NEW
YORK, Dec. 31, 2024 /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 today that it has executed
an MSA with a new client, an AI
Compute Fund managed by DNA Holdings Venture Inc., which provides
for 576 Nvidia H200 GPUs over a two-year term. The contract
represents an aggregate revenue opportunity of approximately
$20.2 million for Bit Digital and is
expected to commence in February
2025.
This announcement builds on the term sheet previously signed and
disclosed on November 20, 2024. Under
the terms of the deal, Bit Digital will supply the customer with 72
H200 servers (576 GPUs) for an initial two-year term. Bit Digital
will fulfill the contract with GPUs that are currently on order and
awaiting delivery to a third-party data center in Iceland. Earlier this month, Bit Digital
placed a purchase order for 130 H200 servers (1,040 GPUs) for
approximately $30 million. The
Company anticipates deploying the remainder of those GPUs to
separate customer contracts.
Sam Tabar, Bit Digital's CEO,
commented: "We are thrilled to formalize our partnership with DNA
Fund. This strategic collaboration underscores our commitment to
delivering high-performance computing solutions tailored to our
clients' evolving needs.
This contract is a meaningful
step toward achieving our long-term growth objectives. While we now
expect to reach our $100MM annualized revenue run-rate goal for
our HPC business in early 2025, this timeline reflects a
deliberate strategy to prioritize high-quality revenue
opportunities and disciplined capital management. As we navigate a
significant chip upgrade cycle, we have been selective about the
deals we pursue, focusing on the right customers, favorable terms,
and pricing. This approach enables us to mitigate residual value
risk while maintaining the financial flexibility needed to support
our data center expansion and next-generation GPU investments.
With a robust balance sheet and
a strong pipeline of opportunities, we remain confident in our
ability to achieve sustained growth and strengthen our leadership
position in the HPC market."
About DNA Fund
DNA Holdings Venture Inc. aims to spearhead the next wave of
financial innovation by seamlessly integrating Web 3,
cryptocurrency, artificial intelligence, and capital
markets. DNA's mission is to create a financial ecosystem that
delivers cutting-edge fund management, strategic advisory services,
and visionary financial solutions. By leading this technological
and financial convergence, DNA Holdings empowers emerging brands to
architect the future of finance, transforming the global economy
and reshaping the world of capital markets. For additional
information please contact investors@dna.fund or
www.dna.fund. For information on investing in DNA Funds
please visit DNADealDesk.com
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. 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.
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SOURCE Bit Digital, Inc.