Sphere 3D Corp. Provides Bitcoin Production and Mining Updates for May 2022

Sphere 3D Corp. ("Sphere 3D" or the "Company") (Nasdaq: ANY), dedicated to becoming the leading carbon-neutral Bitcoin mining company operating at an industrial scale, provides results of its Bitcoin mining operation as of May 31, 2022.

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(Graphic: Business Wire)

CEO Comments

"Our primary focus is growing our mining operations. Our fleet of S19j Pros is producing as expected, and we are deploying our new miners as rapidly as possible. We are laser-focused on executing our strategy of becoming a leading carbon-neutral Bitcoin mining company," said Patricia Trompeter, CEO of Sphere 3D. "The executive team and Board of Directors continue to evaluate options for the long-term financing of our fleet. Current geopolitical and financial issues have delayed our efforts as banks and institutions grapple with the potential outcome of higher inflation and the uncertain economic outlook.

"We feel confident that Bitcoin valuations will soon stabilize after being negatively impacted by the prolonged volatility of global markets. The markets now appear to be normalizing, and we expect Bitcoin valuations to move higher in the coming months," said Ms. Trompeter. "The cryptocurrency mining industry continues to be challenged by increasing energy prices and the lack of available space for miners during the second quarter. We are working with our partners to identify ways to respond and adjust to these challenges."

Bitcoin Production and Holdings Update

From May 1, 2022, through May 31, 2022, Sphere 3D's mining operation produced 12.57 Bitcoin, or 0.41 Bitcoin daily. Production increased approximately two percent over the 12.35 coins produced in April 2022. The equivalent approximate valuation of the Company’s production, based on a Bitcoin price of $31,792 on May 31, 2022, totaled $13,000 per day and $400,000 for the month.

Since the Company began its mining operations during the first quarter of 2022, it has produced 43.07 coins and held 37.05 Bitcoin on May 31, 2022. This represented a valuation of about $1,180,000 based on the Bitcoin price of $31,792 on May 31, 2022.

Miner Deliveries and Petahash Capacity

As of May 31, 2022, the Company was operating approximately 1,000 S19j Pros miners delivering a production capacity of about 100 PH/s. Sphere 3D operated at 130 BTC/EH efficiency in May and averaged 99.5 percent uptime.