Greenridge expects the merger to make it the first self-sufficient power generating bitcoin mining operation to the stock market.
Greenidge Generation Holdings Inc, parent company of Greenidge Generation LLC, a vertically-integrated bitcoin mining operation, announced today that it plans to go public via a merger with Support.com (Nasdaq: SPRT). The agreement would be the first to bring a self-sufficient power generating bitcoin mining operation to the stock market, according to the release.
“This merger is an important next step for Greenidge as we build upon our existing, integrated and proven platform for bitcoin mining and generation of lower carbon affordable power,” said Greenidge’s CEO Jeff Kirt in the release.
By integrating the power generation aspect of bitcoin mining into their business, Greenidge sidesteps the energy variables that traditionally complicate bitcoin mining.
“The Company also boasts low fixed costs shared between its power generation and bitcoin mining operations. In addition, Greenidge’s Upstate New York location provides access to some of the lowest-cost natural gas in North America, resulting in an average mining power cost of approximately $22/MWh,” states the press release.
As bitcoin mining grows in North America, it increasingly incentivizes energy producers like Greenidge to allocate excess resources to an economically rewarding practice like mining. The plant Greenidge operates is capable of generating 106 megawatts (MW) via natural gas; currently, 19 MW is directed to mining capacity, to be expanded to 85 MW by the end of 2022, according to the press release.
The merger would contribute to a growing list of public entities converting excess power to bitcoin mining — and would be the first in which the entire operation, from energy generation to the mining process, is owned by the same private firm.