March 22, 2023

financial statements and reporting. The company also stated that it would need to restate its financial statements for the years ended December 31, 2019, and December 31, 2020.

Marathon Digital, another bitcoin mining firm, also admitted to material errors in its financial statements. The company stated that it had identified errors in the accounting for depreciation of its mining equipment. Marathon Digital said that it would need to restate its financial statements for the years ended December 31, 2019, and December 31, 2020.

The news of the material errors and delayed filings caused a drop in the share prices of both Riot and Marathon Digital. Riot’s shares fell by 6.5%, while Marathon Digital’s shares dropped by 7.8%. The news also raised concerns among investors about the reliability of financial reporting in the cryptocurrency industry.

The SEC has been cracking down on the cryptocurrency industry in recent months, with a particular focus on initial coin offerings (ICOs) and other forms of digital asset offerings. The regulator has also been scrutinizing the accounting practices of cryptocurrency companies.

The delays in filing the annual reports by Riot and Marathon Digital are likely to attract further attention from the SEC. The regulator may launch an investigation into the material errors and the companies’ accounting practices. The news also highlights the need for greater transparency and accountability in the cryptocurrency industry.

Leave a Reply

Your email address will not be published. Required fields are marked *