Bitcoin Mining Company Riot Blockchain Loses $221 Million

Editor's Note: This article comes fromCointelegraph Chinese (ID: CointelegraphChina), Author: SAMUEL HAIG, reproduced by Odaily with authorization.

Editor's Note: This article comes from

Cointelegraph Chinese (ID: CointelegraphChina)

, Author: SAMUEL HAIG, reproduced by Odaily with authorization.

U.S. mining company Riot Blockchain has released its financial report for the first quarter of 2020, painting a picture of a company relying heavily on equity and debt financing to fund its operations.

The company reported recurring losses and negative cash flow from the business, and Riot expects to continue to lose money in the near term.

However, the mining company is pinning its hopes on the arrival of 2,000 next-generation mining machines, which it believes will double its operational hashrate.

Riot's year-over-year results improved

As of March 31, 2020, Riot Blockchain announced that it held $14 million in cash and cash equivalents; $5.3 million in crypto assets (mainly Bitcoin) and $17 million in working capital.

In a press release, Riot highlighted the improvement in Riot's performance compared to the first quarter of 2019. Compared to the first quarter of 2019, revenue increased by 68%, from $1.4 million to $2.4 million.

secondary title

Riot's cumulative losses exceed $221 million

But cumulative losses topped $221 million for Riot, which relies on equity and debt financing to fund most of its operations.

In addition, the company "expects to continue to experience operating losses in the near term," noting that losses could be significant as legal and administrative costs and acquisition-related expenses continue to mount. "The company is closely monitoring its account balances, cash needs and spending levels," the report said.

secondary title

Riot Bets on Next-Gen Antminers