The world of cryptocurrencies is going through a rough patch due to the collapse of the giant stock market FTX, the collapse of Bitcoin to recent lows. This situation caused investors to worry about cryptocurrencies and even caused some companies in the industry to go out of business.

Now it has been revealed that the cryptocurrency mining area, which has been growing in recent years, has also been hit by the bad trend. Based in the US, one of the top 15 crypto mining companies in the world Core Scientific files for bankruptcy in the country.

Bitcoin’s decline and rising mining costs led to the bankruptcy of the giant company

The company, headquartered in Texas, filed for bankruptcy in the state today. The company stated that it has reached a restructuring agreement with its lenders and creditors, adding that it intends to continue producing Bitcoin.

The bankruptcy of the company that operates its facilities in five US statesdeclines in the prices of cryptocurrencies and used in mining global rise in energy costs then it came. The crypto giant also stated in its bankruptcy filing that Bitcoin’s decline, the inability to receive payments from some of its customers, and the rise in electricity costs were to blame.

The market value has bottomed out in the past 8 months

The market value of Core Scientific, a publicly traded company listed on the Nasdaq, was in April, according to FactSet’s Financial Times data. reached 3 billion. However, this amount has declined sharply since then. under $100 million and it just hit rock bottom.

In addition, Core Scientific, the crypto lending company that crashed last summer Celsius network was also negatively affected by the bankruptcy. The two companies disagreed over the service Core provided to Celsius. The bankruptcy of Celsius, which is indebted to Core, is also the reason for the giant mining company their financial problems increased even more.

The leading cryptocurrency Bitcoin (BTC), which hit the lowest levels of the last two years this year, is trading around $16,779 at the time of writing this news.