Bitcoin Miner Issues 1.65 Billion Shares Amid Financial Struggles
MGT, an inactive Bitcoin miner, has been struggling to stay afloat despite issuing a staggering 1.65 billion shares in recent months.
The company reported zero revenue for the first half of 2026 and held only $232,000 in cash, leaving it with significant financial burdens.
A breakdown of the share issuance reveals that only 800 million common shares raised $700,000 in cash, while another 100 million shares were issued to settle payables worth $262,000.
The largest block of share issuance was a debt exchange on June 30, which retired a $1.22 million secured convertible note and resulted in a non-cash loss of $2.81 million for MGT.
MGT's current liabilities stand at $693,000 against its total assets of $232,000, indicating a substantial working-capital deficit.
The company has warned that it cannot assure investors of additional capital being available when needed or on acceptable terms, raising concerns about its ability to sustain operations for the next year.