{"id":72516,"date":"2023-01-13T17:48:49","date_gmt":"2023-01-13T15:48:49","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=72516"},"modified":"2025-09-09T01:07:54","modified_gmt":"2025-09-08T22:07:54","slug":"bitfarms-warns-of-possible-default-on-blockfi-loan","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/bitfarms-warns-of-possible-default-on-blockfi-loan\/","title":{"rendered":"Bitfarms Warns of Possible Default on BlockFi Loan"},"content":{"rendered":"<p>The mining company Bitfarms <a href=\"https:\/\/www.globenewswire.com\/news-release\/2023\/01\/13\/2588504\/0\/en\/Bitfarms-Seeks-Modification-of-Equipment-Loan-Facility-to-Align-with-Market-Conditions.html\">\u0437\u0430\u044f\u0432\u0438\u043b\u0430<\/a> that it is seeking more favourable repayment terms for the $20 million remaining loan from the crypto-lending platform BlockFi. Among other actions, the firm allowed a halt in repayments.<\/p>\n<p>In February 2022 <a href=\"https:\/\/u1f987.com\/en\/news\/bitfarms-to-launch-mining-center-in-washington-state\">Bitfarms&#8217; subsidiary in Washington State<\/a> (USA) entered into an agreement with the platform to obtain a loan of $32 million.<\/p>\n<p>The subsidiary Backbone Mining Solutions (BMS) operates a 20 MW data centre in the region.<\/p>\n<p>The loan collateral consisted of the company&#8217;s ASIC miners and a stake in the bitcoins produced. According to BMS, the current value of these assets stands at around $5 million, with outstanding interest and principal roughly $20 million.<\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\u00abAs a result, Bitfarms decided that it would be prudent to obtain more favourable terms from BlockFi and potentially take other steps to reduce BMS&#8217;s obligations\u00bb, the press release said.<\/p>\n<\/blockquote>\n<p>According to the statement, the company has taken &#8216;certain actions&#8217; and intends to take further steps.<\/p>\n<p>Bitfarms <a href=\"https:\/\/u1f987.com\/en\/news\/bitfarms-abandons-bitcoin-accumulation-strategy\">abandoned<\/a> its strategy of holding mined bitcoins and became one of the leaders in the volume of <a href=\"https:\/\/u1f987.com\/en\/news\/public-miners-liquidated-a-quarter-of-their-bitcoin-reserves-in-june\">liquidation of cryptocurrency reserves<\/a> among publicly listed mining companies.<\/p>\n<p>In an exclusive ForkLog feature, <a href=\"https:\/\/u1f987.com\/en\/news\/survival-game-what-happened-to-the-mining-industry-in-2022\">what happened in the mining industry in 2022<\/a> and how its participants survived the bear market.<\/p>\n<p>Follow ForkLog&#8217;s Bitcoin news on our <a href=\"https:\/\/telegram.me\/forklog\" target=\"_blank\" rel=\"nofollow noopener\">Telegram<\/a> \u2014 cryptocurrency news, prices and analysis.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Bitfarms said it is seeking more favourable repayment terms for the $20 million remaining loan from the crypto-lending platform BlockFi. Among other actions, the firm allowed a halt in repayments.<\/p>\n","protected":false},"author":1,"featured_media":72517,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1184,1436,1137,1097],"class_list":["post-72516","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-bitfarms","tag-blockfi","tag-cryptocurrency-mining","tag-lending"],"aioseo_notices":[],"amp_enabled":true,"views":"16","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/72516","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=72516"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/72516\/revisions"}],"predecessor-version":[{"id":72518,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/72516\/revisions\/72518"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/72517"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=72516"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=72516"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=72516"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}