Crypto mining firm Riot Platforms is seeking to terminate “certain hosting agreements” with Rhodium Enterprises and be relieved of refunding any outstanding power credits.
“Because this litigation is still at this early stage, we cannot reasonably estimate the likelihood of an unfavorable outcome or the magnitude of such an outcome, if any.”
Rhodium was served on May 8, with a deadline to respond by May 30, according to the report.
Related: Complaint filed against Compass Mining for losing BTC mining machines hits snag
Meanwhile, the report also revealed that Riot had mined “2,115 Bitcoins” in Q1 2023, an increase of 50.5% over Q1 2022.
It was further noted that Riot did not have any affiliations with recent bank collapses:
We did not have any banking relationships with Silicon Valley Bank, Silvergate Bank, or First Republic Bank, and currently hold our cash and cash equivalents at multiple banking institutions.“
Riot anticipates that crypto mining companies will continue to experience challenges in 2023 due to the “significant price decline of Bitcoin” and “other national and global macroeconomic factors.“
It was stated that Riot’s “relative position” in the industry, as well as its “liquidity and absence of long-term debt,” makes it well-positioned to “benefit from such consolidation.”
