Bit Digital, Inc. Announces Monthly Production Update for October 2024

Rhea-AI Summary

Bit Digital (Nasdaq: BTBT) reported its October 2024 operational updates. The company earned $4.3 million in unaudited revenue from its AI contract with 256 active servers. Bitcoin production increased by 1.4% to 52.2 BTC, with an active hash rate of 2.43 EH/s. Treasury holdings included 781.2 BTC and 27,503.4 ETH, valued at $54.8 million and $69.2 million respectively. The company maintained strong liquidity of $203.9 million, including $79.8 million in cash. In proof-of-stake operations, Bit Digital staked 21,568 ETH, earning a 3.4% APY and approximately 62.2 ETH in staking rewards.

Positive

• Generated $4.3 million revenue from AI contract
• 1.4% increase in monthly Bitcoin production to 52.2 BTC
• Strong liquidity position of $203.9 million
• Substantial digital asset holdings valued at $124.2 million
• Active staking operations generating 3.4% APY on 21,568 ETH

Negative

• None.

Insights

Financial Analyst

The October update reveals significant operational metrics for Bit Digital. The company's $4.3 million revenue from AI contracts and production of 52.2 BTC demonstrate stable operational performance. Their substantial liquidity position of $203.9 million, including $79.8 million in cash, indicates strong financial health.

The company's digital asset holdings, valued at $124.2 million, combined with their staking operations generating a 3.4% APY on 21,568 ETH, shows a diversified approach to digital asset management. The active hash rate of 2.43 EH/s and increasing BTC production (1.4% month-over-month) suggest efficient mining operations.

Blockchain Technology Expert

The operational metrics show a well-balanced digital asset strategy. The combination of Bitcoin mining and Ethereum staking demonstrates strategic diversification. The 256 servers dedicated to AI contracts represent a forward-thinking expansion beyond traditional crypto mining. The staking of 21,568 ETH with 62.2 ETH monthly rewards indicates effective yield generation, while maintaining a significant position in both major cryptocurrencies (781.2 BTC and 27,503.4 ETH) provides strong exposure to the crypto market's potential upside.

NEW YORK, Nov. 6, 2024 /PRNewswire/ -- Bit Digital, Inc. (Nasdaq: BTBT) ("Bit Digital" or the "Company"), a global platform for high-performance computing ("HPC") infrastructure and digital asset production headquartered in New York, announced its unaudited digital asset production, HPC services revenue, and corporate updates for the month of October 2024.

Corporate Highlights for October 2024

• The Company had 256 servers actively generating revenue from its initial Bit Digital AI contract, as of October 31, 2024. The Company earned approximately $4.3 million of unaudited revenue from this contract during the month of October 2024.
• In October 2024, the Company produced 52.2 BTC, a 1.4% increase compared to the prior month.
• The Company's active hash rate was approximately 2.43 EH/s as of October 31, 2024.
• Treasury holdings of BTC and ETH were 781.2 and 27,503.4 with a fair market value of approximately $54.8 million and $69.2 million, respectively, on October 31, 2024.
• The BTC equivalent^[1] of our digital asset holdings as of October 31, 2024, was approximately 1,768.6 or approximately $124.2 million.
• The Company had cash and cash equivalents of $79.8 million and total liquidity (defined as cash and cash equivalents, USDC, and the fair market value of digital assets) of approximately $203.9 million, as of October 31, 2024.

Proof-of-Stake Highlights

• The Company had approximately 21,568 ETH actively staked in native staking protocols as of October 31, 2024.
• Bit Digital earned a blended APY of approximately 3.4% on its staked ETH position for the month of October 2024.
• The Company earned aggregate staking rewards of approximately 62.2 ETH during October 2024.

Upcoming Events

• Roth Technology Equities Conference, New York, NY on November 19-20
• NDR with H.C. Wainwright, San Francisco, CA on November 21-22
• Noble Capital Markets NobleCon20 Emerging Growth Equity Conference, Boca Raton, FL on December 3-4
• B. Riley Energy Convergence Conference, New York, NY on December 4 

About Bit Digital

Bit Digital, Inc. is a global platform for high-performance computing ("HPC") infrastructure and digital asset production headquartered in New York City. Our bitcoin mining operations are located in the US, Canada, and Iceland. The Company has established a business line, Bit Digital AI, that offers infrastructure services for artificial intelligence applications. For additional information, please contact ir@bit-digital.com or visit our website at www.bit-digital.com.

Investor Notice

Investing in our securities involves a high degree of risk. Before making an investment decision, you should carefully consider the risks, uncertainties and forward-looking statements described under "Risk Factors" in Item 3.D of our most recent Annual Report on Form 20-F for the fiscal year ended December 31, 2023. If any material risk was to occur, our business, financial condition or results of operations would likely suffer. In that event, the value of our securities could decline and you could lose part or all of your investment. The risks and uncertainties we describe are not the only ones facing us. Additional risks not presently known to us or that we currently deem immaterial may also impair our business operations. In addition, our past financial performance may not be a reliable indicator of future performance, and historical trends should not be used to anticipate results in the future. Future changes in the network-wide mining difficulty rate or bitcoin hash rate may also materially affect the future performance of Bit Digital's production of bitcoin. Actual operating results will vary depending on many factors including network difficulty rate, total hash rate of the network, the operations of our facilities, the status of our miners, and other factors.

Safe Harbor Statement

This press release may contain certain "forward-looking statements" relating to the business of Bit Digital, Inc., and its subsidiary companies. All statements, other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects," or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website at http://www.sec.gov. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

[1] "BTC equivalent" is a hypothetical illustration of the value of our digital asset treasury holdings in bitcoin terms. BTC equivalent is defined as if all non-BTC digital assets, comprised of ETH, and USDC, were converted into BTC as of October 31, 2024, and added to our existing BTC balance. Conversion values are found using the closing price on coinmarketcap.com. Our digital asset portfolio excludes digital assets invested in a third-party managed fund.

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SOURCE Bit Digital, Inc.

FAQ

How many Bitcoin did Bit Digital (BTBT) mine in October 2024?

Bit Digital (BTBT) produced 52.2 Bitcoin in October 2024, representing a 1.4% increase from the previous month.

What was Bit Digital's (BTBT) hash rate as of October 31, 2024?

Bit Digital's (BTBT) active hash rate was approximately 2.43 EH/s as of October 31, 2024.

How much revenue did Bit Digital (BTBT) generate from its AI contract in October 2024?

Bit Digital (BTBT) earned approximately $4.3 million in unaudited revenue from its AI contract in October 2024.

What was Bit Digital's (BTBT) total liquidity as of October 31, 2024?

Bit Digital's (BTBT) total liquidity was approximately $203.9 million as of October 31, 2024, including cash, USDC, and digital assets.