Binance Research(@BinanceResearch):The key paradox is that these six neocloud companies generate gross margins of 40–77%, yet ROA and ROIC remain at or below zero. The challenge is the cost of capital-intensive infrastructure, GPU depreciation and interest expenses on debt-funded expansion, can absorb much of the gross profit before it translates into positive returns.

Binance Research

@BinanceResearch

Providing institutional-grade analysis, in-depth insights, and unbiased information to all participants in the digital asset industry.

Joined April 2018

81 Following 450.4K Followers

Binance Research@BinanceResearch

2026.10.22 09:31

The key paradox is that these six neocloud companies generate gross margins of 40–77%, yet ROA and ROIC remain at or below zero. The challenge is the cost of capital-intensive infrastructure, GPU depreciation and interest expenses on debt-funded expansion, can absorb much of the gross profit before it translates into positive returns.