Company: CIFRW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001819989-25-000081
Chunk: 298

Company: Cipher Mining Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 8
Chunk 298
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,980Recently adopted accounting pronouncementsIn December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 seeks to improve transparency of income tax disclosures by requiring consistent categories and greater disaggregation of information in the rate reconciliation and income taxes paid disclosures. The  Company adopted this standard on January 1, 2025 and it did not have a significant impact on its condensed consolidated financial statements.Recently issued accounting pronouncementsThe Company continually assesses any new accounting pronouncements to determine their applicability. When it is determined that a new accounting pronouncement affects the Company’s financial reporting, the Company undertakes to determine the consequences of the change to its financial statements and assures that there are proper controls in place to ascertain that the Company’s financial statements properly reflect the change. The Company reviewed all other recently issued accounting pronouncements and concluded that they were either not applicable or not expected to have a significant impact on its condensed consolidated financial statements.

NOTE 3. BITCOIN

The following table presents information about the Company’s bitcoin (in thousands):For the Six Months Ended June 30,20252024Opening balance$92,651 $32,978 Bitcoin received from equity investees13,857 5,907 Bitcoin received from mining activities67,270 85,281 Bitcoin received from loan16,551 - Bitcoin loan payments (140)- Proceeds from sales of bitcoin(121,352)(10,334)Realized gains on sales of bitcoin, net(1)8,557 4,869 Unrealized (losses) gains on bitcoin(3,035)19,378 Realized loss on bitcoin transferred to collateral, net(2)(3,195)- Bitcoin transferred from collateral, net40,925 - Ending balance$112,089 $138,079 (1) Realized losses from sale of bitcoin were immaterial in all periods presented.(2) Realized loss on bitcoin transferred to collateral, net is classified under other income (expense) on the condensed consolidated statement of operationsThe Company held approximately 1,046 and 994 bitcoin at June 30, 2025, and December 31, 2024, respectively. The associated fair values and cost bases of bitcoin held were $112.1 million, and $102.2 million, respectively, at