Bankrupt Bitcoin Miner Gains Access to $37.4M loan
After a failed financial plan of $72 million put forth by its largest creditors B.Riley Financial, Core Scientific filed for Chapter 11 Bankruptcy. While this did not come as a surprise, the Bitcoin miner’s existing creditors were coming as its saving grace. Earlier today, the U.S. bankruptcy court gave Core Scientific a green signal to access loans from its creditors. This loan worth $37.5 million is expected to aid the firm in its ongoing liquidity issues. U.S. Bankruptcy Judge David Jones, however, gave the firm access to the loan on an interim basis. According to Reuters, in January 2023, the company will ask for the final approval of the loan along with permission to borrow an additional $37.5 million. It should be noted that the company’s lawyer stated that it is open to better financing proposals from other lenders. Additionally, the Bitcoin miner affirmed that it wouldn’t liquidate. Core Scientific is seeking restructuring that is overseen by its c...