The9's second-quarter net income rose to $32.4 million from $22.6 million in the first quarter, driven primarily by a $47.2 million fair-value gain on 9BIT tokens and $11.1 million in cryptocurrency rewards. The Nasdaq-listed company reported $712,000 of revenue, no cryptocurrency-mining revenue and a $13.4 million operating loss. The combined $58.3 million token-related contribution exceeded quarterly net income and rose from $37.6 million in the first quarter, while the operating loss narrowed by less than $1 million. The reward and fair-value gain were recorded below operating income or loss, flowed through net income and generated no cash for The9's businesses. The result met the second-quarter growth condition under a long-term management incentive plan that could make senior management eligible for equity awards representing up to 12% of outstanding shares. The awards remain conditional on future results, multi-year vesting and a three-year lock-up.