The losses followed the drop in cryptocurrency values, which resulted in the valuation of the company’s assets being written down. They were mirrored by the crypto exchanges that miners rely on to transfer their funds into the real world. The quarterly earnings filings from the three companies, Core Scientific Inc., Marathon Digital Holdings Inc., and Riot Blockchain Inc., indicate losses of $862 million, $192 million, and $366 million, respectively. A major Bitcoin investor, Microstrategy Inc., also lost more than $1 billion during the same time period, and the US cryptocurrency exchange Coinbase Global reported a loss of $1.1 billion. Although there were signals that prices were beginning to rise again, the explanation appears to be the decline in cryptocurrency values as miners sold off their coins to cover costs, fund expansion, and pay off their debts. This looks to have continued into the third quarter of the year.
