Bit Digital Flags Accounting Error That’s Snagging Crypto Miners

Bitcoin miner Bit Digital Inc. said Thursday it would have to restate several past financial statements to correct errors in how it calculated losses on its crypto holdings—the same accounting problem that tripped up two other crypto miners in recent weeks.

The New York-based company used Bitcoin’s closing price at a standard cutoff time to determine whether its Bitcoin stash was impaired, but it should have used the intraday low price, it said in a securities filing. That metric “is the most accurate indicator whenever events or changes indicate it is more likely than not that the asset is ...