Greenidge Generation, Crypto Miner Stocks Fall After NY Passes Bill

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 [e-mail]

(END) Dow Jones Newswires

June 03, 2022 16:59 ET (20:59 GMT)

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