Bitget App
Trade smarter
Open
HomepageSign up
Bitget>
News>
Markets>
Bitcoin News Update: Greenidge Transitions to AI as Bitcoin Mining Faces Rising Expenses and Regulatory Challenges

Bitcoin News Update: Greenidge Transitions to AI as Bitcoin Mining Faces Rising Expenses and Regulatory Challenges

Bitget-RWA2025/11/28 20:12
By: Bitget-RWA
- Greenidge Generation , a Bitcoin miner, shifts to AI/HPC amid industry cost and regulatory pressures. - Bitcoin mining profitability declines as hashrate hits 1.16 ZH/s and hash prices fall below $35. - Companies like Bitfarms abandon Bitcoin for AI/HPC, while CleanSpark reports $766M mining revenue surge. - Regulatory scrutiny intensifies over foreign mining hardware, with BlockQuarry promoting domestic alternatives. - Energy costs and debt disputes force Tether to halt Uruguayan mining, highlighting se

Greenidge Generation Faces Industry Headwinds Amid Shifting Crypto Landscape

Greenidge Generation, a Bitcoin mining company that previously made headlines for its 2021 merger plans with Support.com, is once again in the spotlight as the cryptocurrency mining sector undergoes significant changes. While Greenidge, which operates mining facilities in partnership with NYDIG, has not been implicated in any recent operational incidents according to available reports, the entire industry is grappling with mounting economic and regulatory challenges.

Profitability Pressures Intensify

The profitability of Bitcoin mining has come under severe pressure as the network’s hashrate soared to an unprecedented 1.16 ZH/s in October 2025. At the same time, Bitcoin’s value has fallen back toward $81,000.

Bitcoin Mining Chart

This combination of rising competition and declining prices has pushed hash rates below $35 per hash, leaving many operators close to their breakeven points. For companies like Greenidge that depend on energy-intensive infrastructure, escalating power costs and regulatory ambiguity are adding to the strain.

Industry Shifts Toward AI and High-Performance Computing

Many mining firms are now exploring new directions, particularly in artificial intelligence and high-performance computing (HPC). Bitfarms, for example, has announced plans to fully transition to AI HPC by fiscal year 2027, moving away from Bitcoin mining altogether. Meanwhile, CleanSpark reported record-breaking results for FY2025, with Bitcoin mining revenues climbing to $766 million. These strategic pivots highlight a broader movement within the sector to diversify income sources in response to Bitcoin’s volatility.

Regulatory and Security Challenges

Regulatory scrutiny and security risks are further complicating the environment. A federal probe known as Operation Red Sunset has brought attention to the dangers of relying on foreign-manufactured mining hardware. In response, BlockQuarry Corp. is promoting its domestically produced BLQCBuster™ miners as a safer alternative for the industry.

Energy Costs and Operational Risks

Energy expenses remain a pivotal concern, as demonstrated by Tether’s recent decision to halt its Bitcoin mining operations in Uruguay. The stablecoin provider attributed this move to unsustainable electricity rates and a $4.8 million dispute with the state utility UTE. This development underscores how sensitive mining operations are to fluctuations in energy pricing and regulatory policies—factors that could also affect Greenidge’s future.

Institutional Interest and Financial Hurdles

Despite these obstacles, institutional investors continue to show interest in the sector. J.P. Morgan’s recent upward revision of price targets for companies like CleanSpark and Cipher Mining triggered a short-term surge in their stock prices, reflecting optimism about the potential of long-term HPC and cloud computing contracts. Nevertheless, the road to profitability remains challenging, with mining equipment payback periods now exceeding 1,200 days and financing costs on the rise across the industry.

Outlook for Greenidge Generation

Greenidge’s prospects will depend on its ability to adapt to these evolving conditions. Although there is no evidence of a fire at its facilities in the referenced materials, the company’s future will be shaped by how effectively it can reposition itself in a rapidly changing market. As more miners shift their focus to AI and HPC, Greenidge’s collaboration with NYDIG could provide a viable path forward—assuming it can secure competitive energy rates and navigate regulatory complexities.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

Zcash (ZEC) Price Rally: Uncovering the Factors Behind the Revival of Privacy-Focused Cryptocurrencies

- Zcash (ZEC) surged 1,100% in late 2025 to $9.24B market cap, driven by institutional adoption and regulatory adaptability. - Grayscale's Zcash ETF filing and investments from firms like Reliance Global Group highlight growing institutional legitimacy for privacy coins. - Zcash's zk-SNARKs technology enables optional transparency, aligning with EU compliance demands while preserving privacy ahead of 2027 privacy coin phaseout. - The 2025 halving reduced supply inflation to single digits, reinforcing Zcash

Bitget-RWA2025/11/30 18:20
Ethereum Updates: Institutional ETF Investments Indicate Ethereum's Rise to $3,200

- Ethereum (ETH) eyes $3,200 rebound as stablecoin yields decline and market dynamics shift, supported by Santiment’s analysis of 3.9-4.5% lending rates indicating non-overheated conditions. - ETH ETF inflows reversed after three weeks, with BlackRock’s ETHA fund driving $88.22M entry amid post-October price dips and regulatory clarity improvements. - Technical indicators like the ETH-BTC "bullish ribbon flip" and Crypto Fear & Greed Index moving from "extreme fear" to "fear" signal cautious optimism and r

Bitget-RWA2025/11/30 18:02
Securitize Gains EU License, Connecting Blockchain Finance Between the U.S. and Europe

- Securitize secures EU regulatory approval to operate blockchain-based trading/settlement systems, becoming the first firm licensed in both EU and US for digital securities infrastructure. - The Avalanche-powered platform enables sub-second settlements across 27 EU states, supporting tokenized equities, debt, and funds while bridging U.S.-EU capital markets. - This milestone validates blockchain's role in institutional finance, with AVAX surging past $15 as Avalanche's institutional-grade infrastructure g

Bitget-RWA2025/11/30 18:02
Ethereum News Update: Institutional Investors Acquire 3% of Ethereum’s Total Supply While Valuation Models Indicate a 57% Undervaluation

- Ethereum price holds above $2,900 amid $96.67M net inflows into U.S. spot ETFs, led by BlackRock’s $92.6M contribution ending an eight-day outflow streak. - Institutional buyers like BitMine added 69,822 ETH ($200M), now holding 3% of total supply, while adopting "dip-buying" strategies aligned with Tom Lee’s "supercycle" thesis. - Valuation models estimate Ethereum’s fair value at $4,747 (56.9% undervalued), with DCF and Metcalfe’s Law models suggesting 200-217% undervaluation despite mixed P/E signals.

Bitget-RWA2025/11/30 18:02

Trending news

More
1
Zcash (ZEC) Price Rally: Uncovering the Factors Behind the Revival of Privacy-Focused Cryptocurrencies
2
Ethereum Updates: Institutional ETF Investments Indicate Ethereum's Rise to $3,200

Crypto prices

More
Bitcoin
Bitcoin
BTC
$91,298.69
+1.00%
Ethereum
Ethereum
ETH
$3,034.93
+2.01%
Tether USDt
Tether USDt
USDT
$1
-0.07%
XRP
XRP
XRP
$2.2
-0.05%
BNB
BNB
BNB
$895.27
+2.54%
Solana
Solana
SOL
$138.15
+1.53%
USDC
USDC
USDC
$0.9999
-0.05%
TRON
TRON
TRX
$0.2827
+0.63%
Dogecoin
Dogecoin
DOGE
$0.1499
+1.35%
Cardano
Cardano
ADA
$0.4244
+2.56%
How to buy BTC
Bitget lists BTC – Buy or sell BTC quickly on Bitget!
Trade now
Become a trader now?A welcome pack worth 6200 USDT for new users!
Sign up now
Trade smarter