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EQUITY BASED COMPENSATION
 12 Months Ended
Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]  
EQUITY BASED COMPENSATION EQUITY BASED COMPENSATION
Equity Incentive Plans
In February 2021, the Company adopted the Greenidge Generation Holdings Inc 2021 equity incentive plan (the "2021 Equity Plan") and reserved 3,831,112 shares of class A common stock for issuance. The maximum number of shares of class A common stock that may be issued pursuant to awards granted under the 2021 Plan is 3,831,112 shares (after taking into account the 4-to-1 forward stock split that occurred on March 16, 2021). At December 31, 2022, 1,168,228 shares of class A common stock remain available for issuance under the 2021 Plan. Awards that may be granted include: (a) incentive stock options, (b) non-qualified stock options, (c) stock appreciation rights, (d) restricted awards (which include restricted stock and restricted stock units), (e) performance share awards, and (f) performance compensation awards.
In October 2022, the Company registered 3,076,842 Class A common stock, that were reserved for issuance upon the vesting and exercise of non-qualified stock options granted to the Company's Chief Executive Officer and Chief Strategy Officer of the Company with respect to their appointments (the "Inducement Grants"). The Inducements Grants were granted outside the Company’s long-term equity incentive plan as an inducement material to the Chief Executive Officer and Chief Strategy Officer entering into employment with the Company.
Restricted Common Stock Unit Awards
During the year ended December 31, 2022, the Company awarded 335,870 restricted common stock units ("RSUs") under the 2021 Equity Plan to employees and to the former Chief Executive Officer. 280,000 RSUs awarded to the former Chief Executive Officer vested over a twelve week period during 2022, while the remainder of RSUs granted are generally eligible to vest over a three-year period at a rate of 33.3% per year and are subject to forfeiture restrictions which lapse over time.
The Company’s unvested restricted common stock unit awards activity for the year ended December 31, 2022 is summarized below:
RSUs Weighted Average
Grant Date
Fair Value
Unvested at December 31, 2021516,987$6.80 
Granted335,870$2.21 
Vested(605,571)$4.22 
Unvested at December 31, 2022247,286$6.89 
The value of RSU grants is measured based on their fair market value on the date of grant and amortized over their requisite service periods. During the years ended December 31, 2022 and 2021, the fair market value of the awards granted totaled $0.7 million and $3.9 million as of, respectively. There was $1.1 million of total unrecognized compensation cost related to unvested restricted stock rights as of December 31, 2022, which is expected to be recognized over a remaining weighted-average vesting period of approximately 1.45 years.
Common Stock Options
During the year ended December 31, 2022, the Company awarded 3,076,842 options that vest over a three-year period at a rate of 33.3% per year and are subject to forfeiture restrictions which lapse over time. These were issued from the Inducement Grants registered in October 2022. Options granted to officers and employees expire ten years after the date of grant.
The Company’s stock options activity for the year ended December 31, 2022 is summarized below:
Options Weighted Average
Exercise Price
Per Share		Weighted Average
Remaining
Contractual Life
(in years)		Aggregate
Intrinsic
Value
Outstanding at December 31, 2021583,080$6.01 -
Granted3,076,842$1.32 
Exercised(2,296)$6.25 
Forfeited(11,479)$6.68 
Expired(4,297)$6.83 
Outstanding at December 31, 20223,641,850$2.05 9.5$1,056 
Exercisable as of December 31, 2022444,300$5.88 8.1$8,386 
The value of common stock option grants is measured based on their fair market value on the date of grant and amortized over their requisite service periods. During the year ended December 31, 2022 and 2021, the fair market value of the awards granted totaled $3.1 million and $1.2 million, respectively. As of December 31, 2022, there was $3.0 million of total unrecognized compensation cost related to unvested options, which is expected to be recognized over a remaining weighted-average vesting period of approximately 2.7 years.
We determine the fair value of each grant using the Black-Scholes option pricing model. The weighted average assumptions relating to the valuation of stock options granted for the year ended December 31, 2022 and 2021 were as follows:
20222021
Weighted average exercise price of options granted$1.32 $6.07 
Expected volatility89 %35 %
Expected term (years)6.04.0
Risk-free interest rate4.1 %0.5 %
Expected dividend yield0.0 %0.0 %
Stock-based Compensation
The Company recognized stock-based compensation expense of $2.6 million and $3.8 million during the years ended December 31, 2022 and 2021, respectively. Stock-based compensation expense is included in selling, general and administrative expenses in the accompanying consolidated statements of operations.