Giorgio Massarotto

Giorgio Massarotto
Giorgio MassarottoIt is no secret that several problems have affected the operations of BITMINE AG in the past months. After many delays, components supplying problems, bad ASIC yield, production capacity issues, cancelled contracts (CryptX/Petamine) and a wave of refund requests, we are finally starting to see the light at the end of the storm and we are still firmly committed in clearing the pending dues. More than 30% of the requested refunds have been released, 90% of the pre-ordered units have been delivered and, most importantly, a new milestone is approaching: the era of hosted mining. More details about the financials: on March this year, we ordered from the foundry a big lot of wafers for a value of USD $3’000’000. This big order had to be paid upfront and had a lead-time of 3 months, which has in the meantime been delayed by one month but should finally be arriving in early July. At the same time, we also had significant stock of electronic and mechanical components and operational expenses to pay for, leading to a situation where the cash-flow was very limited. Of course, nobody wants a refund in the form of a reel of capacitors or resistors, so we outlined two major strategies to boost sales and recover liquid assets: sell 50% of the chips to the public at a reduced pricing of $26 each (down from $60-$70) and convert the remaining 50% into cost-optimized miners that will be put in operation at an hosted facility at very competitive rates. Eventually, BITMINE AG operations will return back to a profitable position and all pending refunds and orders will be cleared, we just ask you a bit of patience for the delays, we understand that many may be in a hurry and could possibly be waiting from several months but we are committed in resolving the situation in the fastest possible way. Thank you for your precious patience.