{
  "docId": "019dd923-622c-750b-8b98-35d42f5356ae",
  "docSlug": "17a1b24c3cc8",
  "documentTitle": "Riot Platforms, Inc. (RIOT)",
  "authorId": "53_Kerrisdale_Capital",
  "authorName": "Kerrisdale Capital",
  "documentKindSlug": "research-note",
  "documentKindLabel": "Research note",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2024-06-01 00:00:00",
  "orientation": "portrait",
  "aspectRatio": 0.77272725,
  "pageNumber": 10,
  "pageCount": 19,
  "prevPage": 9,
  "nextPage": 11,
  "slideType": "research-note",
  "function": "expose_contradiction",
  "density": "balanced",
  "nDataPoints": 6,
  "notes": "The slide argues that Riot's participation in ancillary market programs is economically suboptimal compared to their PPA, suggesting operational constraints (substandard infrastructure) are the real reason for their behavior.",
  "elementsJson": [
    "paragraph"
  ],
  "metadataConfidence": 0.95,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b98-35d42f5356ae/10",
  "deckHref": "/decks/019dd923-622c-750b-8b98-35d42f5356ae",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b98-35d42f5356ae.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b98-35d42f5356ae#slide-10",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "Based on interviews with an industry participant and a former Rockdale mining technician, we believe Rockdale lacks the proper infrastructure and facility design to curtail as effectively as it should.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-ee37-76cb-846f-fc2f8d57cd25",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.3,
        "w": 0.78,
        "x": 0.11,
        "y": 0.64
      },
      "kind": "paragraph",
      "text": "Critique of Rockdale's facility design, citing air-cooled infrastructure issues, heat management problems, and operational failures.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "40051c32-e0bf-4192-84d8-cff66cc623e8",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.45,
        "w": 0.78,
        "x": 0.11,
        "y": 0.09
      },
      "kind": "paragraph",
      "text": "Analysis of Riot's PPA with TXU, demand response revenue, and the economic rationale behind their curtailment strategy.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "712b80fb-156e-4b1e-bfdb-e784c8c19c18",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "Curtailment requests from ERCOT are rare, less than 3% of the time according to Marathon Digital's CEO (and confirmed in our conversations with other industry participants).",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd952-ee37-76cb-8470-03d10acada1f",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.25,
        "x": 0.11,
        "y": 0.6
      },
      "kind": "title",
      "text": "Substandard Operations",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "7bfa8fbc-0608-4989-9929-4e0d52abd284",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [],
  "arcBeats": [
    {
      "to": 12,
      "from": 8,
      "beatId": "b50b0eda-2b1d-4747-8258-aa2f18a24db0",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Agitate (Make it worse)",
      "beatSlug": "problem-agitate-solution-agitate-make-it-worse",
      "evidence": "The document agitates the problems by highlighting Riot's poor EBITDA profitability, high ATM issuance, and comparison to peers.",
      "position": 1,
      "confidence": 0.8,
      "parentBeatName": "Development",
      "parentBeatSlug": "development"
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}