Bitcoin Miner Core Scientific Files for Bankruptcy

The cryptocurrency industry takesanother self-aggrandising hit — one of the large publicly traded Bitcoin miners , Core Scientific , has file for bankruptcy . The mineworker reportedly still plans to mine cryptocurrency as it pays off its debts .

CNBC reported late last dark of the company ’s decision to file away for Chapter 11 bankruptcy protection in Texas early this morning . While this may go like a huge nail in the miner ’s coffin , Core Scientific is allegedly still earning money , just not enough to pay off its debts . CNBC says that the company has no plan to liquidate , but has reportedly reach a deal with some of its lender , who keep back most of the company ’s debts . Core Scientific mine Bitcoin at its plant in Georgia , Kentucky , North Carolina , North Dakota , and Texas , according tothe caller ’s website .

Core Scientific did not immediately return Gizmodo ’s request for gossip on the decisiveness to file for bankruptcy or for specifics on the company ’s plans go forward .

Core Scientific mines Bitcoin at its plants in Georgia, Kentucky, North Carolina, North Dakota, and Texas.

Core Scientific mines Bitcoin at its plants in Georgia, Kentucky, North Carolina, North Dakota, and Texas.Image: Dan Kitwood (Getty Images)

allot to anarticle from CoinDesk , which quote the company ’s filing in the Southern District of Texas , Core Scientific holds an estimated $ 1 billion to $ 10 billion in liabilities with anywhere from 1,000 to 5,000 creditors . The miner ’s assets tally anywhere from $ 1 billion to $ 10 billion .

Anearnings reportfor the tail terminate on September 30 reveal that the company ’s plus totaled $ 1.4 billion while its liabilities totaled $ 1.3 billion . In the meantime , Core Scientific will be enter a Restructuring Support Agreement with Ad Hoc Noteholder Group , which represent 50 % of Core Scientific ’s lenders .

The crypto winter is full steam ahead — what was once a semi - promising industry before this year has continued to stagger . Notably , FTX CEOSam Bankman - Fried has been arrestedand reportedly nowback in the United Stateswhere he confront eight condemnable count , which includefraud and money laundering .

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