One of the largest data center operators for mining owes $500 million

Compute North, one of the largest operators of data centers for cryptocurrency mining, filed for bankruptcy

and announced the departure of its CEO as falling prices for cryptocurrencies “weigh down the industry,” CoinDesk reports. Discuss

The company filed for bankruptcy in the US courtand owes about $500 million to at least 200 creditors, the statement said. Compute North announced in February that it had raised $385 million in capital. However, the company went bankrupt because now the miners are “fighting for survival” against the backdrop of falling prices for bitcoin, rising electricity costs and a record difficulty in mining cryptocurrency.

The bankruptcy filing is likely to havenegative consequences for the industry. Compute North is one of the largest providers of data centers for miners and has many deals with other major mining companies.