Greenidge Generation, Crypto Miner Stocks Fall After NY Passes Bill
June 03 2022 - 5:14PM
Dow Jones News
By Will Feuer
Shares of Greenidge Generation Holdings Inc. and other
cryptocurrency mining stocks fell after New York lawmakers approved
a two-year moratorium on reactivating fossil-fuel power plants for
off-the-grid cryptocurrency mining.
Greenidge Generation, which operates two crypto mining
facilities, one of which is in Dresden, N.Y., said in a statement
that the bill, if signed into law, wouldn't affect the company's
operations.
"The bill language plainly states, and the bill's original
sponsor has confirmed, that the legislation will not apply to
Greenidge's operations," the company said, explaining that its
operations would be grandfathered in.
"Specifically, Section 7 of the bill text reads: 'This act shall
take effect immediately and shall apply to all permits or renewal
applications filed after such date,'" the company added. Greenidge
Generation filed a renewal application for its operations in New
York on March 5.
Nonetheless, shares of Greenidge touched a 52-week low of $4.19
a share and closed Friday at $4.28 a share, down almost 8% for the
day.
Other crypto mining companies took a hit, too, likely over
concerns that the bill could set a precedent that other states will
follow.
Shares of Marathon Digital Holdings Inc. closed almost 6% lower
while Hut 8 Mining Corp fell almost 4%. Riot Blockchain Inc. fell
nearly 10% after the company said Thursday that it sold 250
Bitcoin, more than half the Bitcoin that the company mined in May,
for about $7.5 million.
Write to Will Feuer at Will.Feuer@wsj.com
(END) Dow Jones Newswires
June 03, 2022 16:59 ET (20:59 GMT)
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