Bit Digital | NASDAQ: BTBT

Firing on all cylinders 🔥 🟢 HPC/AI Data Center 🟢 GPU Cloud 🟢 Bitcoin Mining 🟢 Ethereum Staking

Eyeing up some new rack space ⚡

Bit Digital | NASDAQ: BTBT November 2024 Production Update 🟢 HPC/AI revenue: $4.3MM 🟢 Bitcoin mined: 44.9 BTC 🟢 Active hash rate: 2.51 EH/s 🟢 BTC treasury holdings: 813.0 ($78.4MM) 🟢 ETH treasury holdings: 27,563.3 ($102.1MM) 🟢 Total liquidity: $332.5MM 🟢 ZERO debt 🔗 Read the full report: https://lnkd.in/gWjF_svm

Ethereum-based investment products registered $634 million worth of net inflows globally last week, with a new annual record of $2.2 billion in net inflows. Up from its previous peak of $2 billion in 2021. 👀 Probably nothing. 🔗 Full article: https://lnkd.in/g4iyP3VQ

We've expanded our bitcoin mining operations with Soluna with newer, more efficient kpros, amidst more favorable mining conditions. 🤩 432 kpros have been racked and are hashing. ⚡ Bit Digital | NASDAQ: BTBT is on the path towards high-grading our mining fleet and improving total fleet efficiency. 💪

The third quarter of 2024, and the last twelve months, have revolved around laying the foundation for the future of Bit Digital | NASDAQ: BTBT. We have embraced a completely different mindset than what we previously had when we were strictly a bitcoin miner. We now make decisions that we think will bear fruit over a longer timeline. We prefer this mindset over the near-term fixation and macro sensitivity inherent to bitcoin mining decisions. 🟢 In October, we announced the acquisition of Enovum, an owner, operator, and developer of high-performance computing datacenters. This was a transformational deal for Bit Digital. - Vertically integrated our HPC operations with an existing, fully operational and fully leased Tier-3 datacenter in a major city  - Added colocation as a new business and revenue line  - Added a strong mix of existing and prospective customers  - Gained a strong pipeline of expansion site opportunities  - Gained an extremely experienced team with a proven track record to lead the development process 🟢 The benefit of adding a highly experienced and proven team cannot be understated. Developing Tier-3 datacenters was not a skill we possessed in-house. Bit Digital solved this gap through M&A and now have what we believe to be one of the best data center teams in the world. This is a huge advantage in terms of accelerating our time to market. 🟢 The Enovum team is adept at bringing new sites online in an accelerated timeline. Bit Digital is pushing forward with our development pipeline and expect to be able to add 8MW by 2Q25 and reach a total of 32MW by the end of next year. We will likely dedicate a portion of the near-term megawatts to Bit Digital GPUs. 🟢 Our pipeline remains strong. Bit Digital is conducting diligence on a location that has the potential to reach 40MW by mid-2025 and an additional 100MW in around 18 months. We’re currently evaluating the viability of being able to bring this site online to meet a specific customer’s timeline and will only pursue this project with a firm customer commitment and our own assurance that we can satisfy the timeline.    In aggregate, we have seen around 90MW of incremental customer demand since our initial Enovum announcement last month. The demand is spread across 5-6 clients with various timelines. 🟢 Right now, we are seeing that deployment time is the key factor in turning indications of demand into firm commitments. We are in the final stages of securing the real estate for our 2Q25 deployments and are beginning to place equipment orders to meet that timeline.

Last week, Bit Digital | NASDAQ: BTBT added three new clients for its GPU cloud business. 💪 DEAL 1 HIGHLIGHTS: 🟢 Provides for Bit Digital to supply the customer with 512 H200 GPUs for a period of at least six months 🟢 Represents an approximate $5.0 million contract value for Bit Digital over the initial six-month term 🟢 The MSA has been executed with this client and an initial two server purchase order has been fulfilled and revenue generation has begun on those units 🟢 The remainder of the deployment is expected prior to year-end 2024 DEAL 2 HIGHLIGHTS: 🟢 Bit Digital will supply a separate customer with 576 H200 GPUs for a twelve-month period 🟢 Represents a total contract value of approximately $10.1 million over the term 🟢 The Company will provide additional details on the deployment schedule upon the execution of MSAs and purchase orders DEAL 3 HIGHLIGHTS: 🟢 Bit Digital executed an MSA with a new customer 🟢 Provides for 64 H200 GPUs on a month-to-month basis 🟢 The contract represents annual revenue of approximately $1.2 million 🟢 The deployment commenced and began revenue generation on November 15, 2024 🟢 Bit Digital fulfilled the deployment using on-hand inventory of H200 GPUs 🔗 Read the full release: https://lnkd.in/g9mXZz9i

The predictability of HPC cash flow can be helpful in smoothing out the volatility inherent to bitcoin mining. HPC provides stable revenues, digital assets offers spicey asset appreciation. Stable and spice is the perfect balance for Bit Digital | NASDAQ: BTBT. This was on display during 3Q when our HPC business helped offset a challenging quarter for our mining business. However, an unrealized loss on our digital asset position caused our headline results to appear underwhelming. That dynamic in our digital asset position looks like it could reverse during the 4th quarter based on current asset prices. Our perception is that the market doesn’t ascribe proper sum-of-the-parts value to a company that has both an HPC business and a digital assets business. Bit Digital suspects that separating the two businesses may result in more appropriate valuations for each discrete business line, and that is something we are continuing to study internally. 🟢 Bit Digital believes our HPC business is primed for an exciting and prosperous future and that we have exposure to the most promising and exciting asset class of the 21st century with our digital asset position. If the market continues to underappreciate that concept, we may proceed with a separation of the business lines. 🟢 For now, Bit Digital is laser focused on prudent capital allocation. We currently have a wide menu of options for capital deployment compared to where we were as a company 18 months ago. Capital is finite, and we fortunately have three distinct options to choose from for deploying capital at any given time. Funding needs for our datacenter business enable us to be more selective in terms of the GPU contracts we pursue, and vice versa. These new business lines have opened an array of financing options that weren’t previously available to us as a bitcoin miner. 🟢 Bit Digital is actively assessing these options and looking to understand what the most cost-effective sources of capital we can reasonably pursue. Specifically, we’re looking at potential commercial mortgage financing options for our datacenter build-out. We are also looking at various vendor-based financing and leasing options on the GPU side. Cost-effective and non-dilutive growth financing is the goal. We continue to evaluate more traditional corporate credit options and were recently close to a deal with a prominent counterparty but decided to hold off until we had a fuller understanding of the financing options available to us in the wake of the Enovum deal. We will continue to prioritize long-term value creation for all stakeholders as we evaluate options for sustainably growing our business. 🟢 3Q24 will be the last quarter that Bit Digital files a 6K. We will convert to domestic issuer status, and our next annual filing will be in the form of a 10K. We believe that this move should incrementally help our stock become more accessible for certain investors.

REMINDER: Bit Digital | NASDAQ: BTBT's LIVE 3Q24 conference call starts at 10:00am EST!    View Our Latest Company Presentation: https://lnkd.in/gqu_pQqC Register: https://lnkd.in/geD6cAGV

Amongst many other strongpoints, Bit Digital | NASDAQ: BTBT acquired Enovum because of its strong record of execution and its unique development approach differentiates itself in the datacenter space. 💪 🟢 Our unique development approach leverages existing infrastructure to reduce build costs compared to greenfield development. 🟢 We source sites through proprietary channels, which aren’t usually sites that are widely marketed for these purposes. 🟢 We do not operate with an "If you build it, they will come philosophy." Our initial focus is on modular builds that can be sourced across multiple customers.