LM FUNDING AMERICA, INC.
For the period ended Sep 30, 2025. Filed Nov 14, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 14, 2025
PWCM$0.53+13.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-08-14.
0000950170-25-109034
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-11-14.
0001193125-25-282844
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 159 previous paragraphs and 195 current paragraphs.
96 unchanged; 49 reworded; 49 added; 13 removed; 1 previous and 1 current paragraphs rearranged.
Tables are not compared: 10 previous and 10 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (49)
Current report
our Bitcoin treasury strategy has not been tested over an extended period of tome or under different market conditions,
Current report
our treasury strategy is concentrated on Bitcoin,
Current report
we are subject to counterparty risks, including in particular risks relating to our custodians,
Current report
Bitcoin Treasury Operations and Strategy
Current report
During August 2025, we raised approximately $21.3 million in net proceeds from capital raises and we purchased 164 Bitcoins in August 2025 with substantially all of the proceeds from such offering, with the remainder used for working capital purposes. Our cryptocurrency treasury strategy for the next twelve months includes acquiring and holding Bitcoin using cash flows from operations that exceed working capital requirements, and from time to time, subject to market conditions, issuing equity or debt securities or engaging in other capital raising transactions with the objective of using the proceeds to purchase Bitcoin. We have not set any specific target for the amount of Bitcoin we seek to hold, and we will continue to monitor market conditions in determining whether to engage in additional Bitcoin purchases. This overall strategy also contemplates that we may periodically sell Bitcoin for general corporate purposes or in connection with strategies that generate tax benefits in accordance with applicable law, enter into additional capital raising transactions, including those that could be collateralized by our Bitcoin holdings, and consider pursuing strategies to create income streams or otherwise generate funds using our Bitcoin holdings.
Current report
We currently maintain a formal, documented strategy that governs circumstances under which we acquire or monetize our Bitcoin holdings. Decisions to purchase or sell Bitcoin are made on a case-by-case basis at management’s discretion, taking into account factors such as our liquidity, general market conditions, and anticipated cash requirements. As of September 30, 2025, Bitcoin represents 100% of our treasury holdings. We do have small holdings of Tether and USDC outside of our treasury holdings that value in the aggregate less than $10,000 and are used for purchases with merchants that accepts such crypto assets as payment. We do not currently engage in hedging activities. We have not implemented derivative transactions, futures, options, swaps, or other financial instruments to reduce our exposure to Bitcoin price volatility. Any future hedging activity, if undertaken, would be determined by management on a discretionary basis.
Current report
Bitcoin was introduced in 2008 with the goal of serving as a digital means of exchanging and storing value. Bitcoin is a form of digital currency that depends upon a consensus-based network and a public ledger called a “blockchain”, which contains a record of every Bitcoin transaction ever processed. The Bitcoin network is the first decentralized peer-to-peer payment network, powered by users participating in the consensus protocol, with no central authority or middlemen, that has wide network participation. The authenticity of each Bitcoin transaction is protected through digital signatures that correspond with addresses of users that send and receive Bitcoin. Users have full control over remitting Bitcoin from their own sending addresses. All transactions on the Bitcoin blockchain are transparent, allowing those running the appropriate software to confirm the validity of each transaction. To be recorded on the blockchain, each Bitcoin transaction is validated through a proof-of-work consensus method, which entails solving complex mathematical problems to validate transactions and post them on the blockchain. This process is called mining. Miners are rewarded with Bitcoins, both in the form of newly-created Bitcoins and fees in Bitcoin, for successfully solving the mathematical problems and providing computing power to the network.
Current report
Factors such as access to computer processing capacity, interconnectivity, electricity cost, environmental factors (such as cooling capacity) and location play important roles in mining. In Bitcoin mining, “hashrate” is a measure of the computing and processing power and speed by which a mining computer mines and processes transactions on the Bitcoin network. A company’s computing power measured in hashrate is generally considered to be one of the most important metrics for evaluating Bitcoin mining companies.
Current report
New Bitcoins are introduced into circulation through a process called mining, where participants validate transactions and add them to the blockchain. Miners are rewarded with a fixed number of Bitcoins for each block they successfully add, with this reward halving approximately every four years to control the supply. As of September 30, 2025, there were approximately 19,930,000 Bitcoins in circulation, with a maximum supply capped at 21 million, a limit expected to be reached around the year 2140. Additionally, as of September 30, 2025, Bitcoin’s market capitalization, calculated using market prices and total available supply, was $2.27 trillion.
Current report
The lifecycle of Bitcoin can be described by the following:
Current report
Creation (Mining): New Bitcoin are issued as a reward to miners who successfully add a new block to the blockchain by solving complex cryptographic puzzles. This process is called “mining” and currently results in a fixed block reward that halves approximately every four years.
Current report
Circulation: Once created, Bitcoin are held in digital wallets and can be transferred between users by broadcasting digitally signed transactions to the network.
Current report
Validation and Settlement: Transactions are validated by nodes and recorded permanently on the blockchain.
Current report
Removal: Bitcoin cannot be revoked or deleted, but they can become inaccessible if private keys are lost or if sent to unspendable addresses.
Current report
Fixed Supply Cap: Issuance continues until the maximum supply limit is reached, after which miners will be compensated solely by transaction fees.
Current report
While Bitcoin’s price has been significantly influenced by speculative trading, its valuation is also impacted by the underlying health and performance of the Bitcoin network. Key metrics such as the network’s hash rate (a measure of computational power), the number of active addresses, and transaction volumes can provide insights into network security, user adoption, and overall activity, all of which contribute to Bitcoin’s valuation.
Current report
Custodially-Held Assets
Current report
Through “off-the-shelf” custody agreements (the “Custody Agreements”), we custody approximately 75% of our Bitcoin holdings at regulated third-party custodians (the “Bitcoin Custodians”) that carry insurance and are chartered as a limited purpose trust company under the New York Banking Law. The remaining approximately 25% of our Bitcoin holdings are held in a depository account with the Bitcoin Custodians, where Bitcoin mining proceeds are deposited. The Bitcoin Custodians make available to us segregated from all other assets held by the Bitcoin Custodians in which our Bitcoin holdings are directly verifiable via the applicable blockchain. Bitcoin private keys are stored in two different forms: “hot” storage, whereby the private keys are stored on secure, internet-connected devices (a “hot wallet”), and “cold” storage, where digital currency private keys are stored completely offline. The Bitcoin Custody Agreements require the Bitcoin Custodians to hold our Bitcoin in cold storage, unless required to facilitate withdrawals as a temporary measure. The Bitcoin Custodians will at all times record and identify in its books and records that such Bitcoins constitute the property of our Bitcoin account. The Custody Agreements provides that the Bitcoin Custodians will not loan, hypothecate, pledge or otherwise encumber any of our Bitcoin held in our Bitcoin account. The Bitcoin Custodian’s services in respect of the Bitcoin account (i) allow Bitcoin to be deposited from a public blockchain address to our Bitcoin Account and (ii) allow Bitcoin to be withdrawn from our Bitcoin account to a public blockchain address as instructed by us. As of September 30, 2025, approximately 225 Bitcoin were held by the Bitcoin Custodians.
Current report
The Custody Agreements do not have a set duration and remains in force until terminated as permitted by the Custody Agreement and the associated user agreement governing the general services provided by the Bitcoin Custodian (the “User Agreement”). We may terminate the Custody Agreement and custody services with the Bitcoin Custodian at any time. The Bitcoin Custodians may terminate the Custody Agreement at any time and for any reason, upon which the Bitcoin Custodians will return the Bitcoin held in our Bitcoin Account, less the value of any trading fee discounts, rebates, debts owed to the Bitcoin Custodian or damages the Bitcoin Custodian is entitled to pursuant to the Custody Agreement and User Agreement.
Current report
While the Bitcoin Custodians carries insurance, its insurance does not cover any loss in value of Bitcoin and only covers losses caused by certain events such as fraud or theft and, in such covered events, it is unlikely the insurance would cover the full amount of any losses incurred by us. The insurance maintained by the Bitcoin Custodians is shared among all of the Bitcoin Custodian’s customers, is not specific to us or to any customers holding Bitcoin with the Bitcoin Custodian, and may not be available or sufficient to protect us from all possible losses or sources of losses. We directly maintain theft and fraud insurance covering our Bitcoin holdings, with coverage limits of $3 million per occurrence. We recognize the importance of assessing, identifying and managing material risks associated with cybersecurity threats. Our share of Bitcoins mined from our pools are initially received by us in wallets we control. We currently sell the majority of the Bitcoin we mine and utilize hot wallets to hold this Bitcoin immediately prior to selling for working capital purposes. We hold any remainder of our Bitcoin in cold storage, as described above.
Current report
Our management evaluates all cybersecurity matters, with the purpose of meeting at least semi-annually and providing recommendations with respect to our information technology use and protection, including, but not limited to, data governance, privacy, compliance and cybersecurity. We have implemented controls, policies, procedures and technological safeguards to maintain and protect the integrity, continuous operation, redundancy and security of our IT systems and data that we believe to be reasonably consistent with industry standards and practices, or as required by applicable regulatory standards. We are also required to comply with applicable laws, rules, regulations and contractual obligations relating to the privacy and security of our IT systems and data and to the protection of such IT systems and data from unauthorized use, access, misappropriation or modification.
Current report
Mississippi Property Acquisition
Current report
On September 16, 2025, the Company, through its wholly-owned subsidiary US Digital Mining Mississippi LLC, a Mississippi limited liability company (the “Acquirer”) completed an acquisition from Greenidge Mississippi LLC, a Mississippi limited liability company (“Seller”) of the approximate 6.4 acre parcel of real property located at 249 Datco Industrial Road, Columbus, Mississippi 39707 (the “Mississippi Property”), including substantially all of the business assets of the Seller, excluding any Bitcoin miners (the “Transaction”). The total consideration paid by the Acquirer to Seller in the Transaction was approximately $3.9 million.
Current report
Bitcoin Miner Purchase Agreement
Current report
In connection with the completion of the Transaction, on September 16, 2025, the Company, through the Acquirer, entered into and closed the acquisition (the “Miner Acquisition”) contemplated by that certain Bitcoin Miner Purchase and Sale Agreement (the “Miner Purchase Agreement”) with Greenidge Generation LLC, a New York limited liability company and affiliate of the Seller (the “Miner Seller”), pursuant to which the Acquirer purchased and acquired from the Miner Seller approximately 2,330 Bitmain Antminer S19, S19 Pro and S19 J Pro Bitcoin miners (collectively, the “Miners”) of the Miner Seller for an aggregate purchase price of approximately $362 thousand, less approximately $32 thousand in sales taxes and fees paid by the seller . The closing of the transactions contemplated by the Miner Purchase Agreement was completed on September 16, 2025, contemporaneously with the consummation of the Transaction.
Current report
Oklahoma Mining Site
Current report
Mississippi Mining Site
Current report
Loss on disposal of mining equipment was nil and $12 thousand for the three months ended September 30, 2025 and 2024, respectively.
Current report
During the three months ended September 30, 2025, net loss was $3.7 million as compared to net loss of $4.4 million for the three months ended September 30, 2024.
Current report
Net Loss Attributable to Common Shareholders
Current report
During three months ended September 30, 2025 and September 30, 2024, net loss attributable to common shareholders was increased by $0.3 million and $1.7 million, respectively compared to net loss attributable to LM Funding America, Inc. due to deemed dividends related to warrant repricing. During the three months ended September 30, 2025, net loss attributable to common shareholders was $4.1 million as compared to $6.0 million for the three months ended September 30, 2024.
Current report
The Nine Months Ended September 30, 2025 compared with the Nine Months Ended September 30, 2024
Current report
During the nine months ended September 30, 2025, net loss was $9.1 million as compared to net loss of $8.2 million for the nine months ended September 30, 2024.
Current report
During the nine months ended September 30, 2025, net loss attributable to LM Funding America, Inc. was $9.0 million as compared to net loss of $8.0 million for the nine months ended September 30, 2024.
Current report
Net Loss Attributable to Common Shareholders
Current report
During the nine months ended September 30, 2025 and September 30, 2024, net loss attributable to common shareholders was increased by $0.3 million and $1.7 million, respectively compared to net loss attributable to LM Funding America, Inc. due to deemed dividends related to warrant repricing. During the nine months ended September 30, 2025, net loss attributable to common shareholders was $9.4 million as compared to $9.7 million for the nine months ended September 30, 2024.
Current report
Net cash provided by financing activities was $22.1 million for the nine months ended September 30, 2025 as compared to net cash from financing activities of $8.0 million for the nine months ended September 30, 2024. During the nine months ended September 30, 2025, the Company raised $21.3 million, net, from an equity raise in August 2025 and raised $1.2 million from secured borrowings. During the nine months ended September 30, 2024, the Company raised $2.1 million, net, from an equity raise in August 2024 and $6.3 million from secured borrowings.
Current report
The Company raised gross proceeds of $24.2 million and $2.3 million from equity financing transactions during the nine months ended September 30, 2025 and 2024, respectively, as described below.
Current report
August 2025 Private Placements
Current report
On August 18, 2025, the Company and institutional investors (the “Purchasers”) entered into a securities purchase agreement, pursuant to which the Company agreed to issue to the Purchasers, in a private placement (the “PIPE Offering”), (i) 4,322,265 shares (the “Shares”) of the Company’s common stock and (ii) 4,322,265 warrants to purchase shares of common stock at an exercise price of $2.41 per share. The combined purchase price for each Share and Common Warrant was $2.41.
Showing the first 40 of 49 passages. Open the source sections for the rest.
Removed paragraphs (13)
Previous report
reliance to date on a single model of Bitcoin miner,
Previous report
Except as required by law, we assume no duty to update or revise any forward-looking statements.
Previous report
$150 thousand for the three and six months ended June 30, 2025, respectively, and approximately $96 thousand and $68 thousand for the three and six months ended June 30, 2024, respectively.
Previous report
Mining Site
Previous report
Loss on disposal of mining equipment was $100 thousand and $34 thousand for the three months ended June 30, 2025 and 2024, respectively.
Previous report
During the three months ended June 30, 2025, net income was $0.1 million as compared to net loss of $6.2 million for the three months ended June 30, 2024.
Previous report
The Six Months Ended June 30, 2025 compared with the Six Months Ended June 30, 2024
Previous report
During the six months ended June 30, 2025, net loss was $5.3 million as compared to net loss of $3.8 million for the six months ended June 30, 2024.
Previous report
During the six months ended June 30, 2025, net loss attributable to LM Funding America, Inc. was $5.3 million as compared to net loss of $3.7 million for the six months ended June 30, 2024.
Previous report
Contractual Obligations
Previous report
The Company has a contingent obligation of $3.9 million upon completion of the Mississippi mining site acquisition due diligence period.
Previous report
Net cash used in financing activities was $0.4 million for the six months ended June 30, 2025 as compared to net cash from financing activities of $1.0 million for the six months ended June 30, 2024.
Previous report
The Company had no cash infusions from equity financing transactions during the six months ended June 30, 2025 and 2024.
Reworded paragraphs (49)
Previous wording
This Management’s Discussion and Analysis should be read in conjunction with the Unaudited Consolidated Financial Statements and Notes for the three and six months ended June 30, 2025, and with the Annual Report on Form 10-K for the year ended December 31, 2024.
Current wording
This Management’s Discussion and Analysis should be read in conjunction with the Unaudited Consolidated Financial Statements and Notes for the three and nine months ended September 30, 2025, and with the Annual Report on Form 10-K for the year ended December 31, 2024.
Previous wording
The Company currently has two lines of business: our Bitcoin mining business and our specialty finance business.
Current wording
The Company currently maintains three distinct business operations: our Bitcoin treasury operations, our Bitcoin mining business, and our specialty finance business.
Previous wording
The Bitcoin mining business operation deploys our computing power to mine Bitcoin and validate transactions on the Bitcoin network. We believe that developments in Bitcoin mining have created an opportunity for us to deploy capital and conduct large-scale mining operations in the United States. We conduct this business through a wholly owned subsidiary, US Digital to develop and operate our Bitcoin mining business.
Current wording
The Bitcoin mining business operation deploys our computing power to mine Bitcoin and validate transactions on the Bitcoin network. We believe that developments in Bitcoin mining have created an opportunity for us to deploy capital and conduct large-scale mining operations in the United States. We conduct this business through a wholly owned subsidiary, US Digital, which we formed in 2021 to develop and operate our Bitcoin mining business.
Previous wording
The following reflects the financial summary of Bitcoin holdings:
Current wording
The following reflects the financial summary of our Bitcoin holdings:
Previous wording
As of June 30, 2025 and December 31, 2024 approximately 47 Bitcoin and 54 Bitcoin, respectively (with an approximate fair value of $5.0 million) were held in a custody account as collateral for the $5.0 million Liebel loan and were classified within “Digital assets - long-term” on the consolidated balance sheets.
Current wording
As of September 30, 2025 and December 31, 2024, we held approximately 304 and 150 Bitcoin, respectively. The carrying value of our Bitcoin as of September 30, 2025 and December 31, 2024 was approximately $34.7 million and $14.0 million, respectively, on our consolidated balance sheet. As of September 30, 2025 and December 31, 2024 approximately 61 Bitcoin and 54 Bitcoin, respectively (with an approximate fair value of $6.9 million and $5.0 million) were held in a custody account as collateral for the $6.3 million and $5.0 million Liebel loans and were classified within “Digital assets - collateral” on the consolidated balance sheets.
Previous wording
The following is a summary of the average cost of revenues for mining each Bitcoin during the three and six months ended June 30, 2025 and 2024:
Current wording
The following is a summary of the average cost of revenues for mining each Bitcoin during the three and nine months ended September 30, 2025 and 2024:
Previous wording
The Company's Bitcoin unit activity during the six months ended June 30, 2025 and 2024 was as follows:
Current wording
The Company's Bitcoin unit activity during the nine months ended September 30, 2025 and 2024 was as follows:
Previous wording
Power prices are the most significant cost driver for our wholly owned locations. Energy prices can be highly volatile and global events (including the war in Ukraine and the resulting natural gas shortage) can cause power prices to increase. Our wholly owned and operated site in Oklahoma is currently subject to variable prices and market rate fluctuations with respect to wholesale power costs. Such prices are governed by power purchase agreements and said prices can change hour to hour. While this renders energy prices less predictable, it also gives us greater ability and flexibility to actively manage the energy we consume with a goal of increasing profitability and energy efficiency. Energy prices are also highly sensitive to weather events, such as winter storms, polar vortices and hurricanes, which increase the demand for power regionally. When such events occur, we may curtail our operations to avoid using power at increased rates.
Current wording
Power prices are the most significant cost driver for our wholly owned locations. Energy prices can be highly volatile and global events (including the war in Ukraine and the resulting natural gas shortage) can cause power prices to increase. Our wholly owned and operated sites in Oklahoma and Mississippi are currently subject to variable prices and market rate fluctuations with respect to wholesale power costs. Such prices are governed by power purchase agreements and said prices can change hour to hour. While this renders energy prices less predictable, it also gives us greater ability and flexibility to actively manage the energy we consume with a goal of increasing profitability and energy efficiency. Energy prices are also highly sensitive to weather events, such as winter storms, polar vortices and hurricanes, which increase the demand for power regionally. When such events occur, we may curtail our operations to avoid using power at increased rates.
Previous wording
The Company records depreciation expense (a non-cash expense) on its miners on a straight-line basis over the miners' expected useful life. Such non-cash depreciation amounts are recorded within the consolidated statements of operations and comprehensive loss as “Depreciation and Amortization”. Although the Company recognizes depreciation with respect to its mining assets, it does not consider depreciation in determining whether it is economical to operate its mining equipment since depreciation expense is not an avoidable operating cost, such as energy costs. The table above presents the non-cash miner depreciation expense on a “per Bitcoin” basis, calculated by dividing miner depreciation expense in our hosted facilities by the number of Bitcoin mined in the hosted facilities. On a “per Bitcoin” ratio, direct costs to mine including miner depreciation expense was approximately $166 thousand and
Current wording
The Company records depreciation expense (a non-cash expense) on its miners on a straight-line basis over the miners' expected useful life. Such non-cash depreciation amounts are recorded within the consolidated statements of operations and comprehensive loss as “Depreciation and Amortization”. Although the Company recognizes depreciation with respect to its mining assets, it does not consider depreciation in determining whether it is economical to operate its mining equipment since depreciation expense is not an avoidable operating cost, such as energy costs. The table above presents the non-cash miner depreciation expense on a “per Bitcoin” basis, calculated by dividing miner depreciation expense in our hosted facilities by the number of Bitcoin mined in the hosted facilities. On a “per Bitcoin” ratio, direct costs to mine including miner depreciation expense was approximately $165 thousand and $155 thousand for the three and nine months ended September 30, 2025, respectively, and approximately $144 thousand and $77 thousand for the three and nine months ended September 30, 2024, respectively.
Previous wording
As of December 31, 2024, approximately 3,000 mining machines were installed at our 15 MW hosting site located in Oklahoma (the “Oklahoma site”) with a total projected hashrate of 301 PH. As of June 30, 2025, we have approximately 4,320 installed mining machines at this location which have a total projected hashrate of 475 PH. We have another approximately 1,240 mining machines in storage at the Oklahoma site.
Current wording
As of December 31, 2024, approximately 3,000 mining machines were installed at our 15 MW hosting site located in Oklahoma (the “Oklahoma site”) with a total projected hashrate of 301 PH. As of September 30, 2025, we have approximately 4,320 installed mining machines at this location which have a total projected hashrate of 478 PH. We have another approximately 795 mining machines in storage or repair at the Oklahoma site. The Company transferred 490 mining machines to the Mississippi site.
Previous wording
As of June 30, 2025, we own approximately 5,560 machines with total hashing capacity of approximately 0.606 EH/s.
Current wording
As of September 30, 2025, we own approximately 7,900 machines with total hashing capacity of approximately 0.840 EH/s.
Previous wording
During the three months ended June 30, 2025, total revenues decreased by $1.1 million, to $1.9 million from $3.0 million for the three months ended June 30, 2024.
Current wording
During the three months ended September 30, 2025, total revenues increased by $0.9 million, to $2.2 million from $1.3 million for the three months ended September 30, 2024.
Previous wording
Digital mining revenue decreased in the three months ended June 30, 2025 by $1.1 million to $1.8 million from $2.9 million for the three months ended June 30, 2024.
Current wording
Digital mining revenue increased in the three months ended September 30, 2025 by $0.9 million to $2.0 million from $1.1 million for the three months ended September 30, 2024.
Previous wording
Bitcoin mining revenues are determined by two main drivers: quantity of Bitcoin mined and the price of Bitcoin on the date the Bitcoin is mined. During the six months ended June 30, 2025, we mined 42.7 Bitcoin with an average Bitcoin price of approximately $96 thousand as compared to 130.4 Bitcoin with an average Bitcoin price of approximately $57 thousand during the six months ended June 30, 2024. The decrease in Bitcoin mining revenue for the six months ended June 30, 2025 was attributable to the reduction in the number of Bitcoins mined during the period due to the halving event in April 2024, machines that were not being relocated from hosting sites, the increased difficulty rate, which reduced our share of the global hashrate, offset in part by the increase in Bitcoin prices.
Current wording
Bitcoin mining revenues are determined by two main drivers: quantity of Bitcoin mined and the price of Bitcoin on the date the Bitcoin is mined. During the three months ended September 30, 2025, we mined 17.6 Bitcoin with an average Bitcoin price of approximately $114 thousand as compared to 18.5 Bitcoin with an average Bitcoin price of approximately $61 thousand during the three months ended September 30, 2024. The increase in Bitcoin mining revenue for the three months ended September 30, 2025 was attributable to an increase in Bitcoin price, offset in part by the increased difficulty rate, which reduced our share of the global hashrate and a decrease in the number of miners actively mining.
Previous wording
During the three months ended June 30, 2025, operating expenses decreased $5.8 million to $1.5 million from $7.3 million for the three months ended June 30, 2024. The decrease in operating expenses is primarily due to the following factors:
Current wording
During the three months ended September 30, 2025, operating expenses increased $0.4 million to $5.7 million from $5.3 million for the three months ended September 30, 2024. The increase in operating expenses is primarily due to the following factors:
Previous wording
The fair market adjustment on mined digital assets resulted in a gain of $3.8 million for the three months ended June 30, 2025 compared to a loss of $1.3 million for the three months ended June 30, 2024.
Current wording
The fair market adjustment on mined digital assets resulted in a gain of $1.0 million for the three months ended September 30, 2025 compared to a gain of $0.1 million for the three months ended September 30, 2024.
Previous wording
Bitcoin mining costs decreased by $1.1 million to $1.3 million for the three months ended June 30, 2025 from $2.4 million for the three months ended June 30, 2024 primarily due to the lower overall operating costs at the Oklahoma site as compared to third party hosting sites, and the idling of some mining machines during the quarter. Mining costs as a percentage of revenue decreased to 71.3% from 81.5% due to the overall lower operating costs of mining.
Current wording
Bitcoin mining costs increased by $0.5 million to $1.2 million for the three months ended September 30, 2025 from $0.7 million for the three months ended September 30, 2024 primarily due to an increase in the number of miners active at the Oklahoma and Mississippi sites as compared to third party hosting sites, and the idling of some mining machines during the prior year quarter. Mining costs as a percentage of digital mining revenue decreased to 58.6% from 64.8% due to the overall lower operating costs of mining.
Previous wording
Compensation costs for three months ended June 30, 2025 increased by $0.3 million to $1.1 million from $0.8 million for the three months ended June 30, 2024 primarily due to staff costs associated with the Oklahoma site and bonuses.
Current wording
Compensation costs for three months ended September 30, 2025 increased by $0.9 million to $2.5 million from $1.6 million for the three months ended September 30, 2024 primarily due to increased staff costs associated with the Oklahoma and Mississippi sites and performance compensation bonuses.
Previous wording
Professional fees for three months ended June 30, 2025 decreased by $0.2 million to $0.3 million from $0.5 million for the three months ended June 30, 2024 primarily due to reduced offering costs.
Current wording
Professional fees for three months ended September 30, 2025 decreased by $0.2 million to $0.4 million from $0.6 million for the three months ended September 30, 2024 primarily due to reduced offering and other legal costs.
Previous wording
Depreciation and amortization for three months ended June 30, 2025 increased by $0.1 million to $2.0 million from $1.9 million for the three months ended June 30, 2024 primarily due to intangible asset amortization related to the Oklahoma site.
Current wording
Depreciation and amortization for three months ended September 30, 2025 was relatively flat at $2.0 million compared to $1.9 million for the three months ended September 30, 2024 primarily due to stable fixed asset management.
Previous wording
Selling, general and administrative costs were $375 thousand and $196 thousand for the three months ended June 30, 2025 and 2024, respectively. The increase is related to travel costs associated with our Oklahoma facility and costs associated with improving the Oklahoma site.
Current wording
Selling, general and administrative costs were $0.4 million and $0.2 million for the three months ended September 30, 2025 and 2024, respectively. The increase is related to travel costs associated with our Oklahoma and Mississippi facilities, costs associated with improving both sites and increased proxy and investor related costs.
Previous wording
The Company recognized an unrealized loss on securities $131 thousand for the three months ended June 30, 2025 as compared to an unrealized loss of $1.9 million for the three months ended June 30, 2024 from the revaluation of Seastar Medical's common stock and private placement warrants.
Current wording
The Company recognized an unrealized gain on securities $16 thousand for the three months ended September 30, 2025 as compared to an unrealized loss of $347 thousand for the three months ended September 30, 2024 from the revaluation of Seastar Medical's common stock and private placement warrants.
Previous wording
The Company recognized $228 thousand of interest expense for the three months ended June 30, 2025 as compared to $37 thousand for the three months ended June 30, 2024 due to an increase in secured borrowings.
Current wording
The Company recognized $235 thousand of interest expense for the three months ended September 30, 2025 as compared to $124 thousand for the three months ended September 30, 2024 due to an increase in secured borrowings.
Previous wording
During the three months ended June 30, 2025, the Company generated a $60 thousand net income before income taxes and the Company increased its income tax valuation allowance by $0.1 million, which offset the Company’s incurred net income tax benefit of $0.1 million which resulted in no income tax expense being recognized for the three months ended June 30, 2025. During the three months ended June 30, 2024, the Company generated $6.2 million net loss before income taxes and the Company increased its income tax valuation allowance by $1.7 million, which offset the Company’s incurred net income tax benefit of $1.7 million, resulting in no income tax expense being recognized during the period.
Current wording
During the three months ended September 30, 2025, the Company generated a $3.7 million net loss before income taxes and the Company increased its income tax valuation allowance by $0.8 million, which offset the Company’s incurred net income tax benefit of $0.8 million which resulted in no income tax expense being recognized for the three months ended September 30, 2025. During the three months ended September 30, 2024, the Company generated $4.4 million net loss before income taxes and the Company increased its income tax valuation allowance by $1.2 million, which offset the Company’s incurred net income tax benefit of $1.2 million, resulting in no income tax expense being recognized during the period.
Previous wording
Net Loss Attributable to Non-Controlling Interest
Current wording
Net Income (Loss) Attributable to Non-Controlling Interest
Previous wording
The Company owns 69.5% of the equity interests of Sponsor. As such, there is a $40 thousand net loss for the three months ended June 30, 2025 attributable to the Non-Controlling Interest as compared to a $574 thousand net loss for the three months ended June 30, 2024.
Current wording
The Company owns 69.5% of the equity interests of Sponsor. As such, there is a $5 thousand net income for the three months ended September 30, 2025 attributable to the Non-Controlling Interest as compared to a $105 thousand net loss for the three months ended September 30, 2024.
Previous wording
During the three months ended June 30, 2025, net income attributable to LM Funding America, Inc. was $0.1 million as compared to net loss of $5.6 million for the three months ended June 30, 2024.
Current wording
During the three months ended September 30, 2025, net income attributable to LM Funding America, Inc. was $3.7 million as compared to net loss of $4.3 million for the three months ended September 30, 2024.
Previous wording
During the six months ended June 30, 2025, total revenues decreased by $3.5 million, to $4.3 million from $7.8 million for the six months ended June 30, 2024.
Current wording
During the nine months ended September 30, 2025, total revenues decreased by $2.5 million, to $6.5 million from $9.0 million for the nine months ended September 30, 2024.
Previous wording
Digital mining revenue decreased in the six months ended June 30, 2025 by $3.4 million to $4.1 million from $7.5 million for the six months ended June 30, 2024.
Current wording
Digital mining revenue decreased in the nine months ended September 30, 2025 by $2.5 million to $6.1 million from $8.6 million for the nine months ended September 30, 2024.
Previous wording
Bitcoin mining revenues are determined by two main drivers: quantity of Bitcoin mined and the price of Bitcoin on the date the Bitcoin is mined. During the three months ended June 30, 2025, we mined 18.4 Bitcoin with an average Bitcoin price of approximately $98 thousand as compared to 44.1 Bitcoin with an average Bitcoin price of approximately $66 thousand during the three months ended June 30, 2024. The decrease in Bitcoin mining revenue for the three months ended June 30, 2025 was attributable to the reduction in the number of Bitcoins mined during the period due to the halving event in April 2024, machines that were being relocated from hosting sites, the increased difficulty rate, which reduced our share of the global hashrate, offset in part by the increase in Bitcoin prices.
Current wording
Bitcoin mining revenues are determined by two main drivers: quantity of Bitcoin mined and the price of Bitcoin on the date the Bitcoin is mined. During the nine months ended September 30, 2025, we mined 60.3 Bitcoin with an average Bitcoin price of approximately $101 thousand as compared to 149 Bitcoin with an average Bitcoin price of approximately $58 thousand during the nine months ended September 30, 2024. The decrease in Bitcoin mining revenue for the nine months ended September 30, 2025 was attributable to the reduction in the number of Bitcoins mined during the period due to the halving event in April 2024, machines that were being relocated from various hosting sites, the increased difficulty rate, which reduced our share of the global hashrate, offset in part by the increase in Bitcoin prices.
Previous wording
During the six months ended June 30, 2025, operating expenses increased $2.1 million to $9.0 million from $11.1 million for the six months ended June 30, 2024. The increase in operating expenses is primarily due to the following factors:
Current wording
During the nine months ended September 30, 2025, operating expenses decreased $1.6 million to $14.7 million from $16.3 million for the nine months ended September 30, 2024. The decrease in operating expenses is primarily due to the following factors:
Previous wording
The fair market adjustment on mined digital assets resulted in a gain of $2.0 million for the six months ended June 30, 2025 compared to a gain of $3.0 million for the six months ended June 30, 2024.
Current wording
The fair market adjustment on mined digital assets resulted in a gain of $3.0 million for the nine months ended September 30, 2025 compared to a gain of $3.1 million for the nine months ended September 30, 2024.
Previous wording
Bitcoin mining costs decreased by $2.2 million to $2.8 million for the six months ended June 30, 2025 from $5.0 million for the six months ended June 30, 2024 primarily due to the lower overall operating costs at our Oklahoma site as compared to third party hosting sites, and the idling of some mining machines during 2025. Mining costs as a percentage of revenue increased to 69.5% from 66.9% primarily due to the lower relative number of Bitcoin mined as compared to the prior year and the idling of mining machines.
Current wording
Bitcoin mining costs decreased by $1.7 million to $4.0 million for the nine months ended September 30, 2025 from $5.7 million for the nine months ended September 30, 2024 primarily due to the lower overall operating costs at our Oklahoma and Mississippi sites as compared to third party hosting sites, and the idling of some mining machines during 2025. Mining costs as a percentage of digital mining revenue decreased to 65.9% from 66.6% primarily due to the lower costs to mine and the relative number of Bitcoin mined as compared to the prior year and the idling of mining machines.
Previous wording
Compensation from curtailment and energy sales was $0.4 million for the six months ended June 30, 2025 compared to nil for the six months ended June 30, 2024.
Current wording
Compensation from curtailment and energy sales was $0.5 million for the nine months ended September 30, 2025 compared to nil for the nine months ended September 30, 2024.
Previous wording
Professional fees for six months ended June 30, 2025 decreased by $0.3 million to $0.7 million from $1.0 million for the six months ended June 30, 2024 primarily due to reduced offering costs.
Current wording
Professional fees for nine months ended September 30, 2025 decreased by $0.5 million to $1.1 million from $1.6 million for the nine months ended September 30, 2024 primarily due to reduced offering and legal costs.
Previous wording
Depreciation and amortization for six months ended June 30, 2025 increased by $0.2 million to $4.1 million from $3.9 million for the six months ended June 30, 2024 primarily due to intangible asset amortization related to our Oklahoma site.
Current wording
Depreciation and amortization for nine months ended September 30, 2025 increased by $0.2 million to $6.0 million from $5.8 million for the nine months ended September 30, 2024 primarily due to intangible asset amortization related to our Oklahoma and Mississippi sites.
Previous wording
Selling, general and administrative costs increased by $0.3 million to $0.7 million for the six months ended June 30, 2025 from $0.4 million for the six months ended June 30, 2024 due to costs associated with the Oklahoma site.
Current wording
Selling, general and administrative costs increased by $0.5 million to $1.1 million for the nine months ended September 30, 2025 from $0.6 million for the nine months ended September 30, 2024 due to costs associated with the Oklahoma and Mississippi sites.
Previous wording
During the six months ended June 30, 2024 the Company incurred a $1.2 million impairment on mining equipment related to machines disposed in April 2024. There was no impairment loss for the six months ended June 30, 2025.
Current wording
During the nine months ended September 30, 2024 the Company incurred a $1.2 million impairment on mining equipment related to machines disposed in April 2024. There was no impairment loss for the nine months ended September 30, 2025.
Previous wording
Loss on disposal of mining equipment was $286 thousand and $42 thousand for the six months ended June 30, 2025 and 2024, respectively.
Current wording
Loss on disposal of mining equipment was $286 thousand and $55 thousand for the nine months ended September 30, 2025 and 2024, respectively.
Previous wording
The Company recognized an unrealized loss on securities $157 thousand for the six months ended June 30, 2025 as compared to an unrealized loss of $506 thousand for the six months ended June 30, 2024 from the revaluation of Seastar Medical's common stock and private placement warrants.
Current wording
The Company recognized an unrealized loss on securities $140 thousand for the nine months ended September 30, 2025 as compared to an unrealized loss of $853 thousand for the nine months ended September 30, 2024 from the revaluation of Seastar Medical's common stock and private placement warrants.
Showing the first 40 of 49 pairs. Open the source sections for the rest.
Rearranged current paragraphs (1)
Current report — wording carried from elsewhere
We acquired the Mississippi mining site on September 16, 2025 which is able to use 11 MW of power. As of September 30, 2025, we have approximately 2,330 installed mining machines at this location which have a total projected hashrate of 228 PH. We have another approximately 490 mining machines in storage at the Mississippi site.
Rearranged previous paragraphs (1)
Previous report — wording carried elsewhere
As of June 30, 2025 and December 31, 2024, we held approximately 156 and 150 Bitcoin, respectively. The carrying value of our Bitcoin as of June 30, 2025 and December 31, 2024 was approximately $16.7 million and $14.0 million, respectively, on our consolidated balance sheet.