Settling $21M Greenidge Debt, Sells 44MW Bitcoin Mining Site to NYDIG

Settling $21M Greenidge Debt, Sells 44MW Bitcoin Mining Site to NYDIG

Greenidge debt Generation Holdings has eliminated $21.8 million in secured debt and sold its bitcoin mining facility in South Carolina to NYDIG. The company explained that this action strengthens Greenidge’s financial stability and increases its liquidity.

Greenidge’s bitcoin mining hosting division mined 1,542 BTC in the initial three quarters for NYDIG. The completion of a transaction involving the sale of its South Carolina bitcoin mining site to NYDIG allowed Greenidge to settle the remaining $21 million in secured debts.

The New York-based power generator and mining operation disclosed that it will keep around 153 acres in Spartanburg for potential future expansion after transferring 22 acres of developed mining facilities to NYDIG.

Greenidge Debt Reduction

With this recent transaction, Greenidge claims to have reduced its debt by $85.3 million in 2023, constituting over 54% of its total debt. However, it still holds $72 million in unsecured debt, maturing in 2026.

NYDIG’s bitcoin mining business is expected to become more vertically integrated with this infrastructure acquisition, following a trend that commenced in 2022, where NYDIG acquired miners from various struggling mining firms.

Crypto Market Downturn

Facing the crypto market downturn in December 2022, Greenidge initiated debt restructuring efforts with NYDIG to avoid bankruptcy. In January, Greenidge transferred 2.8 EH/s of bitcoin miners to NYDIG, adjusting outstanding loans to $21 million.

This led to a shift in its business model, providing hosting services for NYDIG’s miners and reducing its proprietary hash rate to 1.1 EH/s.

By August, another agreement was signed, with Greenidge transferring its 44-megawatt site in Spartanburg to extinguish the remaining $21 million debt.

NYDIG continued to accumulate miners from other firms undergoing debt restructuring, totaling at least another 9 EH/s of bitcoin miners since 2022.

Bitcoin Mining Hosting Segment

Greenidge’s earnings reports for this year reveal that its bitcoin mining hosting segment mined 393 BTC, 527 BTC, and 622 BTC in the first three quarters, respectively, on behalf of NYDIG. The cost of revenue for its mining colocation segment was $50/mWh during Q3.

U.S. shipment records suggest that NYDIG imported S19XPs, estimated at around 10,000 units in June.

Change of leadership

Recently, Greenidge announced a change in leadership, with Jordan Kovler replacing David Anderson as the new CEO, while Anderson assumes the role of chairman of the board, replacing Timothy Fazio, who remains a board director.


To conclude, Greenidge Holdings has successfully settled a $21 million debt by selling its 44MW bitcoin mining site in South Carolina to NYDIG. This transaction not only eases financial burdens for Greenidge but also underlines the company’s commitment to optimizing its financial stability and liquidity.

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