|3 Months Ended|
Mar. 31, 2020
|Subsequent Events [Abstract]|
Note 11. Subsequent Events:
Subsequent to March 31, 2020, in connection with the Company’s Sales Agreement with H.C. Wainwright, the Company received gross proceeds of approximately $4.3 million from the sale of 3,507,072 shares of common stock via the ATM Offering.
On April 8, 2020, the Company entered into an agreement with Coinmint, LLC (“Coinmint”), for up to approximately 9,500 kilowatt hours of energy allocated to the Company for up to 4,000 of its Antminer S17 Pro cryptocurrency miners acquired from Bitmain in late 2019 (the “Miners”). Pursuant to the terms of the Coinmint Agreement, Coinmint will host Riot’s Miners, including performing all maintenance in order to operate the Miners at its Massena, New York facility. In exchange, Coinmint will receive a performance fee based on the net digital assets generated by the Miners deployed at Coinmint’s facility. Riot expects that the Coinmint agreement will reduce its costs associated with operating the Miners and provide Riot with the opportunity to expand its total hashing capacity. The initial term of the Coinmint agreement is for a period of six (6) months after the effective date of April 8, 2020, and provides for automatic renewal terms of three (3) months, unless terminated earlier by Riot or Coinmint upon ninety (90) days’ notice to the other party.
Subsequent to March 31, 2020, the Company purchased 2,040 next generation Bitmain Antminer S19 Pro for USD $4.4 million from BitmainTech PTE. LTD. (“Bitmain”). The Company anticipates the receipt of these S19s by early July 2020.
The entire disclosure for significant events or transactions that occurred after the balance sheet date through the date the financial statements were issued or the date the financial statements were available to be issued. Examples include: the sale of a capital stock issue, purchase of a business, settlement of litigation, catastrophic loss, significant foreign exchange rate changes, loans to insiders or affiliates, and transactions not in the ordinary course of business.
Reference 1: http://www.xbrl.org/2003/role/disclosureRef