The world’s largest bitcoin miner, Core Scientific (CORZ), warned that it may have to explore bankruptcy if it fails to improve its financial condition. The warning sent its shares down 77% to as low as 23 U.S. cents. The miner said it anticipates existing cash resources will be depleted by the end of the year, possibly sooner. “Substantial doubt exists about the company’s ability to continue as a going concern for a reasonable period of time,” it said in a filing Thursday. The miner is exploring a number of strategic alternatives for raising additional capital. It has hire engaged Weil, Gotshal & Manges LLP as legal advisers and PJT Partners LP as financial advisers. Should the capital raise alternatives fail, the firm may have to file for bankruptcy protection, Core Scientific said. The Austin, Texas-based company will not make payments due in late October and early November 2022 with respect to several of its equipment and other financings, it said in the filing. Creditors may decide to sue the company for non-payment or take action with respect to collateral, it said.
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