Form 4: Stronghold Digital Mining Director Acquires Shares as Part of Annual Retainer

Director Thomas R. Trowbridge IV acquired 5,176 shares of Stronghold Digital Mining's Class A common stock as part of his annual retainer.

Summary

• Thomas R. Trowbridge IV, a director at Stronghold Digital Mining, acquired 5,176 shares of Class A common stock on January 10, 2025.
• The shares were acquired at a price of $4.82 per share.
• This transaction was part of the company's Non-Employee Director Compensation Policy, where directors receive shares as an annual retainer.
• The shares represent the portion of the annual retainer covering the fourth quarter of fiscal year 2024.
• Following this transaction, Trowbridge's direct holdings increased to 65,944 shares.

Sentiment

Score: 7

Explanation: The document reflects a routine transaction related to director compensation, which is generally viewed neutrally to slightly positive as it aligns director interests with shareholders.

Positives

• The acquisition of shares by a director demonstrates alignment of interests between management and shareholders.
• The use of stock as part of director compensation can help conserve cash.

Management Comments

• Non-employee directors receive fully vested shares of Issuer's Class A common stock as an annual retainer for their service on the Issuer's board, unless they elect otherwise, consistent with their Stock ownership obligations.

Industry Context

The practice of compensating directors with company stock is common in many industries, particularly in technology and growth-oriented sectors, to align their interests with those of shareholders.

Comparison to Industry Standards

• Many companies, such as Riot Platforms and Marathon Digital, use a combination of cash and stock for director compensation.
• The specific amount of stock granted varies based on company size, performance, and industry norms.
• The use of stock as part of compensation is a common practice to align director interests with shareholders.

Stakeholder Impact

• The transaction has a minor positive impact on shareholders by aligning director interests with company performance.

Key Dates

Keywords

Stronghold Digital Mining, Director Compensation, Stock Acquisition, Class A Common Stock, SEC Form 4, Insider Trading