10-Q/A

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q/A

Amendment No. 1

(Mark One)

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended March 31, 2013

OR

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________ to __________

Commission file number 0-26886

MGT CAPITAL INVESTMENTS, INC.

(Exact Name of Registrant as Specified in Its Charter)

Delaware	13-4148725
(State or Other Jurisdiction of	(I.R.S. Employer
Incorporation or Organization)	Identification No.)

500 Mamaroneck Avenue, Suite 204,
Harrison, NY 10528

(Address of Principal Executive Offices)

914-630-7431

(Registrant’s Telephone Number, Including Area Code)

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes x No ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated Filer ¨	Accelerated filer ¨
Non-accelerated filer ¨	Smaller reporting company x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ¨ No x

As of May 17, 2013, the registrant had outstanding 6,064,440 shares of common stock, $0.001 par value. 

EXPLANATORY NOTE

The purpose of this Amendment No. 1 on Form 10-Q/A to MGT Capital Investment, Inc.’s quarterly report on Form 10-Q for the period ended March 31, 2013, filed with the Securities and Exchange Commission on May 20, 2013, is solely to furnish Exhibit 101 to the Form 10-Q in accordance with Rule 405 of Regulation S-T.  Exhibit 101 consists of the following materials from MGT Capital Investment, Inc.’s Form 10-Q, formatted in XBRL (eXtensible Business Reporting Language): 

101.INS  XBRL Instance Document

101.SCH  XBRL Taxonomy Extension Schema Document

101.CAL  XBRL Taxonomy Extension Calculation Linkbase Document

101.DEF  XBRL Taxonomy Extension Definition Linkbase Document

101.LAB  XBRL Taxonomy Extension Label Linkbase Document

101.PRE  XBRL Taxonomy Extension Presentation Linkbase Document

No other changes have been made to the original Form 10-Q. This Amendment No. 1 speaks as of the original filing date of the Form 10-Q, does not reflect events that may have occurred subsequent to the original filing date, and does not modify or update in any way disclosures made in the original Form 10-Q.

Pursuant to Rule 406T of Regulation S-T, the interactive data files on Exhibit 101 hereto are deemed not filed or part of a registration statement or prospectus for purposes of Sections 11 or 12 of the Securities Act of 1933, as amended, are deemed not filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, and otherwise are not subject to liability under those sections.

PART II — OTHER INFORMATION

ITEM 6. EXHIBITS.

Exhibit No.		Description
31.1	*	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	*	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
32.1	*	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
32.2	*	Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101	**	Interactive Data File.

* Incorporated by reference to our Form 10-Q filed with the SEC on May 20, 2013.

** Furnished with this Form 10Q/A.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	MGT CAPITAL INVESTMENT, INC.
Dated:  May 31, 2013	By:	/s/ ROBERT B. LADD
		Robert B. Ladd
		President and Chief Executive Officer (principal executive officer)

Dated:  May 31, 2013	By:	/s/ ROBERT P. TRAVERSA
		Robert P. Traversa
		Treasurer and Chief Financial Officer (principal financial officer)

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Operating leases, commitments and security deposit (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013
2013	$ 46
2014	58
Total	$ 104

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Fair value of financial instruments (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Derivative warrant - liability	$ 5,044	$ 7,166
Derivative Liability, Fair Value, Gross Liability	5,044	7,166
Fair Value, Inputs, Level 1 [Member]
Derivative Liability, Fair Value, Gross Liability	0	0
Fair Value, Inputs, Level 2 [Member]
Derivative Liability, Fair Value, Gross Liability	0	0
Fair Value, Inputs, Level 3 [Member]
Derivative Liability, Fair Value, Gross Liability	$ 5,044	$ 7,166

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Restatement of previously issued financial statements (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012	Mar. 31, 2012	Dec. 31, 2011
Assets
Cash and cash equivalents	$ 2,678	$ 3,443	$ 3,342	$ 3,704
Accounts receivable	0	9
Prepaid expenses and other current assets	233	340
Total current assets	2,911	3,792
Non-current assets:
Restricted cash	2,039	2,039
Property and equipment, at cost, net	21	25
Intangible assets, net of accumulated amortization of $118 (as revised)	1,743	1,795
Total assets	6,714	7,651
Liabilities
Accounts payable	203	242
Accrued expenses	177	272
Other payables	21	67
Total current liabilities	401	581
Non-current liabilities:
Derivative liability - warrants	5,044	7,166
Total liabilities	5,445	7,747
Redeemable convertible preferred stock - temporary equity
Preferred Stock, Series A Convertible Preferred, $0.001 par value; 1,394,766 shares authorized; 1,394,766 shares issued and outstanding at December 31, 2012 ($4,547 Liquidation preference)		47
Stockholders' equity/(deficit)
Preferred Stock, Value		0
Common stock, $0.001 par value; 75,000,000 shares authorized; 3,522,935 and 3,251,187 shares issued and outstanding at March 31, 2013, and December 2012 respectively	4	3
Additional paid in capital	283,296	282,998
Accumulated other comprehensive loss	(281)	(281)
Accumulated deficit	(282,570)	(283,631)
Total stockholders' equity/(deficit)	449	(911)
Non-controlling interests	712	768
Total equity	1,161	(143)
Total stockholders' equity/(deficit), liabilities and non-controlling interest	6,714	7,651
Scenario, Previously Reported [Member]
Assets
Cash and cash equivalents		3,443
Accounts receivable		9
Prepaid expenses and other current assets		340
Total current assets		3,792
Non-current assets:
Restricted cash		2,039
Property and equipment, at cost, net		25
Intangible assets, net of accumulated amortization of $118 (as revised)		1,704
Total assets		7,560
Liabilities
Accounts payable		242
Accrued expenses		196
Other payables		67
Total current liabilities		505
Non-current liabilities:
Derivative liability - warrants		0
Total liabilities		505
Redeemable convertible preferred stock - temporary equity
Preferred Stock, Series A Convertible Preferred, $0.001 par value; 1,394,766 shares authorized; 1,394,766 shares issued and outstanding at December 31, 2012 ($4,547 Liquidation preference)		0
Stockholders' equity/(deficit)
Preferred Stock, Value		1
Common stock, $0.001 par value; 75,000,000 shares authorized; 3,522,935 and 3,251,187 shares issued and outstanding at March 31, 2013, and December 2012 respectively		3
Additional paid in capital		295,050
Accumulated other comprehensive loss		(281)
Accumulated deficit		(288,447)
Total stockholders' equity/(deficit)		6,326
Non-controlling interests		729
Total equity		7,055
Total stockholders' equity/(deficit), liabilities and non-controlling interest		7,560
Restatement Adjustment [Member]
Assets
Cash and cash equivalents		0
Accounts receivable		0
Prepaid expenses and other current assets		0
Total current assets		0
Non-current assets:
Restricted cash		0
Property and equipment, at cost, net		0
Intangible assets, net of accumulated amortization of $118 (as revised)		91
Total assets		91
Liabilities
Accounts payable		0
Accrued expenses		76
Other payables		0
Total current liabilities		76
Non-current liabilities:
Derivative liability - warrants		7,166
Total liabilities		7,242
Redeemable convertible preferred stock - temporary equity
Preferred Stock, Series A Convertible Preferred, $0.001 par value; 1,394,766 shares authorized; 1,394,766 shares issued and outstanding at December 31, 2012 ($4,547 Liquidation preference)		47
Stockholders' equity/(deficit)
Preferred Stock, Value		(1)
Common stock, $0.001 par value; 75,000,000 shares authorized; 3,522,935 and 3,251,187 shares issued and outstanding at March 31, 2013, and December 2012 respectively		0
Additional paid in capital		(12,052)
Accumulated other comprehensive loss		0
Accumulated deficit		4,816
Total stockholders' equity/(deficit)		(7,237)
Non-controlling interests		39
Total equity		(7,198)
Total stockholders' equity/(deficit), liabilities and non-controlling interest		$ 91

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Segment reporting (Details Textual) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Restricted cash	$ 2,039	$ 2,039

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Stock incentive plan and share-based compensation (Details 2) (Warrant [Member], USD $)	3 Months Ended
	Mar. 31, 2013
Warrant [Member]
Number of shares - Warrants outstanding at December 31, 2012	4,038,753
Number of shares - Issued	0
Number of shares - Exercised	0
Number of shares - Expired	0
Number of shares - Warrants outstanding at March 31, 2013	4,038,753
Weighted average exercise price - Warrants outstanding at December 31, 2012	$ 3.68
Weighted average exercise price - Issued	$ 0
Weighted average exercise price - Exercised	$ 0
Weighted average exercise price - Expired	$ 0
Weighted average exercise price - Warrants outstanding at March 31, 2013	$ 3.68

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Liquidity and financial condition

3 Months Ended

Mar. 31, 2013

Liquidity and Financial Condition [Abstract]

Liquidity and Financial Condition [Text Block]

Note 3: Liquidity and financial condition

The Company has incurred significant operating losses since inception and continues to generate losses from operations. As a result, the Company has generated negative cash flows from operations and has an accumulated deficit of $282,570at March 31, 2013. The Company is operating in a developing industry based on new technology and its primary source of funds to date has been through the issuance of securities. While the Company is optimistic and believes appropriate actions are being taken, there can be no assurance that the products or patent monetization strategy will be successful by the Company.

At March 31, 2013, MGT’s cash, cash equivalents and restricted cash were $4,717, including $4 held in MGT Gaming. Subsequent to March 31, 2013, the Company received proceeds totaling $2,906 from warrant exercises; in addition, as a result of conversions of the Company’s Series A Convertible Preferred Stock, the Company is no longer required to maintain $2,000 in a restricted cash account. As a result, management believes that the current level of working capital will be sufficient to allow the Company to maintain its operations into June 2014. It is possible that some acquisitions may require the Company to raise capital; such capital may not be available on terms acceptable to the Company, if at all. To date, the purchase price of acquisitions has been funded primarily through the issuance of the Company’s equity securities to the sellers.

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Subsequent events (Details Textual) (USD $) In Thousands, except Share data, unless otherwise specified	1 Months Ended						0 Months Ended	1 Months Ended		3 Months Ended	0 Months Ended
	Apr. 30, 2013	Apr. 10, 2013	Mar. 31, 2013	Dec. 31, 2012	Oct. 31, 2012	Apr. 16, 2013 Convertible Preferred Stock [Member]	Apr. 10, 2013 Subsequent Event [Member]	Apr. 22, 2013 Subsequent Event [Member]	Apr. 26, 2013 Subsequent Event [Member]	Mar. 31, 2013 Subsequent Event [Member]	Apr. 10, 2013 Subsequent Event [Member] Restricted Stock [Member]
Business Acquisition, Date of Acquisition Agreement							Apr. 10, 2013
Business Acquisition, Cost of Acquired Entity, Cash Paid							$ 137	$ 203
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares								600,000			50,000
Preferred Stock Shares Outstanding Before Share Issue Under Asset Purchase Agreement						172,517
Cash Maintenance Provision Limit On Shares					345,012
Business Acquisition, Percentage of Voting Interests Acquired								63.00%
Class of Warrant or Right, Exercise Price of Warrants or Rights		3.00	3.85	4.00					3.85
Common Stock Warrant Exchange Ratio Description									5/8ths per share of Common Stock per Warrant exchanged.
Warrants Exercised									678,934	50,000
Maximum Warrants Exchanged For Common Stock									1,357,868
Common Stock Shares Issuable For Warrants									848,671
Proceeds from Warrant Exercises	$ 292								$ 2,614	$ 2,906
Additional Warrants Exercised									36,808

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Summary of significant accounting policies (Details Textual)	3 Months Ended
	Mar. 31, 2013
Convertible Preferred Stock, Shares Issued upon Conversion (in shares)	1,139,870
Warrants Antidilutive	4,038,753
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number	307,667
Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	6

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Liquidity and financial condition (Details Textual) (USD $) In Thousands, unless otherwise specified	1 Months Ended					1 Months Ended	3 Months Ended
	Apr. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Mar. 31, 2013 MGT [Member]	Mar. 31, 2013 Mgt Gaming [Member]	Apr. 26, 2013 Subsequent Event [Member]	Mar. 31, 2013 Subsequent Event [Member]
Accumulated deficit		$ (282,570)	$ (283,631)
Restricted cash		2,039	2,039	4,717	4
Proceeds from Warrant Exercises	292					2,614	2,906
Restricted Cash No Longer Required To Maintain							$ 2,000

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Cash, cash equivalents and restricted cash (Details Textual) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012	Mar. 31, 2012	Dec. 31, 2011
Cash and Cash Equivalents Including Restricted Cash	$ 4,717
Restricted cash	2,039	2,039
Cash and cash equivalents	2,678	3,443	3,342	3,704
Cash, FDIC Insured Amount	518
Cash, Uninsured Amount	17
Letter Of Credit [Member]
Other Restricted Assets, Noncurrent	39
Convertible Preferred Series A Stock Agreement [Member]
Other Restricted Assets, Noncurrent	$ 2,000

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Intangible asset - intellectual property (Details Textual) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		12 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2012	Apr. 10, 2013
Finite-lived Intangible Assets, Fair Value Disclosure			$ 1,913
Finite Lived Intangible Asset Acquired Cash Paid			200
Stock Issued During Period Shares Purchase Of Warrants			350,000
Warrant Term			4 years
Class of Warrant or Right, Exercise Price of Warrants or Rights	3.85		4.00	3.00
Finite-Lived Intangible Assets, Remaining Amortization Period			nine year
Amortization of intangible assets	52	0
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months	204
Finite-Lived Intangible Assets, Amortization Expense, Year Two	204
Finite-Lived Intangible Assets, Amortization Expense, Year Three	204
Finite-Lived Intangible Assets, Amortization Expense, Year Four	204
Finite-Lived Intangible Assets, Amortization Expense, Year Five	$ 204

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Restatement of previously issued financial statement

3 Months Ended

Mar. 31, 2013

Statement Of Financial Position [Abstract]

Condensed Financial Statements [Text Block]

Note 2: Restatement of previously issued financial statements

Subsequent to the issuance of its annual report on Form 10-K for the year ended December 31, 2012 as filed on March 29, 2013, management determined that certain of the Company’s warrants and its Series A Convertible Preferred Stock (“Preferred Stock”) have received improper accounting treatment. The warrants should have been reflected as liabilities and the Preferred Stock should have been reflected as temporary equity on the balance sheets included in the Company’s previously filed Annual Report on Form 10-K for the year ended December 31, 2012 (the “Annual Report”) and the Quarterly Reports on Form 10-Q for the periods ended June 30, 2012 and September 30, 2012 (the “Quarterly Reports”), as opposed to a component of equity. As a result of this improper accounting treatment, the financial statements in the Annual Report and the Quarterly Reports should no longer be relied upon. The Company intends to file amendments to the Annual Report and the Quarterly Reports as soon as possible.

Specifically, the change in treatment of the warrants and the Preferred Stock will result in a change to the equity, temporary equity, and liability portions of the balance sheets as of the close of the aforementioned periods and will result in a gain or loss on the fair market carrying value of the warrants and Preferred Stock which will impact our results of operations and earnings (loss) per share as reported in our statement of operations for such periods. Such restatements for correction of error, however, will not impact cash flow or cash balances. In addition, as a result of recently obtained Waiver Agreements from warrant holders, the affected warrants will be treated as equity in the quarter ending June 30, 2013. Lastly, as of the date of this Quarterly Report (“Quarterly Report”) on Form 10-Q, substantially all of the Preferred Stock has converted into Common Stock of the Company pursuant to its terms; the accounting treatment of the conversion eliminates temporary equity classification of these shares as well. In summary, while the Annual Report and Quarterly Reports should not be relied upon, investors should be aware that the classification of the warrants as a liability will revert back to the originally reported equity treatment in the quarter ending June 30, 2013.

The effects of the revision on the unaudited financial statements are summarized below:

Condensed Consolidated Balance Sheets

	December 31, 2012
	As previously reported			Adjustments			As restated
Assets:
Current assets:
Cash and cash equivalents	$	3,443		$	–		$	3,443
Accounts receivable		9			–			9
Prepaid expenses and other current assets		340			–			340
Total current assets		3,792			–			3,792
Non-current assets:
Restricted cash		2,039			–			2,039
Property and equipment, at cost, net		25			–			25
Intangible assets, net of accumulated amortization of $118 (as revised)		1,704			91			1,795
Total assets	$	7,560		$	91		$	7,651
Liabilities:
Current liabilities:
Accounts payable	$	242		$	–		$	242
Accrued expenses		196			76			272
Other payables		67			–			67
Total current liabilities		505			76			581
Non-current liabilities:
Derivative liability - warrants		–			7,166			7,166
Total liabilities		505			7,242			7,747
Redeemable convertible preferred stock – temporary equity
Preferred Stock, Series A Convertible Preferred, $0.001 par value; 1,394,766 shares authorized; 1,394,766 shares issued and outstanding at December 31, 2012 ($4,547 Liquidation preference)		–			47			47
Stockholders' equity/(deficit):
Preferred Stock, Series A Convertible Preferred, $0.001 par value; 1,394,766 shares authorized; 1,394,766 shares issued and outstanding at December 31, 2012 ($4,547 Liquidation preference)		1			(1	)		–
Common stock, $0.001 par value; 75,000,000 shares authorized; 3,251,187 and 2,108,732 shares issued and outstanding at December 31, 2012, and 2011, respectively		3			–			3
Additional paid in capital		295,050			(12,052	)		282,998
Accumulated other comprehensive loss		(281	)		–			(281	)
Accumulated deficit		(288,447	)		4,816			(283,631	)
Total stockholders’ equity/(deficit)		6,326			(7,237	)		(911	)
Non-controlling interests		729			39			768
Total equity		7,055			(7,198	)		(143	)
Total stockholders' equity/(deficit), liabilities and non-controlling interest	$	7,560		$	91		$	7,651

Condensed Consolidated Statement of Stockholders' Equity

	Preferred stock						Common stock				Additional			Accumulated						Total
	Shares			Amounts			Shares		Amounts		paid-in capital			comprehensive income / (loss)			Accumulated deficit			shareholders' equity			Non-controlling interests			Total equity
At December 31, 2012 (as previously reported)		1,395		$	1			3,251	$	3	$	295,050		$	(281	)	$	(288,447	)	$	6,326		$	729		$	7,055
Reversal of Warrants issued in connection with acquisition of intangible assets												(808	)								(808	)					(808	)
Reversal of non-controlling share of MGT Gaming, Inc.																					–			42			42
Restatement of Intangible Amortization Expense and Derivative Gain/Loss Expense																		59			59			(3	)		56
Reversal of issuance of Preferred stock & warrants, net of issuance costs of $87		(1,380	)		(1	)						(4,411	)					(87	)		(4,499	)					(4,499	)
Preferred Stock Dividend - accretion of warrants												(2,478	)					2,478			–						–
Reversal of deemed dividend of beneficial conversion feature of Preferred Convertible Series A stock to common stock												(2,021	)					2,021			–						–
Reversal of quarterly dividend on Preferred stock		(15	)									(56	)					56			–						–
Warrant - Deemed Dividend (in excess of proceeds received)												(2,231	)								(2,231	)					(2,231	)
Revaluation of Warrant Derivative																		365			365						365
Preferred Stock Dividend												(47	)								(47	)					(47	)
Adjustment to accrued expenses																		(76	)		(76	)					(76	)
At December 31, 2012 (restated)		–		$	–			3,251	$	3	$	282,998		$	(281	)	$	(283,631	)	$	(911	)	$	768		$	(143	)

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Series A Convertible Preferred Stock (Details Textual) (USD $)	3 Months Ended					1 Months Ended	3 Months Ended			1 Months Ended		3 Months Ended
	Mar. 31, 2013	Apr. 10, 2013	Dec. 31, 2012	Dec. 31, 2011	Nov. 02, 2012 Private Placement [Member]	Nov. 30, 2012 Mgt [Member]	Mar. 31, 2013 Mgt [Member]	Mar. 31, 2012 Mgt [Member]	Nov. 02, 2012 Cash Maintenance [Member]	Apr. 30, 2013 Series A Convertible Preferred Stock [Member]	Nov. 30, 2012 Series A Convertible Preferred Stock [Member]	Mar. 31, 2013 Series A Convertible Preferred Stock [Member]	Dec. 31, 2012 Series A Convertible Preferred Stock [Member]
Proceeds from Issuance of Private Placement											$ 4,500,000
Preferred stock, shares outstanding					1,380,362				345,092			1,139,870	1,394,766
Issuance Of Warrants To Purchase Of Common Stock						400,000					2,760,724
Common stock, par value (in dollars per share)	$ 0.001		$ 0.001	$ 0.001	$ 3.26
Preferred Stock, Dividend Rate, Percentage											6.00%
Class of Warrant or Right, Exercise Price of Warrants or Rights	3.85	3.00	4.00		3.85
Cash									2,000,000
Preferred Stock Dividends, Shares												18,806
Convertible Preferred Stock, Shares Issued upon Conversion (in shares)	1,139,870									1,125,763	100,000
Reduction In Cash Consideration	108,000
Stock Issued During Period, Shares, Conversion of Convertible Securities										1,123,809
Preferred Stock and Warrants Issuance Costs											88,000
Service Agreements Expenses Incurred During Period							100,000	0
Preferred Stock Shares Conversion												273,702
Preferred Stock Shares Conversion In To Common Stock												273,702
Service Agreement Reduction In Cash Consideration	6,000
Preferred Stock Replaced Under Adjusted Agreement	100,000
Warrants To Purchase Of Common Stock Replaced Under Adjusted Agreement	200,000
Issuance Of Restricted Stock Adjusted Agreement	50,000
Expenses To Be Incurred Towards Services Over Agreement Period											$ 444,000

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Operating leases, commitments and security deposit (Details Textual) (USD $) In Thousands, except Share data, unless otherwise specified	1 Months Ended		3 Months Ended		1 Months Ended	3 Months Ended		1 Months Ended
	May 31, 2012	Sep. 30, 2011	Mar. 31, 2013	Mar. 31, 2012	Oct. 26, 2012 Service Agreements [Member]	Mar. 31, 2013 Mgt [Member]	Mar. 31, 2012 Mgt [Member]	Nov. 30, 2012 Series Convertible Preferred Stock [Member]
Operating Leases Expenses For Rental Deposit Total		$ 240
Operating Leases Rental Payments Terms		39 months
Lease Expiration Date		Nov. 30, 2014
Payments For Financial Advisory and Consulting Agreement	5
Loss Contingency, Settlement Agreement, Terms	one-year consulting agreement				one-year financial advisory and consulting agreement
Refundable Rental Deposit		39
Cash Consideration Payable Towards Consulting Agreement					250
Issuance Of Restricted Stock					120,000
Payment Towards Consultation Services			62	0
Operating Leases, Rent Expense, Net			17	36
Service Agreements Expenses Incurred During Period						100	0
Expenses To Be Incurred Towards Services Over Agreement Period								$ 444

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CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Assets
Cash and cash equivalents	$ 2,678	$ 3,443
Accounts receivable	0	9
Prepaid expenses and other current assets	233	340
Total current assets	2,911	3,792
Non-current assets:
Restricted cash	2,039	2,039
Property and equipment, net	21	25
Intangible assets, net	1,743	1,795
Total assets	6,714	7,651
Liabilities
Accounts payable	203	242
Accrued expenses	177	272
Other payables	21	67
Total current liabilities	401	581
Non-current liabilities:
Derivative liability - warrants	5,044	7,166
Total liabilities	5,445	7,747
Commitments and contingencies
Stockholders' equity/(deficit)
Preferred Stock, Value		0
Common stock, $0.001 par value; 75,000,000 shares authorized; 3,522,935 and 3,251,187 shares issued and outstanding at March 31, 2013, and December 2012 respectively	4	3
Additional paid in capital	283,296	282,998
Accumulated other comprehensive loss	(281)	(281)
Accumulated deficit	(282,570)	(283,631)
Total stockholders' (deficit)/equity - MGT Capital Investments, Inc.	449	(911)
Non-controlling interests	712	768
Total equity	1,161	(143)
Total stockholders' equity/(deficit), liabilities and non-controlling interest	6,714	7,651
Series A Convertible Preferred Stock [Member]
Stockholders' equity/(deficit)
Preferred Stock, Value	108	47
Undesignated Preferred Stock [Member]
Stockholders' equity/(deficit)
Preferred Stock, Value	$ 0	$ 0

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CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Cash flows from operating activities:
Net income / (loss)	$ 1,005	$ (679)
Adjustments to reconcile net income / (loss) to net cash used in operating activities:
Depreciation	4	7
Decrease in fair value of warrants	(2,122)	0
Amortization of intangible assets	52	0
Loss on disposal of property and equipment	0	2
Stock-based compensation expense	359	32
Change in operating assets and liabilities:
Accounts receivable	9	(31)
Prepaid expenses and other current assets	107	166
Inventory	0	36
Security deposits	0	128
Accounts payable	(39)	42
Accrued expenses	(95)	(108)
Other payables	(46)	(10)
Net cash used in operating activities	(766)	(415)
Cash flows from investing activities:
Purchase of property and equipment	0	(10)
Net cash used in investing activities	0	(10)
Cash flows from financing activities:
Cash paid in lieu of fractional shares in reverse/forward split	0	(5)
Net cash used in financing activities	0	(5)
Effects of exchange rates on cash and cash equivalents	1	68
Net change in cash and cash equivalents	(765)	(362)
Cash and cash equivalents, beginning of period	3,443	3,704
Cash and cash equivalents, end of period	2,678	3,342
Supplemental non-cash disclosures (investing and financing activities):
Series A Convertible Preferred Stock, dividends paid in kind	$ 61	$ 0

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Stock incentive plan and share-based compensation (Details) (USD $)	3 Months Ended
	Mar. 31, 2013
Number of shares - Non-vested at March 31, 2013	307,667
Restricted Stock [Member]
Number of shares - Non-vested at December 31, 2012	314,667
Number of shares - Granted	0
Number of shares - Vested	(7,000)
Number of shares - Forfeited	0
Number of shares - Non-vested at March 31, 2013	307,667
Weighted average grant date fair value - Non-vested at December 31, 2012	$ 5.20
Weighted average grant date fair value - Granted	$ 0
Weighted average grant date fair value - Vested	$ 6.04
Weighted average grant date fair value - Forfeited	$ 0
Weighted average grant date fair value - Non-vested at March 31, 2013	$ 5.18

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Stock incentive plan and share-based compensation (Tables)

3 Months Ended

Mar. 31, 2013

Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]

Schedule of Nonvested Restricted Stock Units Activity [Table Text Block]

A summary of the Company’s restricted stock as of March 31, 2013 is presented below:

	Number of shares			Weighted average grant  date fair value
Non-vested at December 31, 2012		314,667		$	5.20
Granted		-			-
Vested		(7,000	)		6.04
Forfeited		–			–
Non-vested at March 31, 2013		307,667		$	5.18

Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Table Text Block]

The Company has recorded the following amounts related to its share-based compensation expense in the accompanying Condensed Consolidated Statements of Operations and Comprehensive Loss:

	Three months ended March 31,
	2013		2012
Selling, general and administrative	$	359	$	25
Research and development		-		7
Total	$	359	$	32

Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]

The following table summarizes information about warrants outstanding at March 31, 2013:

	Number of shares		Weighted average    exercise price
Warrants outstanding at December 31, 2012		4,038,753	$	3.68
Issued		–		–
Exercised		–		–
Expired		–		–
Warrants outstanding at March 31, 2013		4,038,753	$	3.68

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Stock incentive plan and share-based compensation (Details 1) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Stock-based compensation expense	$ 359	$ 32
Selling, General and Administrative Expenses [Member]
Stock-based compensation expense	359	25
Research and Development Expense [Member]
Stock-based compensation expense	$ 0	$ 7

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Segment reporting (Tables)

3 Months Ended

Mar. 31, 2013

Segment Reporting [Abstract]

Schedule of Segment Reporting Information, by Segment [Table Text Block]

Segment information as of March 31, 2013, and December 31, 2012, are as follows:

	Medicsight
	Software / devices			Services		MGT Gaming			Unallocated corporate / other			Total
Three months ended March 31, 2013
Revenue from external customers	$	11		$	75	$	–		$	–		$	86
Cost of revenue		–			63		–						63
Gross profit		11			12		–						23
Operating profit/(loss)		(4	)		5		(121	)		(1,018	)		(1,138	)
Three months ended March 31, 2012
Revenue from external customers	$	193		$	20	$	–		$	–		$	213
Cost of revenue		36			–		–			–			36
Gross profit		157			20		–			–			177
Operating profit/(loss)		(484	)		13		–			(206	)		(677	)
March 31, 2013
Cash and cash equivalents (excluding $2,039 restricted cash)	$	276		$	–	$	4		$	2,398		$	2,678
Intangible assets		–			–		1,743			–			1,743
December 31, 2012
Cash and cash equivalents (excluding $2,039 restricted cash)	$	330		$	–	$	49		$	3,064		$	3,443
Intangible assets (restated)		–			–		1,795			–			1,795

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Organization

3 Months Ended

Mar. 31, 2013

Organization, Consolidation and Presentation Of Financial Statements [Abstract]

Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block]

 Note 1: Organization

MGT Capital Investments, Inc. (“MGT”, “the Company”, “the Group”, “we”, “us”) is a Delaware corporation, incorporated in 2000. The Company was originally incorporated in Utah in 1977. As of March 31, 2013, MGT is comprised of the parent company, majority-owned subsidiary MGT Gaming, Inc. (“MGT Gaming”) and wholly-owned subsidiary, Medicsight, Inc. (“Medicsight”). Our Corporate office is located in Harrison, New York.

MGT and its subsidiaries are engaged in the business of acquiring and monetizing intellectual property.

MGT Gaming owns U. S. Patent No. 7,892,088 (“the ‘088 Patent”) relating to casino gaming systems and seeks to enforce its proprietary rights against possible infringers. On November 2, 2012, MGT Gaming filed a lawsuit claiming patent infringement against multiple companies believed to be violating the ‘088 Patent entitled "Gaming Device Having a Second Separate Bonusing Event." The ‘088 Patent is directed to a gaming system in which a second game played on an interactive sign is triggered once specific events occur in a first game. The lawsuit, which was filed in the United States District Court for the Southern District of Mississippi (Jackson Division), alleges the defendants Caesars Entertainment (NASDAQ GS: CZR), MGM Resorts International, Inc. (NYSE: MGM), WMS Gaming, Inc. - a subsidiary of WMS Industries, Inc. (NYSE: WMS), Penn National Gaming, Inc. (NASDAQ GS: PENN), and Aruze Gaming America, Inc. either manufacture, sell or lease gaming systems in violation of MGT Gaming's patent rights, or operate casinos that offer gaming systems in violation of MGT Gaming's patent rights. An amended version of the complaint was later filed on December 17, 2012. The allegedly infringing products manufactured, distributed, used, sold and/or offered for sale by defendants include at least those identified under the trade names: "Pirate Battle," "Battleship," "Clue," "Monopoly, " "Rich Life, " "Amazon Fishing Competition, " "Massive Fishing Competition, " "Big Game Competition, " "Jackpot Battle Royal, " "Wizard of Oz Journey to Oz, " "The Great and Powerful Oz," and "Paradise Fishing." On January 3, 2013, WMS (joined by Caesars and MGM) moved to sever the litigation against each defendant into separate actions and to transfer the action against WMS to the Northern District of Illinois and to dismiss the case. Later that same month defendants Aruze Gaming America, Inc. and Penn National Gaming, Inc. filed motions to dismiss and motions to transfer venue to Nevada and Pennsylvania, respectively. Responsive and reply briefs have been filed and these motions are now fully briefed. As of May 17, 2013, the court has not made any decisions on these motions. In addition, on March 21, 2013, Aruze filed a separate action in Nevada seeking a declaratory judgment that it does not infringe the '088 Patent and/or that the '088 Patent is invalid or unenforceable. MGT Gaming's response to the action is due on June 11, 2013.

Medicsight is a medical technology company with patent ownership, as well as operations in imaging software and hardware devices, and consulting services. The company’s computer-aided detection software ColonCAD™ assists radiologists with detection of colorectal polyps, and has received regulatory approvals including CE Mark and U.S. Food and Drug Administration (“FDA”) clearance. The Company also has developed an automated CO₂ insufflation device that it commercializes through a global distributor. In addition, the company provides consulting and communication services.

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CONDENSED CONSOLIDATED BALANCE SHEETS [Parenthetical] (USD $)	Mar. 31, 2013	Dec. 31, 2012
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	75,000,000	75,000,000
Common stock, shares issued	3,522,935	3,251,187
Common stock, shares outstanding	3,522,935	3,251,187
Series A Convertible Preferred Stock [Member]
Preferred stock,par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	1,413,572	1,394,766
Preferred stock, shares issued	1,139,870	1,394,766
Preferred stock, shares outstanding	1,139,870	1,394,766
Undesignated Preferred Stock [Member]
Preferred stock,par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	8,586,428	8,605,234
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

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Segment reporting

3 Months Ended

Mar. 31, 2013

Segment Reporting [Abstract]

Segment Reporting Disclosure [Text Block]

Note 11: Segment reporting

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision-making group in deciding how to allocate resources and in assessing performance. Our chief operating decision-making group is composed of the chief executive officer, chief financial officer and members of senior management. We operate in three operational segments, Medicsight Software/Devices, Medicsight Services and MGT Gaming. Certain corporate expenses are not allocated to segments.

The accounting policies of the segments are the same as those described in the summary of significant accounting policies (Note 2). We evaluate performance of our operating segments based on revenue and operating (loss). Segment information as of March 31, 2013, and December 31, 2012, are as follows:

	Medicsight
	Software / devices			Services		MGT Gaming			Unallocated corporate / other			Total
Three months ended March 31, 2013
Revenue from external customers	$	11		$	75	$	–		$	–		$	86
Cost of revenue		–			63		–						63
Gross profit		11			12		–						23
Operating profit/(loss)		(4	)		5		(121	)		(1,018	)		(1,138	)
Three months ended March 31, 2012
Revenue from external customers	$	193		$	20	$	–		$	–		$	213
Cost of revenue		36			–		–			–			36
Gross profit		157			20		–			–			177
Operating profit/(loss)		(484	)		13		–			(206	)		(677	)
March 31, 2013
Cash and cash equivalents (excluding $2,039 restricted cash)	$	276		$	–	$	4		$	2,398		$	2,678
Intangible assets		–			–		1,743			–			1,743
December 31, 2012
Cash and cash equivalents (excluding $2,039 restricted cash)	$	330		$	–	$	49		$	3,064		$	3,443
Intangible assets (restated)		–			–		1,795			–			1,795

XML

DOCUMENT AND ENTITY INFORMATION	3 Months Ended
	Mar. 31, 2013	May 17, 2013
Entity Registrant Name	MGT CAPITAL INVESTMENTS INC
Entity Central Index Key	0001001601
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Trading Symbol	mgt
Entity Common Stock, Shares Outstanding		6,064,440
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2013
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2013

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Subsequent events

3 Months Ended

Mar. 31, 2013

Subsequent Events [Abstract]

Subsequent Events [Text Block]

Note 12: Subsequent events

On April 10, 2013, the Company entered into an Asset Purchase Agreement with Digital Angel Corporation pursuant to which the Company acquired Digital Angel’s mobile game application business assets, including the rights to two mobile game applications currently under development. The purchase price consists of a cash payment in the amount of $137 and 50,000 restricted shares of the Company’s common stock. The Company is currently evaluating the accounting treatment of the Asset Purchase Agreement. The Company does not believe that such acquisition constitutes a “Significant Acquisition” for accounting purposes.

As a result of conversions, the Company had 172,517 shares of Preferred Stock outstanding, as of April 16, 2013. With fewer than 345,012 shares of Preferred Stock outstanding, the Company is no longer subject to the Cash Maintenance provision of the Purchase Agreement under which the Preferred Stock was originally sold in October 2012.

On April 22, 2013, the Company entered into a Securities Purchase Agreement by and among the Company, MGT Sports, Inc., FanTD, LLC and certain members of FanTD, LLC. The Agreement provides for the Company’s purchase, through its wholly-owned subsidiary MGT Sports, Inc. of 63% of the outstanding membership interests of FanTD, LLC in exchange for an aggregate of $203 in cash and 600,000 shares of common stock. The Company is currently evaluating the accounting treatment of the Securities Purchase Agreement.

On April 26, 2013, the Company made an offer to the holders of the Company’s $3.85 Common Stock Purchase Warrants (the “Warrants”), which are held by a limited number of accredited investors providing if such investors exercised one Warrant, they would have the right to exchange up to two additional Warrants (for each Warrant exercised) for 5/8ths per share of Common Stock per Warrant exchanged. The results of the offer were that holders of 678,934 Warrants elected to exercise their Warrants during the five business day period. In addition, the allowed maximum of 1,357,868 Warrants was exchanged for 848,671 shares of the Company’s Common Stock, issuable upon NYSE MKT approval. Total proceeds received from the exercise of 678,934 Warrants was $2,614. Any charge to earnings as a result of the transaction will be charged as Other Expense in the quarterly financial statements for the period ending June 30, 2013.

In May 2013, 36,808 additional Warrants and 50,000 of the Company’s $3.00 Common Stock Purchase Warrants were exercised with total proceeds of $292 received by the Company

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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Revenues
Software and devices	$ 11	$ 193
Services - consulting	75	20
Revenues	86	213
Cost of revenues
Software and devices	0	36
Services - consulting	63	0
Cost of Revenue	63	36
Gross margin	23	177
Operating expenses
Selling, general and administrative	1,161	813
Research and development	0	41
Operating Expenses, Total	1,161	854
Operating loss	(1,138)	(677)
Other non-operating (expense) / income
Interest and other (expense) / income	24	(2)
Decrease in fair value of common stock warrants	2,122	0
Other Nonoperating Income (Expense)	2,146	(2)
Net income/(loss) before income taxes and non-controlling interest	1,008	(679)
Income tax (expense) / benefit	(3)	0
Net income/(loss) before non-controlling interest	1,005	(679)
Net income/(loss) attributable to non-controlling interest	56	209
Net profit/(loss) attributable to MGT	1,061	(470)
Less:
Contractual dividend on Preferred Series A Stock	(61)	0
Net income/(loss) applicable to Common shareholders	1,000	(470)
Per-share data:
Basic net income/(loss) per share (in dollars per share)	$ 0.33	$ (0.22)
Diluted net income/(loss) per share (in dollars per share)	$ 0.24	$ (0.22)
Weighted average number of common shares outstanding - Basic	3,075,802	2,108,388
Weighted average number of common shares outstanding - Dilutive	4,614,577	0
Net loss as reported	1,005	(679)
Other comprehensive loss:
Unrealized foreign exchange gains	0	73
Comprehensive loss	1,005	(606)
Comprehensive loss attributable to non-controlling interest	0	175
Comprehensive loss attributable to MGT	$ 1,005	$ (431)

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Intangible asset - intellectual property

3 Months Ended

Mar. 31, 2013

Goodwill and Intangible Assets Disclosure [Abstract]

Intangible Assets Disclosure [Text Block]

Note 6: Intangible asset - intellectual property

On May 11, 2012, the Company entered into a Contribution and Sale Agreement (the “Sale Agreement”) with J&S Gaming, Inc. (“J&S”), and MGT Gaming, Inc. (“MGT Gaming”) for the acquisition of U.S. Patent #7,892,088, entitled “Gaming Device Having a Second Separate Bonusing Event” (“The Patent”). The Patent acquired was recorded at its estimated fair value of $1,913 at the date of closing in exchange for $200 cash and a four (4) year warrant to purchase 350,000 shares of the Company’s Common stock at an exercise price of $4.00 per share, subject to certain anti-dilution provisions (the “Warrants”). Due to certain anti-dilution provisions, the Warrants are recorded as a liability, and consequently “marked-to-market” to the fair value at the end of each reporting period. On May 17, 2013, as disclosed in a Current Report on Form 8-K, the Company obtained Waiver Agreements from Warrant holders, and the affected Warrants will be treated as equity in the quarter ending June 30, 2013.

The intellectual property is subject to amortization and will be expensed using the straight-line method, over the nine year remaining life of the patent. Amortization expense on intangible assets for the three months ended March 31, 2013 and 2012, was $52 and $nil, respectively. Amortization expense is expected to be approximately $204 for each of the next five fiscal years.

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Cash, cash equivalents and restricted cash

3 Months Ended

Mar. 31, 2013

Cash and Cash Equivalents [Abstract]

Cash and Cash Equivalents Disclosure [Text Block]

Note 5: Cash, cash equivalents and restricted cash

MGT invests substantially all its cash in demand deposits and money market accounts with major U. S. banks. As of March 31, 2013, we held $4,717 of cash and cash equivalents, including Restricted cash.

Concentrations

As of March 31, 2013, our cash balance was $2,678. Of the total cash balance, $518 is covered by U.S. Federal Deposit Insurance Corporation, and $17 is uninsured in a foreign institution.

Restricted cash

Restricted cash totaled $2,039, representing $2,000 restricted under the Series A Convertible Preferred Stock Agreement (Note 7), plus $39 supporting a letter of credit for our Harrison, NY office lease.

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Operating leases, commitments and security deposit (Tables)

3 Months Ended

Mar. 31, 2013

Operating Leases Commitments and Security Deposit [Abstract]

Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block]

The following is a schedule of the future minimum payments required under operating leases and commitments that have initial or remaining non-cancellable terms in excess of one year:

Year ending
2013	$	46
2014		58
Total	$	104

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Summary of significant accounting policies (Policies)

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

Basis of Accounting, Policy [Policy Text Block]

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of MGT Capital Investments, Inc. (“MGT”, “the Company”, “the Group”, “we”, “us”) have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, have been included. Operating results for the three months ended March 31, 2013, are not necessarily indicative of the results that may be expected for any subsequent quarter or for the year ending December 31, 2013.

Consolidation, Policy [Policy Text Block]

Principles of consolidation

The condensed consolidated financial statements include the accounts of our Company plus our majority-owned subsidiary, MGT Gaming and wholly-owned subsidiary, Medicsight. All intercompany transactions and balances have been eliminated. Non-controlling interest represents the minority equity investment in any of the MGT subsidiaries, plus the minorities’ share of the net operating results and other components of equity relating to the non-controlling interest.

Use of Estimates, Policy [Policy Text Block]

Use of estimates

The preparation of the condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amount of assets and liabilities and disclosure of contingent liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Cash and Cash Equivalents, Policy [Policy Text Block]

Cash, cash equivalents and restricted cash

The Company considers investments with original maturities of three months or less to be cash equivalents. Restricted cash primarily represents cash not available for immediate and general use by the Company (Note 3).

Intangible Assets, Finite-Lived, Policy [Policy Text Block]

Intangible assets

Estimates of future cash flows and timing of events for evaluating long-lived assets for impairment are based upon management’s judgment. If any of our intangible or long-lived assets are considered to be impaired, the amount of impairment to be recognized is the excess of the carrying amount of the assets over its fair value. Applicable long-lived assets are amortized or depreciated over the shorter of their estimated useful lives, the estimated period that the assets will generate revenue, or the statutory or contractual term in the case of patents. Estimates of useful lives and periods of expected revenue generation are reviewed periodically for appropriateness and are based upon management’s judgment.

Hybrid Contracts [Policy Text Block]

Hybrid Contracts 

The Company accounts for hybrid contracts such as preferred shares that feature conversion options in accordance with applicable generally accepted accounting principles (“GAAP”). These accounting principles require companies to bifurcate conversion options from their host instruments and account for them as free standing derivative financial instruments according to certain criteria. The criteria includes circumstances in which (a) the economic characteristics and risks of the embedded derivative instrument are not clearly and closely related to the economic characteristics and risks of the host contract, (b) the hybrid instrument that embodies both the embedded derivative instrument and the host contract is not re-measured at fair value under otherwise applicable GAAP with changes in fair value reported in earnings as they occur and (c) a separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. 

Conversion options that contain variable settlement features such as provisions to adjust the conversion price upon subsequent issuances of equity or equity linked securities at exercise prices more favorable than that featured in the hybrid contract generally result in their bifurcation from the host instrument. In the event that the host instrument of a hybrid contract features certain rights of redemption that are not within the sole control of the Company but are also not certain to occur, the Company classifies such host instruments under the heading of temporary equity. Preferred shares issued in hybrid contact transactions that do not qualify for equity classification are initially recorded at the amount of funds allocated to the host instrument and are not subject to further adjustment unless and until the redemption event is probable.

The Company accounts for convertible instruments, when the Company has determined that the embedded conversion options should not be bifurcated from their host instruments, in accordance with applicable accounting guidance. The Company records, when necessary, discounts to convertible instruments (such as its preferred shares) for the intrinsic value of conversion options embedded in the instruments based upon the differences between the fair value of the underlying common stock at the commitment date of the transaction and the effective conversion price embedded in the hybrid contract. The Company accounts for convertible instruments (when the Company has determined that the embedded conversion options should be bifurcated from their host instruments) in accordance with applicable accounting guidance which provides that a portion of the proceeds received upon the issuance of the hybrid contract are allocated to the fair value of the derivative. The derivative is subsequently marked to market at each reporting date based on current fair value, with the changes in fair value reported in results of operations.

Derivatives, Policy [Policy Text Block]

Common stock purchase warrants and other derivative financial instruments

The Company classifies as equity any contracts that (i) require physical settlement or net-share settlement or (ii) provides a choice of net-cash settlement or settlement in the Company’s own shares (physical settlement or net-share settlement) providing that such contracts are indexed to the Company's own stock as defined by applicable accounting guidance. The Company classifies as assets or liabilities any contracts that (i) require net-cash settlement (including a requirement to net cash settle the contract if an event occurs and if that event is outside the Company’s control) or (ii) gives the counterparty a choice of net-cash settlement or settlement in shares (physical settlement or net-share settlement). The Company assesses classification of common stock purchase warrants and other free standing derivatives at each reporting date to determine whether a change in classification between assets and liabilities or equity is required.

 The Company’s free standing derivatives consist of warrants to purchase common stock that were issued to (a) the Series A Preferred stockholders in connection with the sale of Series A Convertible Preferred Stock (See Note 7) and (b) the sellers of J&S Gaming, Inc. (“J&S”). The warrants issued to the holders of the Series A Preferred Stock have fixed settlement provision but are conditionally redeemable upon certain types of change in control transactions that are not within the sole control of the Company. The warrants issued to the sellers of J&S have no cash redemption features but feature non-standard anti-dilution protection that cause them to not be indexed to the Company’s own stock. Accordingly, these instruments have been classified as derivative liabilities in the accompanying condensed consolidated balance sheets as of March 31, 2013, and December 31, 2012. Derivative liabilities are initially recorded at fair value and are then re-valued at each reporting date, with changes in fair value recognized in earnings during the reporting period.

Revenue Recognition, Policy [Policy Text Block]

Revenue recognition

The Company recognizes revenue when it is realized or realizable and earned. We consider revenue realized or realizable and earned when there is persuasive evidence of an arrangement and that the product has been shipped or the services have been provided to the customer, the sales price is fixed or determinable and collectability is probable. Our material revenue streams are related to the delivery of software license fees, maintenance services, hardware, and consulting services. We enter into revenue arrangements that may consist of multiple deliverables of software and services due to the needs of its customers. In addition to these general revenue recognition criteria, the following specific revenue recognition policies are followed:

Multiple-element arrangements — the Company enters into arrangements with visualization solution partners and original equipment manufacturers. For such arrangements, the Company recognizes revenue using the Multiple-Deliverable Revenue Arrangements. For our multiple-element arrangements, deliverables are separated into more than one unit of accounting when (i) the delivered element(s) have value to the customer on a stand-alone basis, and (ii) delivery of the undelivered element(s) is probable and substantially in our control. Revenue is then allocated to each unit of accounting based on the estimated selling price determined using a hierarchy of evidence based first on Vendor-Specific Objective Evidence (“VSOE”) if it exists, and finally, if VSOE do not exist, based on Best Estimate of Selling Price (“BESP”). Our arrangements generally do not include any provisions for cancellation, termination, or refunds that would impact recognized revenue.

We determine BESP for a deliverable in a multiple element arrangement by collecting all reasonably available data points including sales reports, cost and margin analysis of the product, and other inputs based on our normal pricing practices. We have experience selling software and/or maintenance services at a standard price and consider this to be BESP when contracting with customers. The determination of BESP is a formal process within our company that includes review and approval by our management. After determination of the estimated selling price of each deliverable in a multiple-element arrangement, the arrangement consideration is then allocated using the relative selling price method. Under the relative selling price method, the estimated selling price for each deliverable is compared to the sum of the estimated selling price for all deliverables. The percentage that is calculated for each deliverable is then multiplied by the total contractual value of the multiple-element arrangement to determine the revenue allocated to each deliverable.

The revenue allocated to each deliverable will then be recorded in accordance with existing revenue recognition guidance for stand-alone component sales and services.

· Software - License fee revenue is derived from the licensing of computer software. Maintenance revenue is derived from software maintenance. Our software licenses are generally sold as part of an arrangement that includes maintenance and support.

The Company generally offers terms that require payment 30 – 45 days from invoicing. Provided the Reseller: (i) assumes all risk of the purchase, (ii) has the ability and obligation to pay regardless of receiving payment from the end user, and (iii) all other revenue recognition criteria are met, license revenue from Resellers is recognized upon shipment of its product to vendors (“sell-in basis”).

Revenue from license fees is recognized when notification of shipment to the end user has occurred, there are no significant Company obligations with regard to implementation and the Company’s services are not considered essential to the functionality of other elements of the arrangement.

Maintenance — Revenue from maintenance and support arrangements is deferred and recognized ratably over the term of the maintenance and support arrangements.

· Hardware — Revenue is derived from the sale of our automated CO2 insufflation device. This product is an automated CO₂ insufflation device, and is generally sold as part of an arrangement that includes a one-year warranty. The risk of incurring warranty related expense is mitigated by the warranty contractually agreed with the supplier. The Company reviews the risk of warranty liabilities on a regular basis, and makes any and all appropriate provisions accordingly. At the present time, the Company feels that the warranty liability is insignificant and has therefore not made any provision. The device is sold exclusively through our distribution partner Ultrasound Technologies, Ltd. and the Company receives a royalty on each unit sold. Revenue is recognized as orders are satisfied and delivered by our supplier.

· Services-consulting — Consulting revenue is earned over the period in which the Company provides the related services. The Company recognizes consulting revenue as it meets the terms of the underlying contract on the terms of the agreement.

Compensation Related Costs, Policy [Policy Text Block]

Equity-based compensation

The Company recognizes compensation expense for all equity-based payments. Under fair value recognition provisions, the Company recognizes equity-based compensation net of an estimated forfeiture rate and recognizes compensation cost only for those shares expected to vest over the requisite service period of the award.

Restricted stock awards are granted at the discretion of the Company. These awards are restricted as to the transfer of ownership and generally vest over the requisite service periods, typically over an eighteen month period (vesting on a straight-line basis). The fair value of a stock award is equal to the fair market value of a share of Company stock on the grant date

The fair value of option awards are estimated on the date of grant using the Black-Scholes option valuation model. The Black-Scholes option valuation model requires the development of assumptions that are input into the model. These assumptions are the expected stock volatility, the risk-free interest rate, the option’s expected life and the dividend yield on the underlying stock. Expected volatility is calculated based on the historical volatility of our Common stock over the expected option life and other appropriate factors. Risk-free interest rates are calculated based on continuously compounded risk-free rates for the appropriate term. The dividend yield is assumed to be zero as the Company has never paid or declared any cash dividends on our Common stock and does not intend to pay dividends on our Common stock in the foreseeable future. The expected forfeiture rate is estimated based on historical experience.

Determining the appropriate fair value model and calculating the fair value of equity-based payment awards requires the input of the subjective assumptions described above. The assumptions used in calculating the fair value of equity-based payment awards represent management’s best estimates, which involve inherent uncertainties and the application of management’s judgment. As a result, if factors change and the Company uses different assumptions, our equity-based compensation expense could be materially different in the future. In addition, the Company is required to estimate the expected forfeiture rate and recognize expense only for those shares expected to vest. If our actual forfeiture rate is materially different from our estimate, the equity-based compensation expense could be significantly different from what the Company has recorded in the current period.

The Company accounts for share-based payments granted to non-employees in accordance with ASC Topic 505, “Equity Based Payments to Non-Employees.” The Company determines the fair value of the stock-based payment as either the fair value of the consideration received or the fair value of the equity instruments issued, whichever is more reliably measurable.  If the fair value of the equity instruments issued is used, it is measured using the stock price and other measurement assumptions as of the earlier of either (1) the date at which a commitment for performance by the counterparty to earn the equity instruments is reached, or (2) the date at which the counterparty’s performance is complete.

Income Tax, Policy [Policy Text Block]

Income taxes

The Company applies the elements of ASC 740-10 “Income Taxes — Overall” regarding accounting for uncertainty in income taxes.  This clarifies the accounting for uncertainty in income taxes recognized in financial statements and requires the impact of a tax position to be recognized in the financial statements if that position is more likely than not of being sustained by the taxing authority.  As of March 31, 2013 and December 31, 2012, the Company did not have any unrecognized tax benefits.  The Company does not expect that the amount of unrecognized tax benefits will significantly increase or decrease within the next twelve months.  The Company’s policy is to recognize interest and penalties related to tax matters in the income tax provision in the Consolidated Statements of Operations.  There was no interest and penalties for the three months ended March 31, 2013, and 2012.  Tax years beginning in 2009 are generally subject to examination by taxing authorities, although net operating losses from all years are subject to examinations and adjustments for at least three years following the year in which the attributes are used.

 Deferred taxes are computed based on the tax liability or benefit in future years of the reversal of temporary differences in the recognition of income or deduction of expenses between financial and tax reporting purposes.  The net difference, if any, between the provision for taxes and taxes currently payable is reflected in the balance sheet as deferred taxes.  Deferred tax assets and/or liabilities, if any, are classified as current and non-current based on the classification of the related asset or liability for financial reporting purposes, or based on the expected reversal date for deferred taxes that are not related to an asset or liability.  Valuation allowances are recorded to reduce deferred tax assets to that amount which is more likely than not to be realized.

Comprehensive Income, Policy [Policy Text Block]

Comprehensive income / (loss)

Comprehensive income / (loss) includes net income / (loss) and items defined as other comprehensive income / (loss). Items defined as other comprehensive income / (loss), include foreign currency translation adjustments and are separately classified in the condensed consolidated financial statements. Such items are reported in the Condensed Consolidated Statement of Operations and Comprehensive Loss.

Earnings Per Share, Policy [Policy Text Block]

Income/ (loss) per share

Basic net loss per common share is computed by dividing net loss attributable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted net earnings (loss) per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents.

The computation of diluted loss per share for the three months ended March 31, 2013, includes 1,139,870 Common Shares in connection with the Series A Convertible Preferred Stock, 4,038,753 warrants and 307,667 unvested restricted shares, as they are dilutive due to the Company’s net income. For the three months ended March 31, 2012, six (6) stock options are excluded because they are anti-dilutive due to the Company’s net loss.

Segment Reporting, Policy [Policy Text Block]

Segment reporting

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision-making group in deciding how to allocate resources and in assessing performance. Our chief operating decision-making group is composed of our chief executive officer and chief financial officer. We operate in three operational segments, Medicsight Software/Devices, Medicsight Services and MGT Gaming. Certain corporate expenses are not allocated to segments.

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Stock incentive plan and share-based compensation

3 Months Ended

Mar. 31, 2013

Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract]

Disclosure of Compensation Related Costs, Share-based Payments [Text Block]

Note 9: Stock incentive plan and share-based compensation

Stock incentive plan

The Company’s board of directors established the 2012 Stock Incentive Plan (the “Plan”) on April 15, 2012, and the Company’s shareholders ratified the Plan at the annual meeting of the Company’s stockholders on May 30, 2012. The Company has 415,000 shares of Common Stock that are reserved to grant Options, Stock Awards and Performance Shares (collectively the “Awards”) to “Participants” under the Plan. The Plan is administered by the board of directors or the Compensation and Nomination Committee of the board of directors, which determines the individuals to whom awards shall be granted as well as the type, terms and conditions of each award, the option price and the duration of each award.

Options granted under the Plan vest as determined by the Company’s Compensation and Nominations Committee and expire over varying terms, but not more than seven (7) years from date of grant. In the case of an Incentive Stock Option that is granted to a 10% shareholder on the date of grant, such Option shall not be exercisable after the expiration of five (5) years from the date of grant. No option grants were issued during the three months ended March 31, 2013, and March 31, 2012, respectively.

Issuance of restricted shares

At the June 25, 2012 board meeting, the members of the Compensation and Nominations Committee approved the grant of 232,000 restricted shares of MGT Common Stock under the Plan, with each current independent director of the board receiving 21,000 restricted shares and 190,000 shares awarded to officers and certain employees. These shares were subsequently issued on August 9, 2012. On August 20, 2012, 6,000 restricted shares were granted and issued to a certain employee. On November 19, 2012, 30,000 restricted shares were granted to the independent directors and 114,000 restricted shares were granted to officers and certain employees. These shares were subsequently issued on December 18, 2012. On October 29, 2012, 10,000 restricted shares were granted to a certain employee and subsequently issued on December 26, 2012.

Restricted shares vest one-third each six months from date of issue, except for a December 26, 2012, issuance, which vests three and eight months from issuance date requiring milestone conditions which have been met as of March 31, 2013. The unvested shares are subject to forfeiture if the applicable recipient is not a director, officer and/or employee of the Company at the time the restricted shares are to vest. The restricted shares are valued using the closing market price on date of grant, of which the share-based compensation expense will be recognized over their vesting period. For the three months ended March 31, 2013, and 2012, stock based compensation to employees and directors was $359 and $32, respectively.

A summary of the Company’s restricted stock as of March 31, 2013 is presented below:

	Number of shares			Weighted average grant  date fair value
Non-vested at December 31, 2012		314,667		$	5.20
Granted		-			-
Vested		(7,000	)		6.04
Forfeited		–			–
Non-vested at March 31, 2013		307,667		$	5.18

Unrecognized compensation cost

As of March 31, 2013, and 2012, unrecognized compensation costs related to non-vested share-based compensation arrangements was $1,178 and $nil, respectively. That cost is expected to be recognized over a weighted average period of 0.92 years.

The Company has recorded the following amounts related to its share-based compensation expense in the accompanying Condensed Consolidated Statements of Operations and Comprehensive Loss:

	Three months ended March 31,
	2013		2012
Selling, general and administrative	$	359	$	25
Research and development		-		7
Total	$	359	$	32

Of the stock-based expense for the three months ended March 31, 2013, and 2012, $nil and $15, respectively, was allocated to non-controlling interest.

 Warrants

The following table summarizes information about warrants outstanding at March 31, 2013:

	Number of shares		Weighted average exercise price
Warrants outstanding at December 31, 2012		4,038,753	$	3.68
Issued		–		–
Exercised		–		–
Expired		–		–
Warrants outstanding at March 31, 2013		4,038,753	$	3.68

For the three months ended March 31, 2013, all issued warrants are exercisable and expire through 2017. There were no warrants issued for the three months ended March 31, 2012. As described in Note 12, the Company made an offer to the holders of the $3.85 Common Stock Purchase Warrants to exercise and exchange such warrants.

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Series A Convertible Preferred Stock

3 Months Ended

Mar. 31, 2013

Equity [Abstract]

Preferred Stock [Text Block]

Note 7: Series A Convertible Preferred Stock

On November 2, 2012, the Company closed a private placement sale of 1,380,362 shares of Series A Convertible Preferred Stock (“Preferred Stock”), (including 2,760,724 Warrants to purchase MGT Common stock) for an aggregate of $4.5 million. This transaction was approved by the NYSE MKT on October 26, 2012. The Preferred Stock is convertible into the Company's Common stock at a fixed price of $3.26 per share and carries a 6% dividend. The Warrants have a five-year life and are exercisable at $3.85 per share. The Preferred Stock certificate of designation and Warrant agreement each contain a fundamental transactions clause that provides for the conditional redemption of these instruments under certain circumstances that are not within the Company’s sole control. Management has therefore concluded that the preferred stock requires temporary equity classification at its allocated values and the warrants require classification at fair value. The carrying amount of the preferred shares requires no further adjustment unless and until the conditional redemption events are probable. The Company does not consider the conditional redemption events to be probable, as these events refer to fundamental change of control situations that do not currently exist, in the opinion of management. Accordingly, management concluded that the conversion option embedded in the preferred shares does not require bifurcation from the preferred shares as the host contract, as the preferred shares have the characteristics of a residual interest and therefore clearly and closely related to the common shares issuable upon the exercise of the conversion option. Changes in the fair value of the Warrants at each reporting date are included in the statement of operations. Total issuance cost for this private placement amounted to $88 as was treated as a reduction of the proceeds received. Further, the issuance date fair value of the warrants exceeded the proceeds received from the sale and issuance of the Preferred Stock. Accordingly, accounting recognition of the beneficial conversion feature was not required.

In November 2012, in connection with the sale of the Preferred Stock, the Company entered into investor/public relations service agreements, with terms of seven, ten and twelve months. Compensation under the agreements includes cash consideration of $444, the issuance of 100,000 shares of Preferred Stock and 400,000 warrants to purchase MGT Common Stock. Issuance of Preferred Stock and warrants to service providers as compensation for services are subject to shareholder approval. No shares were approved or issued as of March 31, 2013. Under the terms of the agreements, there are no penalties or liabilities to the Company if approval is not received. For the three months ended March 31, 2013, and 2012, the Company expensed $100 and $nil, respectively, relating to the cash consideration under the agreements. One agreement was mutually terminated in January 2013, reducing the remaining cash consideration due by $108. In addition, on May 3, 2013, the agreement was further adjusted to replace and reduce the remaining cash consideration due by an additional $6 and replacing the issuance of 100,000 shares of Preferred Stock and 200,000 warrants to purchase MGT Common Stock with the issuance of 50,000 Restricted Common Stock, subject to shareholder approval. 

During the three months ended March 31, 2013, 273,702 shares of Preferred Stock were converted into 273,702 shares of MGT Common Stock. As of March 31, 2013, 1,139,870 shares of the Preferred Stock remains outstanding, which includes 18,806 Dividend Shares of Preferred Stock issued on March 31, 2013. The Company shall maintain a cash balance of at least $2,000 as long as at least 345,092 shares of Preferred Stock remain outstanding.

In April 2013, 1,123,809 shares of the Preferred Stock were converted into 1,125,763 shares of the Company’s Common stock, which included accrued interest on the Preferred Stock.

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Fair value of financial instruments

3 Months Ended

Mar. 31, 2013

Fair Value Disclosures [Abstract]

Fair Value Disclosures [Text Block]

Note 8: Fair value of financial instruments

The Company follows paragraph 825-10-50-10 of the FASB Accounting Standards Codification for disclosures about fair value of its financial instruments and paragraph 820-10-35-37 of the FASB Accounting Standards Codification (“Paragraph 820-10-35-37”) to measure the fair value of its financial instruments. Paragraph 820-10-35-37 establishes a framework for measuring fair value in accounting principles generally accepted in the United States of America (U.S. GAAP), and expands disclosures about fair value measurements.  To increase consistency and comparability in fair value measurements and related disclosures, Paragraph 820-10-35-37 establishes a fair value hierarchy which prioritizes the inputs to valuation techniques used to measure fair value into three (3) broad levels.  The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs.  The three (3) levels of fair value hierarchy defined by Paragraph 820-10-35-37 are described below:

Level 1	Quoted market prices available in active markets for identical assets or liabilities as of the reporting date.
Level 2	Pricing inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date.
Level 3	Pricing inputs that are generally observable inputs and not corroborated by market data.

Financial assets are considered Level 3 when their fair values are determined using pricing models, discounted cash flow methodologies or similar techniques and at least one significant model assumption or input is unobservable.

The fair value hierarchy gives the highest priority to quoted prices (unadjusted) in active markets for identical assets or liabilities and the lowest priority to unobservable inputs.  If the inputs used to measure the financial assets and liabilities fall within more than one level described above, the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument.

The carrying amount of the Company’s financial assets and liabilities, such as cash, accounts receivable, prepaid expenses, accounts payable and accrued expenses, accrued dividends and unearned convention revenue approximate their fair value because of the short maturity of those instruments.  The Company’s convertible preferred stock and warrants approximate the fair value of such instruments based upon management’s best estimate of interest rates that would be available to the Company for similar financial arrangements at March 31, 2013 and December 31, 2012.

The Company uses Level 3 of the fair value hierarchy to measure the fair value of the derivative liabilities and revalues its derivative warrant liability at every reporting period and recognizes gains or losses in the consolidated statements of operations and comprehensive income (loss) that are attributable to the change in the fair value of the derivative warrant liability.

Transactions involving related parties cannot be presumed to be carried out on an arm's-length basis, as the requisite conditions of competitive, free-market dealings may not exist. Representations about transactions with related parties, if made, shall not imply that the related party transactions were consummated on terms equivalent to those that prevail in arm's-length transactions unless such representations can be substantiated.

It is not, however, practical to determine the fair value of advances from significant stockholder, if any, due to their related party nature.

Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis

Level 3 Financial Liabilities – Derivative conversion features and warrant liabilities

Financial assets and liabilities measured at fair value on a recurring basis are summarized below and disclosed on the consolidated balance sheets as of March 31, 2013:

	Fair value measurement using
	Carrying value		Level 1		Level 2		Level 3		Total
Derivative warrant - liability	$	5,044	$	-	$	-	$	5,044	$	5,044

Financial assets and liabilities measured at fair value on a recurring basis are summarized below and disclosed on the consolidated balance sheets as of December 31, 2012:

	Fair value measurement using
	Carrying value		Level 1		Level 2		Level 3		Total
Derivative warrant - liability	$	7,166	$	-	$	-	$	7,166	$	7,166

The table below provides a summary of the changes in fair value, including net transfers in and/or out, of all financial assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three months ended March 31, 2013:

	Fair Value Measurement Using Level 3 Inputs
	Derivatives			Total
Balance, December 31, 2012	$	7,166		$	7,166
Total (gains) or losses (realized/unrealized) included in consolidated statements of operations		(2,122	)		(2,122	)
Purchases, issuances and settlements		-			-
Transfers in and/or out of Level 3		-			-
Balance, March 31, 2013	$	5,044		$	5,044

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Operating leases, commitments and security deposit

3 Months Ended

Mar. 31, 2013

Operating Leases Commitments and Security Deposit [Abstract]

Operating leases, commitments and security deposit [Text Block]

Note 10: Operating leases, commitments and security deposit

Operating leases

In September 2011, the Company entered into a 39-month lease agreement for office space located in Harrison, New York, terminating on November 30, 2014. Under the agreement our total rental payments over the lease period are $240, inclusive of three months of free rent and exclusive of a refundable rental deposit of $39, held in a restricted cash account.

The following is a schedule of the future minimum payments required under operating leases and commitments that have initial or remaining non-cancellable terms in excess of one year:

Year ending
2013	$	46
2014		58
Total	$	104

The total lease rental expense was $17 and $36 for the three months ended March 31, 2013, and 2012, respectively.

Commitments

On May 11, 2012, MGT Gaming entered into a one-year consulting agreement with the president of J&S for service to MGT Gaming, for a fee of $5 per month. The agreement can be cancelled with 60 days prior written notice.

On October 26, 2012, the Company entered into a one-year financial advisory and consulting agreement with a national investment-banking firm. Compensation under the agreement includes cash consideration of $250 and 120,000 shares of restricted Common stock. Issuances of restricted Common stock to service providers as compensation for services are subject to shareholder approval. No shares were approved or issued as of March 31, 2013. Under the terms of the agreement, there are no penalties or liabilities to the Company if approval is not received. For the three months ended March 31, 2013, and 2012, the Company expensed $62 and $nil, respectively.

In November 2012, in connection with the sale of the Preferred Stock, the Company was required to enter into investor/public relations service agreements. Refer to Note 5 for terms of the service agreements. For the three months ended March 31, 2013, and 2012, the Company expensed $100 and $nil, respectively

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Fair value of financial instruments (Details 1) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Balance, December 31, 2012	$ 7,166
Total (gains) or losses (realized/unrealized) included in consolidated statements of operations	(2,122)	0
Purchases, issuances and settlements	0
Transfers in and/or out of Level 3	0
Balance, March 31, 2013	5,044
Fair Value, Inputs, Level 3 [Member]
Balance, December 31, 2012	7,166
Total (gains) or losses (realized/unrealized) included in consolidated statements of operations	(2,122)
Purchases, issuances and settlements	0
Transfers in and/or out of Level 3	0
Balance, March 31, 2013	$ 5,044

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Fair value of financial instruments (Tables)

3 Months Ended

Mar. 31, 2013

Fair Value Disclosures [Abstract]

Fair Value, Liabilities Measured on Recurring Basis [Table Text Block]

Financial assets and liabilities measured at fair value on a recurring basis are summarized below and disclosed on the consolidated balance sheets as of March 31, 2013:

	Fair value measurement using
	Carrying value		Level 1		Level 2		Level 3		Total
Derivative warrant - liability	$	5,044	$	-	$	-	$	5,044	$	5,044

Financial assets and liabilities measured at fair value on a recurring basis are summarized below and disclosed on the consolidated balance sheets as of December 31, 2012:

	Fair value measurement using
	Carrying value		Level 1		Level 2		Level 3		Total
Derivative warrant - liability	$	7,166	$	-	$	-	$	7,166	$	7,166

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]

The table below provides a summary of the changes in fair value, including net transfers in and/or out, of all financial assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3) during the three months ended March 31, 2013:

	Fair Value Measurement Using Level 3 Inputs
	Derivatives			Total
Balance, December 31, 2012	$	7,166		$	7,166
Total (gains) or losses (realized/unrealized) included in consolidated statements of operations		(2,122	)		(2,122	)
Purchases, issuances and settlements		-			-
Transfers in and/or out of Level 3		-			-
Balance, March 31, 2013	$	5,044		$	5,044

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Restatement of previously issued financial statement (Details 1) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended																								3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013 Redeemable Series Convertible Preferred Stock [Member]	Dec. 31, 2012 Redeemable Series Convertible Preferred Stock [Member]	Mar. 31, 2013 Common Stock [Member]	Dec. 31, 2012 Common Stock [Member]	Mar. 31, 2013 Additional Paid-In Capital [Member]	Dec. 31, 2012 Additional Paid-In Capital [Member]	Mar. 31, 2013 Accumulated Other Comprehensive Income (Loss) [Member]	Dec. 31, 2012 Accumulated Other Comprehensive Income (Loss) [Member]	Mar. 31, 2013 Retained Earnings [Member]	Dec. 31, 2012 Retained Earnings [Member]	Mar. 31, 2013 Parent [Member]	Dec. 31, 2012 Parent [Member]	Mar. 31, 2013 Noncontrolling Interest [Member]	Dec. 31, 2012 Noncontrolling Interest [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member] Redeemable Series Convertible Preferred Stock [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member] Common Stock [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member] Additional Paid-In Capital [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member] Accumulated Other Comprehensive Income (Loss) [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member] Retained Earnings [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member] Parent [Member]	Dec. 31, 2012 Scenario, Previously Reported [Member] Noncontrolling Interest [Member]	Mar. 31, 2013 Restatement Adjustment [Member]	Mar. 31, 2013 Restatement Adjustment [Member] Redeemable Series Convertible Preferred Stock [Member]	Mar. 31, 2013 Restatement Adjustment [Member] Additional Paid-In Capital [Member]	Mar. 31, 2013 Restatement Adjustment [Member] Retained Earnings [Member]	Mar. 31, 2013 Restatement Adjustment [Member] Parent [Member]	Mar. 31, 2013 Restatement Adjustment [Member] Noncontrolling Interest [Member]
Balance	$ (143)		$ 108	$ 47	$ 4	$ 3	$ 283,296	$ 282,998	$ (281)	$ (281)	$ (282,570)	$ (283,631)	$ 449	$ (911)	$ 712	$ 768	$ 7,055	$ 1	$ 3	$ 295,050	$ (281)	$ (288,447)	$ 6,326	$ 729	$ (7,198)
Balance (in shares)			1,140	1,395	3,523	3,251												1,395	3,251
Reversal of Warrants issued in connection with acquisition of intangible assets																									(808)		(808)		(808)
Reversal of non-controlling share of MGT Gaming, Inc.																									42				0	42
Restatement of Intangible Amortization Expense and Derivative Gain/Loss Expense																									56			59	59	(3)
Reversal of issuance of Preferred stock & warrants, net of issuance costs of $87	87																								(4,499)	(1)	(4,411)	(87)	(4,499)
Reversal of issuance of Preferred stock & warrants, net of issuance costs of $87 (in shares)																										(1,380)
Preferred Stock Dividend - accretion of warrants																									0		(2,478)	2,478	0
Reversal of deemed dividend of beneficial conversion feature of Preferred Convertible Series A stock to common stock																									0		(2,021)	2,021	0
Reversal of quarterly dividend on Preferred stock	61	0																							0		(56)	56	0
Reversal of quarterly dividend on Preferred stock (in shares)																										(15)
Warrant - Deemed Dividend (in excess of proceeds received)																									(2,231)		(2,231)		(2,231)
Revaluation of Warrant Derivative																									365			365	365
Preferred Stock Dividend																									(47)		(47)		(47)
Adjustment to accrued expenses																									(76)			(76)	(76)
Balance	$ 1,161		$ 108	$ 47	$ 4	$ 3	$ 283,296	$ 282,998	$ (281)	$ (281)	$ (282,570)	$ (283,631)	$ 449	$ (911)	$ 712	$ 768	$ 7,055	$ 1	$ 3	$ 295,050	$ (281)	$ (288,447)	$ 6,326	$ 729
Balance (in shares)			1,140	1,395	3,523	3,251												1,395	3,251

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Segment reporting (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2012	Dec. 31, 2011
Revenue from external customers	$ 86	$ 213
Cost of revenue	63	36
Gross profit	23	177
Operating profit/(loss)	(1,138)	(677)
Cash and cash equivalents (excluding $2,039 restricted cash)	2,678	3,342	3,443	3,704
Intangible assets (restated)	1,743		1,795
Medicsights [Member] | Software and Devices [Member]
Revenue from external customers	11	193
Cost of revenue	0	36
Gross profit	11	157
Operating profit/(loss)	(4)	(484)
Cash and cash equivalents (excluding $2,039 restricted cash)	276		330
Intangible assets (restated)	0		0
Medicsights [Member] | Service [Member]
Revenue from external customers	75	20
Cost of revenue	63	0
Gross profit	12	20
Operating profit/(loss)	5	13
Cash and cash equivalents (excluding $2,039 restricted cash)	0		0
Intangible assets (restated)	0		0
Mgt Gaming [Member]
Revenue from external customers	0	0
Cost of revenue	0	0
Gross profit	0	0
Operating profit/(loss)	(121)	0
Cash and cash equivalents (excluding $2,039 restricted cash)	4		49
Intangible assets (restated)	1,743		1,795
Unallocated Corporate Other [Member]
Revenue from external customers	0	0
Cost of revenue		0
Gross profit		0
Operating profit/(loss)	(1,018)	(206)
Cash and cash equivalents (excluding $2,039 restricted cash)	2,398		3,064
Intangible assets (restated)	$ 0		$ 0

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CONDENSED CONSOLIDATED STATEMENT OF REDEEMABLE PREFERRED STOCK AND STOCKHOLDERS' (DEFICIT)/EQUITY (USD $) In Thousands, except Share data	Redeemable Series A Convertible Preferred Stock [Member]	Common Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Retained Earnings [Member]	Parent [Member]	Noncontrolling Interest [Member]	Total
Balance at Dec. 31, 2012	$ 47	$ 3	$ 282,998	$ (281)	$ (283,631)	$ (911)	$ 768	$ (143)
Balance (in shares) at Dec. 31, 2012	1,395	3,251
Quarterly dividend on Preferred Stock	61		(61)			(61)		(61)
Quarterly dividend on Preferred Stock (in shares)	18
Conversion of Preferred Series A to Common Stock		1				1		1
Conversion of Preferred Series A to Common Stock (in shares)	(273)	272
Stock-based compensation			359			359		359
Net income for the period					1,061	1,061	(56)	1,005
Balance at Mar. 31, 2013	$ 108	$ 4	$ 283,296	$ (281)	$ (282,570)	$ 449	$ 712	$ 1,161
Balance (in shares) at Mar. 31, 2013	1,140	3,523

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Summary of significant accounting policies

3 Months Ended

Mar. 31, 2013

Accounting Policies [Abstract]

Significant Accounting Policies [Text Block]

Note 4: Summary of significant accounting policies

Basis of Presentation

The accompanying unaudited condensed consolidated financial statements of MGT Capital Investments, Inc. (“MGT”, “the Company”, “the Group”, “we”, “us”) have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and notes required by accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, have been included. Operating results for the three months ended March 31, 2013, are not necessarily indicative of the results that may be expected for any subsequent quarter or for the year ending December 31, 2013. 

Principles of consolidation

The condensed consolidated financial statements include the accounts of our Company plus our majority-owned subsidiary, MGT Gaming and wholly-owned subsidiary, Medicsight. All intercompany transactions and balances have been eliminated. Non-controlling interest represents the minority equity investment in any of the MGT subsidiaries, plus the minorities’ share of the net operating results and other components of equity relating to the non-controlling interest.

Use of estimates

The preparation of the condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the amount of assets and liabilities and disclosure of contingent liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.

Cash, cash equivalents and restricted cash

The Company considers investments with original maturities of three months or less to be cash equivalents. Restricted cash primarily represents cash not available for immediate and general use by the Company (Note 3).

Intangible assets

Estimates of future cash flows and timing of events for evaluating long-lived assets for impairment are based upon management’s judgment. If any of our intangible or long-lived assets are considered to be impaired, the amount of impairment to be recognized is the excess of the carrying amount of the assets over its fair value. Applicable long-lived assets are amortized or depreciated over the shorter of their estimated useful lives, the estimated period that the assets will generate revenue, or the statutory or contractual term in the case of patents. Estimates of useful lives and periods of expected revenue generation are reviewed periodically for appropriateness and are based upon management’s judgment.

Hybrid Contracts 

The Company accounts for hybrid contracts such as preferred shares that feature conversion options in accordance with applicable generally accepted accounting principles (“GAAP”). These accounting principles require companies to bifurcate conversion options from their host instruments and account for them as free standing derivative financial instruments according to certain criteria. The criteria includes circumstances in which (a) the economic characteristics and risks of the embedded derivative instrument are not clearly and closely related to the economic characteristics and risks of the host contract, (b) the hybrid instrument that embodies both the embedded derivative instrument and the host contract is not re-measured at fair value under otherwise applicable GAAP with changes in fair value reported in earnings as they occur and (c) a separate instrument with the same terms as the embedded derivative instrument would be considered a derivative instrument. 

Conversion options that contain variable settlement features such as provisions to adjust the conversion price upon subsequent issuances of equity or equity linked securities at exercise prices more favorable than that featured in the hybrid contract generally result in their bifurcation from the host instrument. In the event that the host instrument of a hybrid contract features certain rights of redemption that are not within the sole control of the Company but are also not certain to occur, the Company classifies such host instruments under the heading of temporary equity. Preferred shares issued in hybrid contact transactions that do not qualify for equity classification are initially recorded at the amount of funds allocated to the host instrument and are not subject to further adjustment unless and until the redemption event is probable.

The Company accounts for convertible instruments, when the Company has determined that the embedded conversion options should not be bifurcated from their host instruments, in accordance with applicable accounting guidance. The Company records, when necessary, discounts to convertible instruments (such as its preferred shares) for the intrinsic value of conversion options embedded in the instruments based upon the differences between the fair value of the underlying common stock at the commitment date of the transaction and the effective conversion price embedded in the hybrid contract. The Company accounts for convertible instruments (when the Company has determined that the embedded conversion options should be bifurcated from their host instruments) in accordance with applicable accounting guidance which provides that a portion of the proceeds received upon the issuance of the hybrid contract are allocated to the fair value of the derivative. The derivative is subsequently marked to market at each reporting date based on current fair value, with the changes in fair value reported in results of operations.

 Common stock purchase warrants and other derivative financial instruments

The Company classifies as equity any contracts that (i) require physical settlement or net-share settlement or (ii) provides a choice of net-cash settlement or settlement in the Company’s own shares (physical settlement or net-share settlement) providing that such contracts are indexed to the Company's own stock as defined by applicable accounting guidance. The Company classifies as assets or liabilities any contracts that (i) require net-cash settlement (including a requirement to net cash settle the contract if an event occurs and if that event is outside the Company’s control) or (ii) gives the counterparty a choice of net-cash settlement or settlement in shares (physical settlement or net-share settlement). The Company assesses classification of common stock purchase warrants and other free standing derivatives at each reporting date to determine whether a change in classification between assets and liabilities or equity is required.

 The Company’s free standing derivatives consist of warrants to purchase common stock that were issued to (a) the Series A Preferred stockholders in connection with the sale of Series A Convertible Preferred Stock (See Note 7) and (b) the sellers of J&S Gaming, Inc. (“J&S”). The warrants issued to the holders of the Series A Preferred Stock have fixed settlement provision but are conditionally redeemable upon certain types of change in control transactions that are not within the sole control of the Company. The warrants issued to the sellers of J&S have no cash redemption features but feature non-standard anti-dilution protection that cause them to not be indexed to the Company’s own stock. Accordingly, these instruments have been classified as derivative liabilities in the accompanying condensed consolidated balance sheets as of March 31, 2013, and December 31, 2012. Derivative liabilities are initially recorded at fair value and are then re-valued at each reporting date, with changes in fair value recognized in earnings during the reporting period.

Revenue recognition

The Company recognizes revenue when it is realized or realizable and earned. We consider revenue realized or realizable and earned when there is persuasive evidence of an arrangement and that the product has been shipped or the services have been provided to the customer, the sales price is fixed or determinable and collectability is probable. Our material revenue streams are related to the delivery of software license fees, maintenance services, hardware, and consulting services. We enter into revenue arrangements that may consist of multiple deliverables of software and services due to the needs of its customers. In addition to these general revenue recognition criteria, the following specific revenue recognition policies are followed:

Multiple-element arrangements — the Company enters into arrangements with visualization solution partners and original equipment manufacturers. For such arrangements, the Company recognizes revenue using the Multiple-Deliverable Revenue Arrangements. For our multiple-element arrangements, deliverables are separated into more than one unit of accounting when (i) the delivered element(s) have value to the customer on a stand-alone basis, and (ii) delivery of the undelivered element(s) is probable and substantially in our control. Revenue is then allocated to each unit of accounting based on the estimated selling price determined using a hierarchy of evidence based first on Vendor-Specific Objective Evidence (“VSOE”) if it exists, and finally, if VSOE do not exist, based on Best Estimate of Selling Price (“BESP”). Our arrangements generally do not include any provisions for cancellation, termination, or refunds that would impact recognized revenue.

We determine BESP for a deliverable in a multiple element arrangement by collecting all reasonably available data points including sales reports, cost and margin analysis of the product, and other inputs based on our normal pricing practices. We have experience selling software and/or maintenance services at a standard price and consider this to be BESP when contracting with customers. The determination of BESP is a formal process within our company that includes review and approval by our management. After determination of the estimated selling price of each deliverable in a multiple-element arrangement, the arrangement consideration is then allocated using the relative selling price method. Under the relative selling price method, the estimated selling price for each deliverable is compared to the sum of the estimated selling price for all deliverables. The percentage that is calculated for each deliverable is then multiplied by the total contractual value of the multiple-element arrangement to determine the revenue allocated to each deliverable.

The revenue allocated to each deliverable will then be recorded in accordance with existing revenue recognition guidance for stand-alone component sales and services.

· Software - License fee revenue is derived from the licensing of computer software. Maintenance revenue is derived from software maintenance. Our software licenses are generally sold as part of an arrangement that includes maintenance and support.

The Company generally offers terms that require payment 30 – 45 days from invoicing. Provided the Reseller: (i) assumes all risk of the purchase, (ii) has the ability and obligation to pay regardless of receiving payment from the end user, and (iii) all other revenue recognition criteria are met, license revenue from Resellers is recognized upon shipment of its product to vendors (“sell-in basis”).

Revenue from license fees is recognized when notification of shipment to the end user has occurred, there are no significant Company obligations with regard to implementation and the Company’s services are not considered essential to the functionality of other elements of the arrangement.

Maintenance — Revenue from maintenance and support arrangements is deferred and recognized ratably over the term of the maintenance and support arrangements.

· Hardware — Revenue is derived from the sale of our automated CO2 insufflation device. This product is an automated CO₂ insufflation device, and is generally sold as part of an arrangement that includes a one-year warranty. The risk of incurring warranty related expense is mitigated by the warranty contractually agreed with the supplier. The Company reviews the risk of warranty liabilities on a regular basis, and makes any and all appropriate provisions accordingly. At the present time, the Company feels that the warranty liability is insignificant and has therefore not made any provision. The device is sold exclusively through our distribution partner Ultrasound Technologies, Ltd. and the Company receives a royalty on each unit sold. Revenue is recognized as orders are satisfied and delivered by our supplier.

· Services-consulting — Consulting revenue is earned over the period in which the Company provides the related services. The Company recognizes consulting revenue as it meets the terms of the underlying contract on the terms of the agreement.

Equity-based compensation

The Company recognizes compensation expense for all equity-based payments. Under fair value recognition provisions, the Company recognizes equity-based compensation net of an estimated forfeiture rate and recognizes compensation cost only for those shares expected to vest over the requisite service period of the award.

Restricted stock awards are granted at the discretion of the Company. These awards are restricted as to the transfer of ownership and generally vest over the requisite service periods, typically over an eighteen month period (vesting on a straight-line basis). The fair value of a stock award is equal to the fair market value of a share of Company stock on the grant date

The fair value of option awards are estimated on the date of grant using the Black-Scholes option valuation model. The Black-Scholes option valuation model requires the development of assumptions that are input into the model. These assumptions are the expected stock volatility, the risk-free interest rate, the option’s expected life and the dividend yield on the underlying stock. Expected volatility is calculated based on the historical volatility of our Common stock over the expected option life and other appropriate factors. Risk-free interest rates are calculated based on continuously compounded risk-free rates for the appropriate term. The dividend yield is assumed to be zero as the Company has never paid or declared any cash dividends on our Common stock and does not intend to pay dividends on our Common stock in the foreseeable future. The expected forfeiture rate is estimated based on historical experience.

Determining the appropriate fair value model and calculating the fair value of equity-based payment awards requires the input of the subjective assumptions described above. The assumptions used in calculating the fair value of equity-based payment awards represent management’s best estimates, which involve inherent uncertainties and the application of management’s judgment. As a result, if factors change and the Company uses different assumptions, our equity-based compensation expense could be materially different in the future. In addition, the Company is required to estimate the expected forfeiture rate and recognize expense only for those shares expected to vest. If our actual forfeiture rate is materially different from our estimate, the equity-based compensation expense could be significantly different from what the Company has recorded in the current period.

The Company accounts for share-based payments granted to non-employees in accordance with ASC Topic 505, “Equity Based Payments to Non-Employees.” The Company determines the fair value of the stock-based payment as either the fair value of the consideration received or the fair value of the equity instruments issued, whichever is more reliably measurable.  If the fair value of the equity instruments issued is used, it is measured using the stock price and other measurement assumptions as of the earlier of either (1) the date at which a commitment for performance by the counterparty to earn the equity instruments is reached, or (2) the date at which the counterparty’s performance is complete.

Income taxes

The Company applies the elements of ASC 740-10 “Income Taxes — Overall” regarding accounting for uncertainty in income taxes.  This clarifies the accounting for uncertainty in income taxes recognized in financial statements and requires the impact of a tax position to be recognized in the financial statements if that position is more likely than not of being sustained by the taxing authority.  As of March 31, 2013, and December 31, 2012, the Company did not have any unrecognized tax benefits.  The Company does not expect that the amount of unrecognized tax benefits will significantly increase or decrease within the next twelve months.  The Company’s policy is to recognize interest and penalties related to tax matters in the income tax provision in the Consolidated Statements of Operations.  There was no interest and penalties for the three months ended March 31, 2013, and 2012.  Tax years beginning in 2009 are generally subject to examination by taxing authorities, although net operating losses from all years are subject to examinations and adjustments for at least three years following the year in which the attributes are used.

 Deferred taxes are computed based on the tax liability or benefit in future years of the reversal of temporary differences in the recognition of income or deduction of expenses between financial and tax reporting purposes.  The net difference, if any, between the provision for taxes and taxes currently payable is reflected in the balance sheet as deferred taxes.  Deferred tax assets and/or liabilities, if any, are classified as current and non-current based on the classification of the related asset or liability for financial reporting purposes, or based on the expected reversal date for deferred taxes that are not related to an asset or liability.  Valuation allowances are recorded to reduce deferred tax assets to that amount which is more likely than not to be realized.

Comprehensive income / (loss)

Comprehensive income / (loss) includes net income / (loss) and items defined as other comprehensive income / (loss). Items defined as other comprehensive income / (loss), include foreign currency translation adjustments and are separately classified in the condensed consolidated financial statements. Such items are reported in the Condensed Consolidated Statements of Operations and Comprehensive Loss.

Income/ (loss) per share

Basic net loss per common share is computed by dividing net loss attributable to common stockholders by the weighted-average number of common shares outstanding during the period. Diluted net earnings (loss) per common share is determined using the weighted-average number of common shares outstanding during the period, adjusted for the dilutive effect of common stock equivalents.

The computation of diluted loss per share for the three months ended March 31, 2013, includes 1,139,870 Common Shares in connection with the Series A Convertible Preferred Stock, 4,038,753 warrants and 307,667 unvested restricted shares, as they are dilutive due to the Company’s net income. For the three months ended March 31, 2012, six (6) stock options are excluded because they are anti-dilutive due to the Company’s net loss.

Segment reporting

Operating segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker, or decision-making group in deciding how to allocate resources and in assessing performance. Our chief operating decision-making group is composed of our chief executive officer and chief financial officer. We operate in three operational segments, Medicsight Software/Devices, Medicsight Services and MGT Gaming. Certain corporate expenses are not allocated to segments.

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Restatement of previously issued financial statement (Details Textual) (USD $) In Thousands, except Share data, unless otherwise specified	12 Months Ended
	Dec. 31, 2012	Mar. 31, 2013	Dec. 31, 2011
Intangible assets, net of accumulated amortization (in dollars)	$ 118
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001	$ 0.001
Common stock, shares authorized	75,000,000	75,000,000	75,000,000
Common stock, shares issued	3,251,187	3,522,935	2,108,732
Common stock, shares outstanding	3,251,187	3,522,935	2,108,732
Issuance of Preferred stock & warrants, issuance costs (in dollars)	87
Series A Convertible Preferred Stock [Member]
Temporary Equity, Par Value (in dollars per share)	$ 0.001
Temporary Equity, Shares Authorized	1,394,766
Temporary Equity, Shares Issued	1,394,766
Temporary Equity, Shares Outstanding	1,394,766
Temporary Equity, Liquidation Preference (in dollars)	4,547
Preferred stock,par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	1,394,766	1,413,572
Preferred stock, shares issued	1,394,766	1,139,870
Preferred stock, shares outstanding	1,394,766	1,139,870
Preferred Stock, Liquidation Preference, Value (in dollars)	$ 4,547

XML

Stock incentive plan and share-based compensation (Details Textual) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended						3 Months Ended					1 Months Ended	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012	Apr. 10, 2013	Dec. 31, 2012	Oct. 29, 2012	Jun. 25, 2012	Mar. 31, 2012 Noncontrolling Interest [Member]	Jun. 25, 2012 Each Current Independent Director Of Board [Member]	Jun. 25, 2012 Officers and Certain Employees [Member]	Nov. 19, 2012 Director [Member]	Nov. 19, 2012 Officer [Member]	Aug. 20, 2012 Restricted Stock [Member]	Mar. 31, 2013 Restricted Stock [Member]	Mar. 31, 2012 Restricted Stock [Member]
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Outstanding Options, Weighted Average Remaining Contractual Term	7 years
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Exercisable Options, Weighted Average Remaining Contractual Term	5 years
Stock-based compensation expense	$ 359	$ 32					$ 15						$ 359	$ 32
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	415,000
Percentage Of Stockholder Incentive Stock Option Granted On Date Of Grant	10.00%
Share Based Compensation Arrangement By Share Based Payment Restricted Shares Issued						232,000		21,000	190,000
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized	$ 1,178	$ 0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term	11 months 1 day
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross												6,000
Restricted Stock Shares Granted					10,000					30,000	114,000
Class of Warrant or Right, Exercise Price of Warrants or Rights	3.85		3.00	4.00
Warrants Expiry Description	all issued warrants are exercisable and expire through 2017.

XML

Restatement of previously issued financial statement (Tables)

3 Months Ended

Mar. 31, 2013

Statement Of Financial Position [Abstract]

Schedule of Condensed Financial Statements [Table Text Block]

The effects of the revision on the unaudited financial statements are summarized below:

Condensed Consolidated Balance Sheets

	December 31, 2012
	As previously reported			Adjustments			As restated
Assets:
Current assets:
Cash and cash equivalents	$	3,443		$	–		$	3,443
Accounts receivable		9			–			9
Prepaid expenses and other current assets		340			–			340
Total current assets		3,792			–			3,792
Non-current assets:
Restricted cash		2,039			–			2,039
Property and equipment, at cost, net		25			–			25
Intangible assets, net of accumulated amortization of $118 (as revised)		1,704			91			1,795
Total assets	$	7,560		$	91		$	7,651
Liabilities:
Current liabilities:
Accounts payable	$	242		$	–		$	242
Accrued expenses		196			76			272
Other payables		67			–			67
Total current liabilities		505			76			581
Non-current liabilities:
Derivative liability - warrants		–			7,166			7,166
Total liabilities		505			7,242			7,747
Redeemable convertible preferred stock – temporary equity
Preferred Stock, Series A Convertible Preferred, $0.001 par value; 1,394,766 shares authorized; 1,394,766 shares issued and outstanding at December 31, 2012 ($4,547 Liquidation preference)		–			47			47
Stockholders' equity/(deficit):
Preferred Stock, Series A Convertible Preferred, $0.001 par value; 1,394,766 shares authorized; 1,394,766 shares issued and outstanding at December 31, 2012 ($4,547 Liquidation preference)		1			(1	)		–
Common stock, $0.001 par value; 75,000,000 shares authorized; 3,251,187 and 2,108,732 shares issued and outstanding at December 31, 2012, and 2011, respectively		3			–			3
Additional paid in capital		295,050			(12,052	)		282,998
Accumulated other comprehensive loss		(281	)		–			(281	)
Accumulated deficit		(288,447	)		4,816			(283,631	)
Total stockholders’ equity/(deficit)		6,326			(7,237	)		(911	)
Non-controlling interests		729			39			768
Total equity		7,055			(7,198	)		(143	)
Total stockholders' equity/(deficit), liabilities and non-controlling interest	$	7,560		$	91		$	7,651

Condensed Consolidated Statement of Stockholders' Equity

	Preferred stock						Common stock				Additional			Accumulated						Total
	Shares			Amounts			Shares		Amounts		paid-in capital			comprehensive income / (loss)			Accumulated deficit			shareholders' equity			Non-controlling interests			Total equity
At December 31, 2012 (as previously reported)		1,395		$	1			3,251	$	3	$	295,050		$	(281	)	$	(288,447	)	$	6,326		$	729		$	7,055
Reversal of Warrants issued in connection with acquisition of intangible assets												(808	)								(808	)					(808	)
Reversal of non-controlling share of MGT Gaming, Inc.																					–			42			42
Restatement of Intangible Amortization Expense and Derivative Gain/Loss Expense																		59			59			(3	)		56
Reversal of issuance of Preferred stock & warrants, net of issuance costs of $87		(1,380	)		(1	)						(4,411	)					(87	)		(4,499	)					(4,499	)
Preferred Stock Dividend - accretion of warrants												(2,478	)					2,478			–						–
Reversal of deemed dividend of beneficial conversion feature of Preferred Convertible Series A stock to common stock												(2,021	)					2,021			–						–
Reversal of quarterly dividend on Preferred stock		(15	)									(56	)					56			–						–
Warrant - Deemed Dividend (in excess of proceeds received)												(2,231	)								(2,231	)					(2,231	)
Revaluation of Warrant Derivative																		365			365						365
Preferred Stock Dividend												(47	)								(47	)					(47	)
Adjustment to accrued expenses																		(76	)		(76	)					(76	)
At December 31, 2012 (restated)		–		$	–			3,251	$	3	$	282,998		$	(281	)	$	(283,631	)	$	(911	)	$	768		$	(143	)