Prominent Bitcoin (BTC) mining firm Core Scientific has revealed in a court filing that it is contemplating bankruptcy as a possible solution since it is unlikely to be unable to pay its debts shortly due to a lack of cash flow.
Consequently, the share price of the bitcoin miner drastically dropped in the hours after this disclosure.
Following the time of writing this report, the firm’s reserves had dropped from $1.01, where it stopped trading earlier this week to $0.22, a steep decline of more than 78%.
According to the Board’s decision, the company will not make payments due in late October and early November 2022 for a number of its assets and other financing transactions, together with its two bridge promissory notes.
The court filing with the United States Securities and Exchange Commission (SEC) asserted that because of this outcome, the creditors under these debt facilities may exercise remedial measures…
