- Rhodium Enterprise got the court’s green signal over the recent Chapter 11 bankruptcy filing.
- The Bitcoin miner filed for bankruptcy on August 24, 2024, noting $50 Million to $100 Million in debt.
- Rhodium has total assets valued between $100 Million and $500 Million, the bankruptcy filing notes.
In the past few years, several leading companies in the cryptocurrency market have filed for bankruptcy, and the most common reason behind them is market volatility. FTX’s unpreceded collapse is still termed one of the most significant bankruptcies in space.
On August 30, 2024, the Texas court approved an unusual debtor-in-possession financing plan. The approval allows Rhodium to choose between receiving $30 million in US dollars or 500 Bitcoin from Galaxy Digital.
The current interest rates for loans are 14.5% per annum for dollar-denominated loans, while Bitcoin loans have a slightly lower rate of 9.5%, as noted by Bloomberg.
The approval will enable Rhodium to redeem its Bitcoin loan in US dollars before maturity, subject to the lender’s approval, at a rate based on reasonable published market spot prices.
Earlier this week, Rhodium Enterprise, a Bitcoin miner, voluntarily filed bankruptcy under Chapter 11 in the Southern District Court of Texas. In the filing, the miner revealed $100 Million in liabilities.
Rhodium Enterprise filed for bankruptcy on August 24, 2002, including its subsidiaries Rhodium 2.0, Rhodium 10 MW, Rhodium 30MW, Jordan HPC, Rhodium JV, and Rhodium Encore.
The total debt of the miner ranges between $50 Million to $100 Million; however, its total assets are valued between $100 Million and $500 Million, Rhodium notes in the filing.
According to the information on Crunchbase, Rhodium Enterprise was acquired by QXO for an undisclosed amount.
Other Recent News Updates
Lookonchain, a blockchain analytics firm, wrote in its X post dated August 30, 2024, that the cofounder of Ethereum has transferred 800 ETH to a wallet. The identified wallet is the same multisig wallet that earlier received roughly 3000 ETH from Buterin’s wallet.
Naver, an internet giant in South Korea, launched its first in-house crypto wallet with the alliance of Chiliz. Additionally, the new wallet offers a non-custodial wallet, enabling users to control their private keys and digital assets directly.
Feixiaohao, a known crypto market news, data, and insight provider in China, is on the radar of national authorities—the company’s alleged failure to comply with China’s 2021 prohibition on cryptocurrency activities.
Wu Blockchain X post, dated August 30, 2024, confirmed the investigation over China’s leading crypto data provider.
Crypto Market Price Update
As of writing, the cryptocurrency market capitalization was $2.038 Trillion, with a decline of 7.75% in the past seven days. The current cap is below 20, 50, 100, and 200 days EMA.
Until publication, Bitcoin was trading at $59,101, which is comparatively lower than the 20,50,100, and 200-day EMA. It lost over 8% in the past 30 days and 12.64% in a quarter.
Aave price surged more than 7.50% intraday, reaching $132.77, followed by Artificial Superintelligence Alliance 6.47% reaching $1.18. Popcat, Akash Network, Near Protocol, and Sei are major intraday losers,
