Ault Alliance, Inc. (NYSE American: AULT), a diversified holding
company, (“Ault Alliance” or the “Company”), announced today that
it plans to explore a pathway that will allow it to issue a special
dividend payable in Bitcoin to stockholders. The Company intends to
collaborate with regulatory authorities, its transfer agent and
others, which may include a trusted custodian, to determine what is
required in order to pay a special dividend in Bitcoin.
The planned dividend would be paid from Bitcoin generated by the
Company’s wholly owned subsidiary, BitNile, Inc. (“BNI”). As
previously announced, BNI issued an unaudited update on its Bitcoin
mining operations reporting BNI’s mining operations is currently
operating at an operational hash rate of 2.1 exahashes per second
with approximately 9,000 of its Bitcoin miners at its Michigan data
center and 10,000 Bitcoin miners that are being hosted through its
strategic collaboration with Core Scientific, Inc. The annualized
gross value of Bitcoin currently being mined utilizing BNI’s miners
is more than $55 million, or approximately 1,800 Bitcoin, based on
current market conditions, including a current trading price of
Bitcoin at $30,400 and a mining difficulty of 50.65 trillion.
Ault Alliance remains dedicated to its core mission of driving
innovation and delivering exceptional value to its stockholders.
With the increasing popularity and adoption of cryptocurrencies,
Ault Alliance recognizes the potential of Bitcoin as a valuable
asset for its stockholders. The idea of potentially issuing a
Bitcoin dividend is aimed at providing a forward-thinking approach
to stockholder value enhancement. By leveraging its Bitcoin mining
operations, Ault Alliance seeks to provide an alternative
investment opportunity and potential long-term value appreciation
for its stockholders.
Ault Alliance is also exploring ways to facilitate the
effectuation of its conceptual design for stockholders who may not
be familiar or comfortable with receiving a dividend in Bitcoin
itself. Ault Alliance would, with the intention of addressing the
preferences of all of its stockholders, accomplish this objective
by offering its stockholders as of the ex-dividend date a choice of
receiving actual Bitcoin or a cash payment equal to the dollar
value of the Bitcoin as of such ex-dividend date.
“By exploring a possible Bitcoin dividend, we aim to stay at the
forefront of technological advancements and provide additional
value to our stockholders,” said Milton “Todd” Ault III, Founder
and Executive Chairman of Ault Alliance. “We believe that
cryptocurrencies, especially Bitcoin, hold tremendous potential for
the future, and we want our stockholders to benefit from this
exciting opportunity.”
In order to ensure compliance with regulatory requirements and
promote transparency, Ault Alliance will be working closely with
relevant regulatory authorities throughout the process. The Company
is committed to adhering to the highest standards of corporate
governance and regulatory compliance in all its operations. At this
time, the Company has not declared a dividend and there can be no
assurances that it will declare a dividend payable in Bitcoin or a
Bitcoin-denominated cash payment, if at all. The Company has not
yet determined what procedures would be required to permit
stockholders to receive a dividend in Bitcoin, and even if the
Company is able to pay a special dividend in Bitcoin, there are no
guarantees that all stockholders will be permitted by their local
governmental bodies to receive the dividend in Bitcoin.
Ault Alliance notes that all estimates and other projections are
subject to the volatility in Bitcoin market price, the fluctuation
in the mining difficulty level, the ability to build out and
provide the necessary power for miners, and other factors that may
impact the results of Bitcoin mining production or operations.
For more information on Ault Alliance and its subsidiaries, Ault
Alliance recommends that stockholders, investors, and any other
interested parties read Ault Alliance’s public filings and press
releases available under the Investor Relations section at
https://www.ault.com/ or available at https://www.sec.gov/.
About Ault Alliance, Inc.
Ault Alliance, Inc. is a diversified holding company pursuing
growth by acquiring undervalued businesses and disruptive
technologies with a global impact. Through its wholly and
majority-owned subsidiaries and strategic investments, Ault
Alliance owns and operates a data center at which it mines Bitcoin
and provides mission-critical products that support a diverse range
of industries, including metaverse platform, oil exploration, crane
services, defense/aerospace, industrial, automotive,
medical/biopharma, consumer electronics, hotel operations and
textiles. In addition, Ault Alliance extends credit to select
entrepreneurial businesses through a licensed lending subsidiary.
Ault Alliance’s headquarters are located at 11411 Southern
Highlands Parkway, Suite 240, Las Vegas, NV 89141;
www.ault.com.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. These forward-looking statements generally include
statements that are predictive in nature and depend upon or refer
to future events or conditions, and include words such as
“believes,” “plans,” “anticipates,” “projects,” “estimates,”
“expects,” “intends,” “strategy,” “future,” “opportunity,” “may,”
“will,” “should,” “could,” “potential,” or similar expressions.
Statements that are not historical facts are forward-looking
statements. Forward-looking statements are based on current beliefs
and assumptions that are subject to risks and uncertainties.
Forward-looking statements speak only as of the date they are made,
and the Company undertakes no obligation to update any of them
publicly in light of new information or future events. Actual
results could differ materially from those contained in any
forward-looking statement as a result of various factors. More
information, including potential risk factors, that could affect
the Company’s business and financial results are included in the
Company’s filings with the U.S. Securities and Exchange Commission,
including, but not limited to, the Company’s Forms 10-K, 10‑Q and
8-K. All filings are available at https://www.sec.gov/ and on the
Company’s website at https://www.ault.com/.
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