Core Scientific, a major publicly traded crypto mining company in the U.S., on Friday raised the possibility of bankruptcy in a statement filed with the SEC (Securities and Exchange Commission). Blockchain.News reported the matter.
The Bitcoin miner sent a warning of its inability to pay down its creditors after saying it may have to apply for bankruptcy protection if it fails to improve its financial condition.
Core Scientific said it anticipates existing cash finances will be depleted by the end of the year or possibly sooner. The firm further revealed that it will not make its debt payments coming due in late October and early November.
Core Scientific admitted that it might be sued as a result of missed payments. The company stated in the filing that its creditors are therefore free to sue the firm for nonpayment, take action with respect to collateral and opt to accelerate the principal amount of such debts.
