Processors from CoreWeave…Mined Ether to be Held in Treasury as Sysorex Positions for Ethereum 2.0
HERNDON, Va., July 29, 2021 (GLOBE NEWSWIRE) — Sysorex, Inc. (“Company”) (OTCQB: SYSX), a data center owner and operator and the preeminent U.S.-based, publicly traded Ethereum mining and Ethereum Blockchain technologies company, today announced that it has completed the purchase of 1,344 Nvidia CMP V100 Class GPUs (“GPUs”) from CoreWeave, Inc. (“CoreWeave”). With the GPUs contributing approximately 125 Gigahash of computing power, or mining capacity, Sysorex now has the ability to aggregate approximately 20% more Ether (ETH), the cryptocurrency fueling the Ethereum Blockchain. The Company also announced its plans to retain mined ETH in treasury, potentially further augmenting its balance sheet.
On April 1, 2021, Sysorex and CoreWeave executed a $2,250,000 purchase order (“Purchase Order”) for the purchase and sale of the GPUs on a “lease-to-buy” basis with all revenue in the form of ETH generated from the GPUs, mined and sold, being credited to the balance due on the Purchase Order until full repayment. From the period of April 1 to July 8, 2021, the 1,344 GPUs mined 421.494 ETH, generating approximately $1,090,000 in revenue (unaudited), which was credited to the Purchase Order, in addition to a $50,000 down payment that was made on or about April 1, 2021. Last week, Sysorex paid the balance of the purchase order, approximately $1,110,000, to CoreWeave.
“The fulfillment of the CoreWeave Purchase Order is an important achievement that we believe will drive shareholder value, as it coincides with our shift from selling ETH to fund operations, as we execute on our current strategy of aggregating 100% of mined ETH in our treasury wallet, which is immediately additive to our balance sheet, and the value of the ETH retained may also increase over time,” said Wayne Wasserberg, CEO of Sysorex. “With our approximately 10,000 GPUs now completely paid for and owned by Sysorex, we are amassing all mined Ethereum so that when the Ethereum Blockchain may shift from mining/Proof-of-Work to Proof-of-Stake/Ethereum 2.0, Sysorex will be positioned as a leading U.S.-based stakeholder. With these GPUs and others that we brought online in the second quarter of this year, our mining capacity has grown approximately 100% from just the first quarter of 2021 to the second quarter of this year. We are proud of this accomplishment and remain laser focused on the road ahead, as we continue to bolster our position as the leading U.S.-based Ethereum company. I look forward to addressing our shareholders on our August 9, 2021 conference call, as we have much more to share.”
ABOUT SYSOREX, INC.
Sysorex, Inc. (“Company”) is a data center owner and operator and is the largest U.S.-based, publicly traded Ethereum mining and Ethereum Blockchain technologies company. Following the Company’s merger with TTM Digital Assets & Technologies, Inc. (“TTM”), the Company shifted its primary business focus to the mining of Ether (ETH) and opportunities related to the Ethereum Blockchain. The Company currently owns and operates approximately 10,000 NVIDIA GPUs generating approximately 500 Gigahash of computing power, which GPUs include thousands of Cryptocurrency Mining Processors (“CMPs”). These GPUs are currently online and securing the Ethereum Blockchain and generating ETH around the clock with industry leading efficiency. In addition to the mining of ETH, the Company continues to operate its wholly-owned subsidiary, Sysorex Government Services, Inc. (“SGS”), a business that provides information technology products, solutions and services to federal, state, and local government, including system integrators. The Company is also advancing strategies to leverage decentralized finance (“De-Fi”) and Non-Fungible Token (“NFT”) opportunities powered by the Ethereum Blockchain.
All statements in this release that are not based on historical fact are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements include, but are not limited to, statements relating to the Company’s future revenues, business, operations, and strategies. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would,” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words.
While the Company has based any forward-looking statements included in this release on its current expectations, the information on which such expectations were based may change. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties and other factors, many of which are outside of the control of the Company and its subsidiaries, which could cause actual results to materially differ from such statements, including the uncertainties related to market conditions and the completion of the offering on the anticipated terms or at all, the other factors discussed in the “Risk Factors” section of the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission on June 24, 2021, and the risks and uncertainties described in other filings that the Company made or may make with the Securities and Exchange Commission. Any forward-looking statements contained in this press release speak only as of the date hereof, and the Company specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.
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