MGT Capital Investments Inc. (MGTI)

[penknee]

Somehow they burned through over $10.5 million in general and administrative costs in the quarter. The btc investment totals $472,000 for 200 machines. Ladd is still the CEO


From the 10Q
As of November 14, 2016, the registrant had outstanding 28,162,855 shares of Common stock, $0.001 par value.

Dollar figures in thousands.
General and administrative $10,572

Bitcoin mining $53
Cost of rev. $31
Operating loss $10,844

During the three months ended September 30, 2016, the Company purchased 200 bitcoin mining machines from Bitmain Technologies Limited for $311 and power supplies from Hash The Planet (“HTP”) for $27. The  Company also entered a 12-month agreement with HTP to host, power, connect, monitor and service the machines for $136. The hosting data center in located in Cashmere, WA. MGT launched its bitcoin mining operations and earned its first BTC on September 3, 2016.

On October 24, 2016, the Company consummated the July 14, 2016 Asset Purchase Agreement (the “APA”) with Cyberdonix, Inc. (“Cyberdonix “), an Alabama corporation and the shareholders of Cyberdonix , Inc. for the purchase of “sentinel” hacker intrusion device, its prototypes and all underlying software and firmware thereof, the server contract and a hard case and circuit board inventory; 5,000 hard cases (including mold for production) and 4 circuit boards by issuing 150,000 shares of MGT common stock.
 

On October 24, 2016, the Company issued 150,000 shares of its common stock to a law firm for legal services.


Item 4. Controls and procedures
 
(a) Evaluation of disclosure controls and procedures. Our management, with the participation of our Chief Executive Officer, who is also our Interim Chief Financial Officer, evaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a–15(e) or 15d–15(e) of the Exchange Act of 1934. Based on that evaluation, our Chief Executive Officer concluded that our disclosure controls and procedures as of September 30, 2016 (the end of the period covered by this Quarterly Report on Form 10–Q), have not been designed and are not functioning effectively to provide reasonable assurance that the information required to be disclosed by us in our reports filed or submitted under the Exchange Act is (i) recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and (ii) that such information is accumulated and communicated to our management, including our Chief Executive Officer, as appropriate to allow timely decisions regarding required disclosure.

In the nine months ended September 30, 2016, the Company granted and issued a total of 675,000 shares to non–employees for services rendered.


Robert B. Ladd

Chief Executive Officer

(Principal Executive Officer, Principal Financial and Accounting Officer)

https://www.sec.gov/Archives/edgar/data/1001601/000149315216014947/form10-q.htm