Many crypto and bitcoin mining firms have recorded huge losses in 2022 due to the ongoing bear market and extreme economic conditions. As a result, some have packed up, while others have declared bankruptcy amid the crypto winter. However, not all crypto firms were badly affected during the crisis. Some have managed to get out of danger, while others are still struggling.
a Recent Press Releases revealed that Canadian bitcoin mining firm Digihost is debt-free. The firm has managed to maintain positive cash flow despite facing downtime throughout the crypto-mining sector.
DigiHost is headquartered in Toronto, Canada. The firm mines cryptocurrency in low cost and low energy consumption data centers.
DigiHost Ignores Financial Downtime Among Bitcoin Miners
DigiHost mined 74.58 BTC, which is a 78% increase in productivity compared to 41.84 BTC mined last year. DigiHost experienced an increase in productivity when other crypto miners are reporting bearish returns.
There were many uncertainties in the crypto industry over the past months due to high energy prices and market downturns. Several mining firms, such as Core Scientific (CORZ), the highest bitcoin miner, took the hit. Core Scientific could be headed for bankruptcy if its financials remain low.
Shares of Core Scientific continued to decline over the past month and were down 15% on Friday, October 28. The firm warned its investors about the imminent danger of bankruptcy if the situation did not improve.
However, DigiHost has approximately $2.45 million worth of bitcoin and $1.29 million worth of ether after market cap as of October 31. The firm also has $3.42 million in cash. Following the financial crisis, Digihost had to sell a portion of its bitcoin holdings to cover October’s energy costs and stay afloat.
DigiHost will survive despite economic volatility and bearish trend, says CEO
DigiHost President and CEO, Michelle Amar said that the firm maintains good month-to-month liquidity and crypto holdings despite economic volatility. According to Amar, the size of their operations is matched by the liquidity cash level and the amount of crypto holdings. In addition, he added that DigiHost will continue to maintain a debt-free record.
The CEO further said that the firm maintained its liquidity while funding its infrastructure development internally. He also said that they are getting bonds for electricity services.
Furthermore, DigiHost CEO stated that they expect to maintain positive cash flow despite current market conditions, hashing difficulty and high energy costs. DigiHost intends to continue to finance its existing growth initiatives and will adhere to its debt-free policy regardless of the downturn.
Amar said he is pleased to inform DigiHost shareholders that he acquired open market shares in October as CEO. Comparing the firm’s year on performance, its mining added 32.74 BTC in October 2022. DigiHost also announced that it has received notification of the listing of its shares on the Nasdaq Stock Market.
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