Greenidge Sells Mississippi Mining Facility Due to Losses
Date: 2025-08-08 Author: Oliver Abernathy Categories: BUSINESS
According to documents filed with the SEC, the buyer of the asset is U.S. Digital Mining Mississippi, an affiliate of publicly traded mining firm LM Funding America. The deal does not include the warehouse space or the equipment itself, which will be sold separately. The deal is scheduled to close on September 16.
The mining facility opened in July 2024. At that time, Greenidge installed 2,400 ASIC devices and gained access to 8.5 MW of power. The company planned to increase the capacity by another 25 MW within a year, but the project turned out to be unprofitable. According to The Miner Mag, the facility has since failed to meet profitability expectations.
Greenidge has been struggling financially since 2021, when active expansion through loans and equipment purchases led to an increase in debt. The situation worsened after the halving in 2024 - revenues fell, despite the fact that the price of bitcoin remains above $ 116,000, and the hash price remains at historical highs.
Additional pressure on the industry was exerted by the duties imposed by the Donald Trump administration on August 7. According to Luxor Technology COO Ethan Vera, the United States has become one of the least attractive countries for importing cryptocurrency mining equipment. He noted that the new tariffs could slow down the development of crypto mining in the country.
Against the backdrop of the deteriorating situation in the United States, some companies are considering alternative paths. For example, British Union Jack Oil announced plans to use a gas field in East Yorkshire to mine bitcoin. The project is being implemented jointly with Texas-based 60 Energy. The gas on site will be used to generate electricity to power the mining equipment.
The deposit is estimated to hold 200 billion cubic feet of reserves. Union Jack Oil believes that using such a resource for mining will bring high profitability and will allow for the efficient use of gas that would otherwise remain unclaimed. If the project is successful, the company is considering creating its own bitcoin reserves.
Meanwhile, the largest equipment manufacturers are not stopping. In July, Bitmain announced the opening of its first plant in the United States, and Canaan has also made a similar move, expanding its presence in the American market.
