media outlet that focuses on cryptocurrency — read “Crypto Twitte
Cornucopias: A Revolutionary Cardano Blockchain Project That Is Redefining the Gaming Metaverse Industry
Cornucopias: A Revolutionary Cardano Blockchain Project That Is Redefining the Gaming Metaverse Industry press release PRESS RELEASE.The metaverse is a virtual world that allows mil
Alice Ivey12 hours agoHistory of Python programming languageDelve into the remarkable evolution of Python, and learn how it grew to become a prominent and beloved programming language in the tech world.2561 Total views24