Stronghold Digital Mining Inc. agreed to pay $4.75 million in US currency, and a monthly bitcoin stipend, to settle allegations it overhyped its crypto mining capabilities.
Stronghold’s share price fell 32% on Mar. 30, 2022, when it announced that a crypto mining capacity shortfall prevented it from reaching its revenue goals. Shareholders alleged that the failure rendered some statements in its offering materials false and misleading, according to court documents from the US District Court for the Southern District of New York.
According to the proposed settlement, Stronghold would pay the US dollar value of 25 bitcoins over 24 months—this ...
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