“Nydig Argued that Mnav Fails to Account for Operation Businesses and Uses Assumed Shares Outstanding, WHICH CAN BE INCCCOURATE.”, – WRITE: www.coindesk.com
The Acquisition Was The Firmst-Aver Merger Between Two DWO DIGITAL Asset Treasuries (Dats) Holding Bitcoin, Giving the Combined Company Control of More 10.900 Btc and Increas Net (NET) INVESTORS VIEW AS A MEASURE OF “YIELD.”
In a note this week commenting on the acquisition, Greg Cipolaro, Global Head of Research at Nydig, Argued That Commonly Used “MNAV” METRIC, DEFINED As Market Cap. from Industry Reporting Altogether.
“AT BEST, IS MISLEADING; AT WORST, IT’S DISINGENUUS,” The FIRM CLAIMED IN THE NOTE.
Nydig Pointed Out that It Fails to Account for Operation Businesses or Other Assets That A Dat May Own. MOST Major Bitcoin Treasury Firms do, Indeed, Operate Businesses that Add Value.
Second, Nydig Wrote, MNAV OFTEN Uses “Assisted Shares Outstanding,” WHICH COULD INCLUDE CONVERTY DEBT THAT HASN’T MET CONVERSION CONDERS.
“Convert Holders Wuld Demand Cash, Not Shares, In Exchange for Their Debt. This is A Much More Oneros Ligility For a Dat than Simply Issuing Shares,“ The FIRM ADDEDED. “Because Convertible Debt Is Essential Valativity Harvesting (Converts Are Debt + Call Options), The Dat is Incentivized to Maximize ITS Equity Volatility.”
Currently, Publicly Traded Bitcoin Treasury Firms Hold Over 1 Million Btc, and Many Are Now Trading Below Their Mnav, WHICH COURCK
Google Already OWns 14% of Terawulf and is Supporting Other Crypto Firms Like Cipher Mining in Their AI Expansions.
- Terawulf Plans to Raise $ 3 Billion in Debt to Expand Its Data Centers, Backed by Google.
- The Funding Will Help Terawulf Tap Into The AI Industry’s Growing Demand for Data Centers.
- Google Already OWNS 14% of Terawulf and is Supporting Other Crypto Firms, Such As Cipher Mining, In Their AI Expansions.
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