Culper Research Shorted Bitcoin Miner Iris Energy, Causing Its Shares to Plunge
In midday trading on Thursday, short-seller Culper Research issued a short-sale report on shares of bitcoin miner Iris Energy, causing Iris Energy's stock price to plummet nearly 20 percent. in the report, Culper analysts wrote: "IREN has trumpeted its HPC program, spending less than $1 million per megawatt to build out its existing facilities. IREN has trumpeted its HPC program, spending less than $1 million/MW to build out its existing facilities. Meanwhile, leading operators, analysts and experts confirm that the true cost of developing an HPC-ready data center is approximately $10 to $20 million per MW." Culper analysts said, " Iris Energy's valuation can be broken down into three components: the value of existing facilities, untapped power, and the crypto mining business. Iris Energy's shares are "grossly overvalued," given the reduction in miners' earnings after the halving, and we value the company's crypto-mining business at between $0 and $100 million."
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