LAS VEGAS - Ault Alliance, Inc. (NYSE American: AULT), a diversified holding company, has announced a new strategic initiative to hold a portion of the Bitcoin it mines. The company plans to retain between 5% and 20% of the Bitcoin mined on its balance sheet.
The company's subsidiary, Sentinum, Inc., achieved a record high in Bitcoin mining during December 2023, mining approximately 151 Bitcoin. This performance translates to a monthly run rate of about $6.9M and an annual run rate of roughly $83.3M (NYSE:MMM), based on the Bitcoin price of around $46,000.
Milton "Todd" Ault III, the Founder and Executive Chairman of Ault Alliance, expressed confidence in Bitcoin's sustainability as an asset class, citing insights from Michael Saylor, Executive Chairman of MicroStrategy. Ault emphasized the company's alignment with strategies that capitalize on the digital asset's potential in both the short and long term.
Kenneth S. Cragun, the Chief Financial Officer of Ault Alliance, addressed the new accounting guidance which requires companies to measure Bitcoin at fair value on their balance sheets, with changes reflected in net income each reporting period. Cragun assured that the financial team is prepared to handle these new accounting and disclosure requirements, maintaining compliance and optimizing asset management.
The decision to hold a portion of the mined Bitcoin underscores Ault Alliance's commitment to adapting its strategy in line with the digital economy's evolution. The move is expected to provide the company with a stronger position within the cryptocurrency market.
This announcement is based on a press release statement from Ault Alliance, Inc.
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