Company: CIFRW
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0001819989-25-000112
Chunk: 109

Company: Cipher Mining Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part II, Item 1A
Chunk 109
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 concluded that they were either not applicable or not expected to have a significant impact on its condensed consolidated financial statements.

16

CIPHER MINING INC.NOTES TO CONSOLIDATED FINANCIAL STATEMENTS(unaudited)

NOTE 3. BITCOIN

The following table presents information about the Company’s bitcoin (in thousands):For the Nine Months Ended September 30,20252024Opening balance$92,651 $32,978 Bitcoin received from equity investees20,714 10,487 Bitcoin received from mining activities139,858 109,443 Bitcoin received from loan16,551 - Bitcoin loan payments (140)- Proceeds from sales of bitcoin(150,226)(79,785)Realized gains on sales of bitcoin, net(1)16,092 25,114 Unrealized losses on bitcoin(2)(2,927)(2,778)Realized loss on bitcoin transferred to collateral, net(3)(3,195)- Bitcoin transferred from collateral, net40,925 - Ending balance$170,303 $95,459 (1) Realized losses from sale of bitcoin were immaterial in all periods presented.(2) Unrealized gains from sale of bitcoin were immaterial in all periods presented.(3) Realized loss on bitcoin transferred to collateral, net is classified under other income (expense) on the condensed consolidated statement of operationsThe Company held approximately 1,493 and 994 bitcoin at September 30, 2025, and December 31, 2024, respectively. The associated fair values and cost bases of bitcoin held were $170.3 million, and $160.4 million, respectively, at September 30, 2025, and $92.7 million, and $79.8 million, respectively at December 31, 2024. Fair value of bitcoin is estimated using the closing price at 23:59:59 UTC in the Company’s principal market, which is a Level 1 input (i.e., an observable input such as a quoted price in an active market for an identical asset). The Company accounts for bitcoin on a first-in-first-out (“FIFO”) basis.As of September 30, 2025, the Company had no bitcoin pledged as collateral related to the Coinbase Overnight Credit Facility. As of December 31, 2024, the Company had 345 bitcoin with a fair value of $32.2 million pledged as collateral related to the Coinbase Overnight Credit Facility