Reply to Phoenix_traderphoenix_trader wrote:
"You forget DMG Blockchain (DMGI) with no debt"
Hello there Mr. Phoenix trader, just to be clear. I follow about 20 different Bitcoin mining operations of varying degrees of scale, location & complexity and trust me when i tell you i didn't omit DMG due to forgetfulness. They were omitted or more precisely elimininated because of several other factors. The most important one being the size of the operation. My main focus were those who were not only leaders in their respective industry, but also had sufficient scale to dominate as well as a solid balance sheet to whether the storm. No offense, but under my stated parameters, DMG did not qualify under for any of those specific factors. Beside that fact, they're more of a software company than a miner. As a miner, just too small for institutional investors to care & have insufficient financial resources to survive the current Crypto Winter.
To be fair though, i haven't checked DMG in depth and some of the other smaller players like them in quite some time, so maybe there's been a drastic change in their situation since i last looked. But i highly doubt it. The last numbers i had for them is the following, a hash rate of about 550phash with the potential to be at 800phash by years end producing aprox 75 BTC/month, almost no debt and about $5M in cash & 400 BTC on the books as of last qtr. Is that about right? If it is, then like i said way too small to matter to anyone of importance and will have a hard time making through this year in one piece. If some of those figures are incorrect, please let me know.
Like i said, my main focus was on the winners and those who will come out of this economic downturn stronger than when they went in. In other words, the strong will survive & thrive and the weak will fade away & perish, and unfortunately for DMG i think they will be part of the latter. DMG isn't the only one who will probably not be around much longer, at least not in current form. If bankruptcy doesn't get the shareholders of those companies, either massive dilution or selling out to large operations for pennies due to liquidity issues will. Along with DMG, this includes small players like Catherdra, Luxxfolio, Digihost, MGT, Cryptostar, Mawson, Stronghold & Sphere and maybe Greennidge a few others. All those listed above have a very good probability of disappearing altogether in some form or another due to not being able to compete or having sufficient resources to just plainly survive.
I hope this detailed explanation is more clear to you of what i meant.
GLTA