GRIID's Bitcoin Mining Shares Plunge Post-Nasdaq Listing

• Bitcoin Mining Company GRIID Infrastructure Sees Share Prices Fall After Nasdaq Debut
• Initial Performance of GRIID on Nasdaq
• Background of GRIID's Public Listing
• Current State and Future Plans of GRIID

Bitcoin Mining Company GRIID Infrastructure Sees Share Prices Fall After Nasdaq Debut

Bitcoin$42,260 -0.64% mining company GRIID Infrastructure (GRDI) saw their share prices fall for two consecutive days after finishing their listing process on Nasdaq earlier this week. This follows their merger with the special purpose acquisition company (SPAC) Adit EdTech Acquisition Corp.

Initial Performance of GRIID on Nasdaq

Shortly after GRIID's Nasdaq debut on Monday, share prices were trading at around $7.30, marking a 24% decline from its opening price of $9.66. By the end of the day, GRDI shares dropped by 43% or $5.47 per share. On Tuesday, the shares saw a further drop of as much as 17% before they managed to recover some of the losses. At the time of note, GRDI was down by about 3%.

Background of GRIID's Public Listing

The company first expressed its plans to go public during the bull market of 2021 when the combined enterprise value of both companies was approximately $3.3 billion. These miners, whose revenue primarily comes from the digital currency they mine, were significantly impacted during the recent crypto winter. GRIID postponed its public listing during the bear market and finally made it public this year as the digital assets industry began to recover from the bear market.

As of December 29, with 65 million outstanding shares, the company's market cap stands around $322 million.

Current State and Future Plans of GRIID

Founded in 2018, GRIID entered the public domain at a time when the mining industry is set to face more competition due to the upcoming bitcoin halving event in April. To stay profitable when the halving event reduces the mining rewards by half, miners are investing in fleet expansion and upgrades to become more efficient, with the lowest cost companies reaping the most benefits.

Currently, GRIID boasts 68 megawatts (MW) of electrical capacity and operates out of Watertown, New York, and Limestone, Maynardville, and Lenoir City, Tennessee. As per its latest filing, the company plans to increase its capacity to 436MW by the end of 2024.

Edited by Jonathan Stoker