AUSTIN, Texas, January 09, 2023--Core Scientific Announces November and December 2022 Updates
Yahoo Finance crypto reporter David Hollerith details Sam Bankman-Fried's decision to agree to be extradited from the Bahamas back to the U.S., along with the news that bitcoin mining company Core Scientific has filed for bankruptcy.
Cryptocurrency miner Core Scientific Inc. filed for chapter 11 bankruptcy to hand control to creditors, a further indication of the squeeze on mining companies from declining bitcoin prices and rising electricity costs. The Austin, Texas-based data processor filed for bankruptcy protection in the Southern District of Texas on Wednesday, and has agreed to a proposed restructuring plan provided by a group of noteholders that would convert debt into 97% ownership of the company, subject to dilution. Current stockholders, often wiped out when companies go bankrupt, would receive some shares and warrants in the restructured business, according to bankruptcy papers.