Ionic Digital CEO did not extend his initial contract. Bitcoin miner's auditor RMS withdraws. The company's efforts to go public have been delayed.
Ionic Digital, which bought the bitcoin mining assets of collapsed crypto lender Celsius Earlier this yearsaid in a News release CEO Matt Prusak will leave the company and its auditor, RMS, has left the firm.
“RSM's decision is not the result of any disagreement with the company over accounting principles, practices, financial statement disclosures or auditing scope or procedure,” the release said.
Ionic's search for a new auditor, which plans to go public within 12 months, will be delayed.
The auditor's temporary absence prevented Ionic from updating its SEC filings, delaying its efforts to become a public reporting company, the company said in a release.
Once a new auditor is engaged, Ionic Digital will “work expeditiously to prepare the reviewed financial statements necessary to make future SEC filings necessary to complete the process of becoming a public company,” it said.
Prusak informed the company in July of his decision not to extend his employment contract beyond the initial period, which ends on August 14.
The company is searching for a new CEO and intends to appoint Chief Financial Officer John Penver as interim CEO to maintain operational continuity.
With facilities across North America, Ionic said it hopes to develop the capacity to expand to 12.7 exahash for the Bitcoin network.
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However, Bitcoin mining activity was hit by the “halving” that took place in April this year, which reduced the amount of Bitcoin miners needed to produce new blocks.
In some cases, miners have cut their income in half, but operational costs have remained the same.
Related TopicsBitcoin MiningBitcoin Halving
