Debts of public BTC miners at the end of the year amounted to $4 billion
According to a report published by Hashrate Index, the size of the debts of public cryptocurrency mining companies reached $4 billion. A significant share belongs to Core Scientific, which recently filed for bankruptcy.
In second place is Marathon. Despite $851 million in debt, there is currently no threat of bankruptcy because much of the liabilities are convertible bonds, allowing creditors to obtain Marathon Digital securities.
Amid the market’s peak growth last year, many companies were expanding their capacity with borrowed funds. After the onset of the crypto winter, repayments were expectedly difficult to come by. The debt-to-equity ratio rating is as follows.
The situation is complicated by the fact that not only miners themselves but also their creditors will face losses. Nevertheless, some have no debt. Experts believe that such companies will not only survive the fall of the market but also strengthen their financial position by buying capacities and troubled assets at throwaway prices.
