Company: BTBT
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044155
Chunk: 35

Company: Bit Digital, Inc
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 35
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-08, the Company recorded a $21.2 million increase to digital
assets and a $21.2 million decrease to accumulated deficit on the consolidated balance sheets as of the beginning of the quarter ended
March 31, 2024.

The following table presents the Company’s
significant digital assets holdings as of March 31, 2025:

     Quantity   Cost Basis   Fair Value   BTC   417.6   $25,456,846   $34,474,294   ETH   24,434.2    59,917,193    44,556,466   Total digital assets held as of March 31, 2025       $85,374,039   $79,030,760  

The cost basis is equal to the post-impairment
value of all BTC and ETH held as of the adoption of ASU 2023-08 on January 1, 2024. For BTC and ETH earned subsequent to the adoption
of ASU 2023-08, the cost basis of the BTC and ETH represents the valuation at the time the Company determined for revenue recognition
purposes.

The following table presents a roll-forward of BTC for the three months
ended March 31, 2025, based on the fair value model under ASU 2023-08:

    Fair value 
  
    BTC as of December 31, 2024 
    $69,319,731 
  
    Receipt of BTC from mining services 
     7,776,963 
  
    Sales of BTC in exchange of cash 
     (32,509,262)
  
    Sales of BTC in exchange of USDC 
     (1,223,250)
  
    Payment of BTC for service charges from mining facilities 
     (662,645)
  
    Payment of BTC for other expenses 
     (46,900)
  
    Change in fair value of BTC 
     (8,180,343)
  
    BTC fair value as of March 31, 2025 
    $34,474,294 

For the
additions of BTC generated by the Company’s mining business, see Note 3. Revenue from Contracts with Customers.

Bitcoin
is sold on a FIFO basis. For the three months ended March 31, 2025, gains from the sales of bitcoin are included in change in fair value
of BTC which is included in