Bitcoin mining company Iris Energy is facing a default claim as its lender alleges that the company failed to repay a $103 million loan by avoiding to «engage in good faith restructuring discussions.»
According to awith the US Securities and Exchange Commission, the Sydney-based mining company had $32 million and $71 million in principal amount of loans secured by 1.6 EH/s bitcoin miners and 2.0 EH/s of bitcoin miners, respectively.
Iris Energy says it is disagreeing with the allegations as the mentioned mining rigs do not produce enough funds to cover debt obligations. Should Iris Energy fail to reach an agreement for restructuring by Tuesday, Nov. 8, the company might face default and foreclosing of assets. Amid reports, Iris Energy shares decline by over 2% to $2.7.