Based

Million

Bold

In a strategic move to boost performance and ensure employee retention, Riot Platforms, a Texas-based bitcoin mining giant, has embarked on an ambitious plan involving restricted stock rewards. The company has set its sights on a staggering $200 million in restricted shares, to be vested by its senior executives by 2026, under the new Long-Term Incentive Program (LTIP), according to <a href="https://theminermag.com/news/2024-01-08/riot-bitcoin-miner-executives-restricted-stock-reward/">TheMinerMag</a>. 
As of the latest filings, Riot’s top brass have acquired 6.65 million restricted shares as a performance target award, with a potential to double this amount. Based on Riot's recent closing price of $15 per share, these shares could reach a maximal market value of nearly $200 million. 
Launched in July 2023, Riot’s LTIP is a compelling scheme designed to align employee interests with the company's stock performance. The program is split into two awards: a service award and a performance award, both vesting over three years, contingent on specific criteria. 
The service award is structured to vest in three phases coinciding with the first, second, and third anniversary of the grant date, provided the employee remains with the company. The performance award, however, offers a more dynamic vesting range – from 0% to a whopping 200% – tied directly to Riot's stock performance compared to the Russell 3000 Index. 
For instance, should Riot’s stock surpass the Russell 3000 Index by 25% or more over three years, the performance award could vest at its maximum threshold. Notably, the maximum performance awards for senior executives have seen a tenfold increase since July, reaching 13.3 million restricted shares. 
However, the stock market presents a mixed picture. Since the LTIP's inception in July 2023, the Russell 3000 Index has seen a modest 4% return. In contrast, Riot’s stock has declined by 26%, dropping from $20.29 to $15.

Riot Platforms’ Bold $200 Million Bet on Employee Performance and Retention

Ultramining_Eng

Other articles published on Jan 8, 2024

Ethereum Price Signals Bearish Rection, Why ETH Could Drop 5%

Anticipation Builds for SEC’s Decision on Spot Bitcoin ETF

Crypto Market Update: Bitcoin ETF, Mobile Gaming Impact, and Token Dynamics

Weekly Cryptocurrency Analysis: Altcoins Continue To Rise After A Brief Setback

Bearish Clouds Hover Over BNB, LTC, & AVAX Price, What’s Next For These Altcoins?

Altcoins Market Cap Could Surge But the Road Isn’t Straight-Forward

Join our free newsletter for daily crypto updates!