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NOTES PAYABLE (Tables)
 12 Months Ended
Dec. 31, 2023
Debt Disclosure [Abstract]  
Schedule of Notes Payable
Notes payable as of December 31, 2023 and 2022 consist of the following (in thousands):

Stated Interest Rate
Effective Interest Rates
MaturitiesDecember 31, 2023December 31, 2022
Kentucky note5.0%5.0%2023$529 $529 
NYDIG loan
11.0% - 15.0%
11.0% - 17.0%
Various— 38,573 
Stockholder loan10.0%20.0%202310,000 10,000 
Trinity loan11.0%11.0%202423,356 23,356 
Bremer loan5.5%5.6%202618,331 18,331 
Blockfi loan
9.7% - 13.1%
10.1% - 13.1%
202353,913 53,913 
Anchor Labs loan12.5%12.5%202425,159 25,159 
Mass Mutual Barings loans
9.8% - 13.0%
9.8% - 13.0%
202563,844 63,844 
B. Riley Bridge Notes7.0%7.0%202341,777 41,777 
Liberty loan10.6%10.6%20246,968 6,968 
Secured Convertible Notes1
10.0%10.0%2025237,584 237,584 
Other Convertible Notes2
10.0%10.0%2025322,396 322,396 
Original DIP Credit Agreement3
10.0%10.0%2023— 35,547 
Replacement DIP Credit Agreement4
10.0%10.0%
2024
4,273 — 
HMC note
5.0%15.0%
2026
14,208 — 
ACM financing—%15.0%
2025
6,519 — 
First Insurance loan—%7.6%
2024
2,538 — 
Trilogy note
5.0%15.0%20262,927 — 
Didado note
5.0%15.0%202713,000 — 
Harper note
5.0%15.0%20264,678 — 
Other2,453 2,960 
Notes payable, prior to reclassification to Liabilities subject to compromise854,453 880,937 
Less: Notes payable in Liabilities subject to compromise5
41,777 844,695 
Less: Unamortized discount and debt issuance costs - post-petition6
4,236 — 
Total notes payable, net808,440 36,242 
Less: current maturities
124,358 36,242 
Notes payable, net of current portion
$684,082 $— 
1 Secured Convertible Notes includes principal balance at issuance and PIK interest.
2 Other Convertible Notes includes principal balance at issuance and PIK interest.
3 Original DIP Credit Agreement, see Note 3 - Chapter 11 Filing and Other Related Matters for further information.
4 Replacement DIP Credit Agreement, see Note 3 - Chapter 11 Filing and Other Related Matters for further information.
5 In connection with the Company's Chapter 11 Cases, $41.8 million and $844.7 million of outstanding notes payable have been reclassified to Liabilities subject to compromise in the Company's Consolidated Balance Sheets as of December 31, 2023 and 2022, respectively, at their expected allowed amount. As of December 31, 2023 and 2022, $0.6 million and $12.6 million, respectively, of accrued interest was classified as Liabilities subject to compromise.
6 As a result of the Company's Chapter 11 Cases, the Company expensed $3.5 million of unamortized discount and debt issuance costs, net recorded in Reorganization items, net in the year ended December 31, 2022.
On the Effective Date, pursuant to the Plan of Reorganization, the Company issued the following debt instruments, which are defined and described in further detail below (in thousands):
Principal Balance
Exit Credit Agreement
$61,200 
Secured Notes Indenture$150,000 
Secured Convertible Notes Indenture
$260,000 
Miner Equipment Lender Agreements
$52,947 
Schedule of Fair Value Adjustments and Debt Issuance Costs The following summarizes the fair value adjustments and debt issuance costs recognized on the Convertible Notes for the year ended December 31, 2022 (in thousands):
Year Ended December 31,
Financial statement line item2022
Cash interest paymentsInterest expense, net$21,581 
Payment-in-kind (PIK) interestInterest expense, net31,550 
Instrument-specific credit riskOther comprehensive income, net of income taxes(83,579)
Other fair value adjustmentsFair value adjustment on convertible notes(103,274)
Reclass to Reorganization items, netReorganization items, net202,900 
Total fair value adjustments$69,178 
Debt issuance costsReorganization items, net$2,788