<p>Crypto lender BlockFi is looking to sell $160 million in bitcoin mining machine-backed loans amid its bankruptcy process.</p> <p>The bidding started last year and some of the loans may be under-collateralized due to the decline in machine prices, unnamed sources told <a href="https://www.bloomberg.com/news/articles/2023-01-23/bankrupt-lender-blockfi-to-sell-bitcoin-mining-backed-loans">Bloomberg</a>.</p> <p>The price of mining rigs fell more than 80% over the course of last year as the decline in bitcoin prices and the spike in power costs squeezed mining margins.</p> <p><iframe frameborder="0" height="420" src="https://embed.theblockcrypto.com/data/on-chain-metrics/bitcoin/bitcoin-asic-price-index/embed" title="Bitcoin ASIC Price Index" width="100%"></iframe></p> <p>BlockFi was a major lender in the mining sector, although mining only accounts for a minority of the firm's business, as its Chief Risk Officer Yuri Mushkin <a href="https://www.theblock.co/post/180546/massmutual-blockfi-are-among-bitcoin-miner-core-scientifics-biggest-creditors">told The Block</a> in October. It has not underwritten any new loans to miners since the spring of 2022, Mushkin said.</p> <p>Miners have been struggling with the biggest player, Core Scientific, <a href="https://www.theblock.co/post/196925/core-scientific-files-chapter-11-bankruptcy">filing for Chapter 11 bankruptcy</a> in December. Meanwhile, Argo Blockchain <a href="https://www.theblock.co/post/198067/argo-blockchain-to-sell-helios-mining-facility-to-galaxy-digital">sold its flagship facility</a> in Texas to Galaxy Digital for $65 million.</p><br /><span class="copyright"><p>© 2023 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.</p> </span>