Bit Digital, Inc. Announces Monthly Production Update for December 2024

NEW YORK, Jan. 8, 2025 /PRNewswire/ -- Bit Digital, Inc. (Nasdaq: BTBT) ("Bit Digital" or the "Company"), a global platform for high-performance computing ("HPC") infrastructure and digital asset production headquartered in New York, announced its unaudited digital asset production, HPC services revenue, and corporate updates for the month of December 2024.

Corporate Highlights for December 2024

    --  The Company had 266 servers (2,128 GPUs) actively generating revenue
        from its Bit Digital AI contracts, as of December 31, 2024. The Company
        earned approximately $4.5 million of total unaudited GPU Cloud revenue
        during the month of December 2024. In addition, the Company received
        $177K in cash payments from its equipment leasing contract with
        Boosteroid during the month of December 2024.


    --  Treasury holdings of BTC and ETH were 742.1 and 27,623.9 with a fair
        market value of approximately $69.3 million and $92.1 million,
        respectively, on December 31, 2024.


    --  The BTC equivalent([1]) of our digital asset holdings as of December 31,
        2024, was approximately 1,731.8 or approximately $161.8 million.
    --  The Company had cash and cash equivalents of $98.6 million and total
        liquidity (defined as cash and cash equivalents, USDC, and the fair
        market value of digital assets) of approximately $260.4 million in
        December 2024.

Colocation Services Revenue Highlights

    --  The Company had 14 customers actively generating revenue at its Tier-3
        Enovum Data Center facility, as of December 31, 2024.


    --  The Company's HPC data center colocation revenue was approximately CAD
        $757.8k (approximately USD $528.1k) in December 2024.
    --  On December 27, 2024, the Company acquired the real estate and building
        for a build-to-suit 5MW Tier 3 data center expansion project in
        Montreal, Canada. The Company purchased the site ("MTL2") for CAD $33.5
        million (approximately USD $23.3MM assuming a CAD/USD exchange rate of
        0.70) excluding fees. This acquisition is part of the Company's strategy
        to expand its HPC data center footprint to 32MW during 2025. This site
        also comprises part of Bit Digital's 288MW proprietary pipeline
        announced earlier this year. The Company expects to spend approximately
        CAD $27.6 million (approx.USD $19.3MM) to develop the site to Tier-3
        standards with an initial gross load of 5MW. The site is expected to be
        completed and operational by May 2025.

GPU Cloud Highlights

    --  On December 31, 2024, Bit Digital AI entered into a Master Service
        Agreement and associated purchase order with a new customer, an AI
        Compute Fund managed by DNA Holdings Venture Inc. The purchase order
        provides for services utilizing a total of 576 H200 GPUs over a
        twenty-five (25) month period, terminable by either party upon at least
        90 days' written notice prior to any renewal date. It represents an
        aggregate revenue opportunity of approximately $20.2 million.

Digital Assets Highlights

    --  In December 2024, the Company produced 32.4 BTC, a 27.8% decrease
        compared to the prior month. The decrease was primarily driven by a
        change in the Company's hosting portfolio, ongoing redeployment of
        mining assets to new sites, and the retirement of older generation
        miners.


    --  In December 2024, the Company's active hash rate was approximately 1.8
        EH/s, a 28% decrease compared to the prior month. The decrease was
        primarily driven by a change in the Company's hosting portfolio, ongoing
        redeployment of mining assets to new sites, and the retirement of older
        generation miners.


    --  The Company purchased 941 S21 mining units for approximately $3.2
        million during the month of December 2024.


    --  The Company sold 4,506 S19 mining units for approximately $836.6k during
        the month of December 2024.


    --  The Company had approximately 21,568 ETH actively staked in native
        staking protocols as of December 31, 2024.


    --  Bit Digital earned a blended APY of approximately 3.3% on its staked ETH
        position for the month of December 2024.
    --  The Company earned aggregate staking rewards of approximately 60.6 ETH
        during December 2024.

About Bit Digital

Bit Digital, Inc. is a global platform for high-performance computing ("HPC") infrastructure and digital asset production headquartered in New York City. Our bitcoin mining operations are located in the US, Canada, and Iceland. The Company has established a business line, Bit Digital AI, that offers infrastructure services for artificial intelligence applications. For additional information, please contact ir@bit-digital.com or visit our website at www.bit-digital.com.

Investor Notice

Investing in our securities involves a high degree of risk. Before making an investment decision, you should carefully consider the risks, uncertainties and forward-looking statements described under "Risk Factors" in Item 3.D of our Annual Report on Form 20-F for the fiscal year ended December 31, 2023 ("Annual Report"). Notwithstanding the fact that Bit Digital Inc. has not conducted operations in the PRC since September 30, 2021 we have previously disclosed under Risk Factors in our Annual Report: "We may be subject to fines and penalties for any noncompliance with or any liabilities in our former business in China in a certain period from now on." Although the statute of limitations for non-compliance by our former business in the PRC is generally two years and the Company has been out of the PRC, for more than two years, the Authority may still find its prior bitcoin mining operations involved a threat to financial security. In such event, the two-year period would be extended to five years. If any material risk was to occur, our business, financial condition or results of operations would likely suffer. In that event, the value of our securities could decline and you could lose part or all of your investment. The risks and uncertainties we describe are not the only ones facing us. Additional risks not presently known to us or that we currently deem immaterial may also impair our business operations. In addition, our past financial performance may not be a reliable indicator of future performance, and historical trends should not be used to anticipate results in the future. Future changes in the network-wide mining difficulty rate or bitcoin hash rate may also materially affect the future performance of Bit Digital's production of bitcoin. Actual operating results will vary depending on many factors including network difficulty rate, total hash rate of the network, the operations of our facilities, the status of our miners, and other factors. See "Safe Harbor Statement" below.

Safe Harbor Statement

This press release may contain certain "forward-looking statements" relating to the business of Bit Digital, Inc., and its subsidiary companies. All statements, other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects," or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website at http://www.sec.gov. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

     [1] "BTC equivalent" is a hypothetical illustration of the value of our digital asset treasury holdings in bitcoin terms. BTC equivalent is defined as if all non-BTC digital assets, comprised of ETH, and USDC, were converted into BTC as of December 31, 2024, and added to our existing BTC balance. Conversion
      values are found using the closing price on coinmarketcap.com. Our digital asset portfolio excludes digital assets invested in a third-party managed fund.

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SOURCE Bit Digital, Inc.