Bitcoin Miner Potentially Insolvent

Alpha Team
July 05, 2024

💼 Tether-Backed Firm Sued Over Alleged Misconduct

Executives Allege Wrongdoing: Former Northern Data executives Joshua Porter and Gulsen Kama allege wrongful termination after raising concerns about the company's financial health and tax evasion, citing potential tens of millions in tax liabilities.

Company's Financial Struggles: The suit reveals Northern Data's $30 million German tax liability, $8 million additional liabilities, and $17 million in cash with a monthly burn rate of $3-$4 million. Executives claim the company is "borderline insolvent" and hiding this from investors.

IPO Plans and Market Impact: Northern Data is Europe's largest Bitcoin miner and is considering a U.S. IPO for its AI unit valued at $16 billion. If insolvent, the impact on the crypto market could be significant. Read More.

️ On today's Top Picks:

📉 Mt Gox begins repayments to creditors.
☀️ Justin Sun offers German Government to buy their Bitcoin.
🪂 Layer3 publishes $L3 tokenomics & airdrop details.
📵 Twilio's Authy exposes millions of phone numbers.

Read time: ⏰ 6 minutes

Crypto News

• ⭐️ Mt Gox begins repayments to creditors in Bitcoin $BTC & Bitcoin Cash $BCH.

• ⭐️ Justin Sun offers German Government to buy all their Bitcoin $BTC off-market.

• German MP Joana Cotar criticizes government's decision to sell Bitcoin $BTC.

• Taiwan Mobile applies to become a Virtual Asset Service Provider & potentially launching a crypto exchange.

• FriendTech $FRIEND to remain on Base & turn off protocol fees.

• ICYMI Polkadot Spends How Much!?

Alpha

• Initia launches Week 8 of The Initiation: Part One, Part Two to begin on July 17th.

• The Honey Jar launches Beras Want To Bee Bee quest.

• LlamaSwap adds Earn & Borrow features showing best rates.

• Jumper boosts XP for Season 1 & Season 2 users.

• Caldera to launch Commemorative Soulbound NFT on July 9th for Caldera Crusade participants.

• Weekly Crypto Update by Lightning X Drop.

Airdrops

• Symbiotic Airdrop Strategy by Earndrop.

• Jupiter launches Active Staking Rewards allocation checker.

• ⭐️ Layer3 publishes $L3 tokenomics & airdrop details.

• ICYMI Nekodex X Earndrop Trading Competition to begin on July 9th.

• ICYMI ZERϴ Network Testnet by Earndrop.

• ICYMI Introducing Karak Network by Lightning X Drop.

Finance News

• ⭐️ Former Executives sue Northern Data alleging insolvency & tax evasion.

• US adds 206K jobs & unemployment rate rises to 4.1%.

• Jeff Bezos to sell Amazon $AMZN shares worth ~$5B.

• Tesla $TSLA rallies ~27% this week amid better-than-expected Q2 deliveries report.

Security and Exploits

• Bittensor $TAO posts post mortem following $8M exploit.

• ⭐️ Twilio's Authy unauthenticated endpoint exposes millions of phone numbers.

Token Unlocks

• Galxe / 3M $GAL / ~$6.3M / JUL 05
• Hashflow / 13.62M $HFT / ~$2.4M / JUL 07
• Ethena / 14.89M $ENA / ~$6M / JUL 07

Funding

• Sword & Dungeons, a GameFi 2.0 MMORPG, raises $5M in funding.

• Ethos Network, an onchain reputation & credibility protocol, raises $1.75M in Pre-Seed funding.

• Pac Finance, a lending protocol on Blast, raises $1M in funding led by Manifold & Mapleblock.

• Monad Pad, a launchpad on Monad, raises $945K in Seed funding.

• UniSat, a Bitcoin service provider, raises an undisclosed amount in Pre-Series A funding from Binance.

• Plaza Finance, a programmable derivatives protocol, raises an undisclosed amount in Pre-Seed funding led by Anagram.

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