TECH - Bitcoin Miner Hut 8 Hits Back At Short Seller's Pump-And-Dump Allegations | Benzinga
Bitcoin miner Hut 8 (NASDAQ:HUT) hit out on Wednesday against what it called “false and misleading” claims by an activist short seller regarding the company’s merger with mining peer US Bitcoin Corp (USBTC).
J Capital Research unveiled a litany of accusations against the merged companies, including the allegations that USBTC was likely going bankrupt without the merger; Hut 8 paying more than the value of USBTC’s assets; and USBTC’s co-founder and CEO being a “30-year-old used-car salesman whose history is littered with involvement in SEC-defined pump-and-dumps.”
“Ultimately,” J Capital alleged, “We strongly believe that shareholders are likely to feel the pain of being on the wrong side of an over-levered pump-and-dump, only to be left holding the most inefficient Bitcoin miner, which is unprofitable even at a Bitcoin price of over $60,000.”
Short Seller’s ‘Own Benefit’ Claim
On Wednesday, Hut 8 hit back saying the J Capital report was filled ...