Riot Platforms (RIOT), the Bitcoin mining company formerly known as Riot Blockchain (NASDAQ:RIOT), filed a lawsuit against the Texas-based digital asset technology company Rhodium Enterprises, alleging that the latter “deliberately miscalculated” the amount it owes to RIOT.
In the Q1 2023 financial report of Riot Platforms released on May 10, the company pointed out that Rhodium Enterprises has failed to pay an amount of $26 million regarding the hosting and service fees of Bitcoin mining facilities. The report stated that though Rhodium Enterprises has been utilizing the mining facilities of the Riot subsidiary, Whinstone, from 2021 to the first quarter of 2023, it hasn’t paid any amount.
According to the petition filed by the company on May 2, in the District Court of Milam County in Texas, Rhodium Enterprises owes “more than $26 million”. In addition, RIOT has also asked for reimbursement for legal fees in order to proceed with the legal actions.
The quarterly report gave a short description of the petition filed, asserting that “certain hosting agreements” with Rhodium have been terminated. The report stated:
Further, Whinstone claimed that though the platform tried to get the amount submitted by Rhodium in May 2022, and later in April 2023, Rhodium refused to make the payment, finally forcing Riot to file the lawsuit.
The post Rhodium Owes $26 Million to Riot Enterprises; Riot Files Lawsuit appeared first on Coin Edition.
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Source: Cryptocurrency - investing.com
