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17. SUBSEQUENT EVENTS
6 Months Ended
Mar. 31, 2021
Subsequent Events [Abstract]  
17. SUBSEQUENT EVENTS

17. SUBSEQUENT EVENTS

 

On April 1, 2021, the Company issued 7,144 shares of common stock in connection with a Common Stock warrant exercise at an exercise price of $15.00 per share. The Company received $107,160 as a result of the issuance.

 

During April 2021, the Company received approximately 900 S19 pro mining servers against the orders it placed during the months of March and April 2021.

 

On April 2, April 6, April 9, April 14, and April 29, 2021 the  Company entered into agreements with cryptocurrency mining equipment suppliers to purchase an aggregate of approximately 23,900 mining servers for an aggregate purchase price of $192,307,550.   We paid $90,164,750 towards these miner purchases in April 2021.

 

On April 16, 2021, as more specifically described in that certain Current Report on Form 8-K filed by the Company with the SEC on April 16, 2021, at the recommendation of the Company’s Compensation Committee, the Company’s board of directors approved certain executive compensation matters with key executives Zachary Bradford, Lori Love and S. Matthew Schultz (the “Executives”). Specifically, amendments to the employment agreements of the Executives were approved which provided (i) an additional cash bonus incentive for Ms. Love based on the Company achieving certain annual gross revenues plus realized gains/losses for the current fiscal year, (ii) the addition of non-cash components to the base salaries of Mr. Bradford and Mr. Schultz in the form of certain monthly payments of Bitcoin, and (iii) additional cash and equity bonus incentives for Mr. Bradford and Mr. Schultz based on the Company achieving certain annual gross revenues plus realized gains/losses in the current fiscal year as well as certain market capitalization milestone targets for the current fiscal year. Additionally, the Executives received (i) one-time cash incentive bonuses, (ii) one-time grants of fully vested RSUs and (iii) option grants to acquire shares of common stock that vest over 36 months.

Certain of the additional equity incentive grants set forth above will be granted to the extent there are available shares under the Company’s 2017 Equity Incentive Plan (the “Plan”) with any remaining equity grants to be granted when the Company obtains shareholder approval to increase the shares available under the Plan.