Company: BTBT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076608
Chunk: 106

Company: Bit Digital, Inc
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 1
Chunk 106
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 for the six months
ended June 30, 2025. We had no revenue from colocation services for the six months ended June 30, 2024. In the fourth quarter of 2024,
we acquired Enovum which provides customers with physical space, power, and cooling within the data center facility.

Revenue from digital asset mining

The Company enters in contracts with mining pool
operators to provide computing power to digital asset mining pools. Providing computing power for digital asset transaction verification
services is an output of the Company’s ordinary activities. The provision of such computing power is the only performance obligation
in the Company’s contracts with mining pool operators.

For the six months ended June 30, 2025, we received
151.5 bitcoins from the Foundry USA Pool (“Foundry”) mining pool. As of June 30, 2025, our maximum hash rate was at an aggregate
of 2.7 EH/s for our bitcoin miners. For the six months ended June 30, 2025, we recognized revenue of $14.4 million from bitcoin mining
services.

For the six months ended June 30, 2024, we received
654.9 bitcoins from the Foundry mining pool. As of June 30, 2024, our maximum hash rate was at an aggregate of 4.3 EH/s for our bitcoin
miners. For the six months ended June 30, 2024, we recognized revenue of $38.0 million from bitcoin mining services.

Our revenues from digital asset mining services
decreased by $23.6 million, or 62.1%, to $14.4 million for the six months ended June 30, 2025 from $38.0 million for the six months ended
June 30, 2024. The decrease was primarily due to a decrease of 503.4 bitcoins generated from our mining business and partially offset
by a higher average BTC price for the six months ended June 30, 2025, compared to the same period in 2024.

Revenue from ETH staking

During the fourth quarter of 2022, we commenced
ETH staking business, in both native staking and liquid staking.

For the ETH native staking business, we previously partnered with Blockdaemon,
Marsprotocol and MarsLand. Currently, we stake ETH with Figment, using network-based smart contracts, on a node for the purpose of validating
transactions and adding blocks to the network