Company: CIFRW
Filing Date: 2025-05-22
Form Type: 424B5
Source: 0001193125-25-124285
Chunk: 27

Company: Cipher Mining Inc.
Filing Date: 2025-05-22
Form: 424B5
Chunk 27
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 that do not earn a profit or otherwise result in
the creation of stockholder value.

The accounting method for the notes could adversely affect our reported financial condition and results.

The accounting method for reflecting the notes on our balance sheet, accruing interest expense for the notes and reflecting the underlying shares
of our common stock in our reported diluted earnings per share may adversely affect our reported earnings and financial condition.

In accordance with
applicable accounting standards, we expect that the notes we are offering will be reflected as a liability on our balance sheets, with the initial carrying amount equal to the principal amount of the notes, net of issuance costs. The issuance costs
will be treated as a debt discount for accounting purposes, which will be amortized into interest expense over the term of the notes. As a result of this amortization, the interest expense that we expect to recognize for the notes for accounting
purposes will be greater than the cash interest payments we will pay on the notes, which will result in lower reported income.

In addition, we expect
that the shares underlying the notes will be reflected in our diluted earnings per share using the “if converted” method. Under that method, diluted earnings per share would generally be calculated assuming that all the notes were
converted solely into shares of our common stock at the beginning of the reporting period, unless the result would be anti-dilutive. The application of the if-converted method may reduce our reported diluted
earnings per share, and accounting standards may change in the future in a manner that may adversely affect our diluted earnings per share.

Furthermore,
if any of the conditions to the convertibility of the notes is satisfied, then we may be required under applicable accounting standards to reclassify the liability carrying value of the notes as a current, rather than a long-term, liability. This
reclassification could be required even if no noteholders convert their notes and could materially reduce our reported working capital.

We have not
reached a final determination regarding the accounting treatment for the notes, and the description above is preliminary. Accordingly, we may account for the notes in a manner that is significantly different than described above.

Because the notes will initially be held in book-entry form, noteholders must rely on DTC’s procedures to exercise their rights and remedies.

We will initially issue the notes in the form of one or more “global notes” registered in the name of Cede & Co., as nominee of
DTC. Beneficial interests in global notes will be shown on, and transfers of global