The Block research analyst Matt Yamamoto recently published an article on Blockstack , which estimates that Blockstack's annual cash consumption is more than $ 20 million, and its capital is $ 30 million, which makes it impossible for them to have a runway before the end of 2021 .
Blockstack then issued a statement stating that third-party reports of the company's unaudited financial statements for the first half of 2019 were “ inaccurate and misleading ” . The statement said that the profit and loss statement for the first half of 2019 showed operating expenses of $ 10.2 million, including ( a ) $ 3.3 million in non-cash expenses and ( b ) one-time expenses. The figure of $ 10.2 million should not be confused with the consumption during the first half of 2019 or the next half year.
Matt Yamamoto released a series of tweets that insisted on his own point of view, saying " Time will prove when Blockstack starts to raise new funds. "
TechCrunch founder Michael Arrington commented that The Block 's rebuttal seems to imply that " ( Blockstack ) they are lying, " which is a considerable accusation. Blocksetack co-founder Muneeb Ali replied that this was either a basic misunderstanding of accounting or a deliberate misinterpretation to produce sensational content. For both a research and news media, both options look bad.