Escaping Jack Dorsey’s BTC miners cost $41.9 million
Core Scientific, starting in 2024, handed Jack Dorsey’s Block at least $67.9 million for BTC mining chips. It then booked a $41.9 million loss for the right to stop buying them.
The data center operator paid Block $10 million in July 2024, another $21.3 million in January 2025, and a final $36.6 million in January 2026.
However, a new quarterly report published today says Core has “entered into a termination and settlement agreement with Block, Inc. and Proto Global LLC to terminate our existing contract and all future delivery obligations of mining equipment thereunder, resulting in a loss of $41.9 million.”
Core decided to wind-down its mining obligations to Proto, Block’s mining hardware division, to complete a “strategic transition,” despite the $41.9 million loss required.
Block announced the purchase agreement for roughly 15 exahashes of its own three-nanometer chips in July 2024. Core was Proto’s first chip customer and remains the only large buyer Block has ever named.
Jack Dorsey’s BTC miners
By the time Core had paid Block $31.3 million worth of deposits and prepayments by January 2025, it still estimated another $64.8 million of payments still to come.
… Continue reading the full article at the original source below.
