Bit Origin Plunges 11.93% Amid Regulatory Pressures, OBBB Impact

On July 15, 2025, Bit Origin experienced a significant drop of 11.93% in pre-market trading, reflecting the broader market sentiment and regulatory pressures impacting the clean energy sector.

Mizuho Securities' recent downgrades of clean energy stocks have highlighted the risks associated with the One Big Beautiful Bill (OBBB), which is reshaping the sector's landscape. The bill's accelerated tax credit deadlines and restrictions on Chinese materials are creating a new era of winners and losers. These policies are altering demand dynamics, favoring firms with domestic supply chains and operational agility.

The OBBB's most immediate impact is its accelerated tax credit expiration timeline, which requires solar and wind projects to begin construction by December 31, 2025. This creates a "now or never" dynamic for developers, favoring those with domestic supply chains. Additionally, the Foreign Entity of Concern (FEOC) rules bar projects starting after 2025 from using Chinese equipment unless they meet stringent compliance standards, shifting the competitive advantage to U.S. manufacturers.

Mizuho's downgrades reflect near-term execution risks, such as permitting delays or supply chain bottlenecks. However, these downgrades ignore the long-term tailwinds baked into the OBBB's structure. For instance, First Solar's cadmium-telluride thin-film panels avoid polysilicon, making it less exposed to FEOC rules. Sunrun's residential solar leasing models thrive as the 30% residential tax credit expires at year-end, potentially supercharging its revenue. Bloom Energy's fuel cells are exempt from FEOC restrictions post-2025, making them a rare "no-strings-attached" clean energy play.

While residential and distributed energy firms gain, utility-scale developers face steep hurdles. Projects starting after July 2026 must be operational by 2027 or 2030, penalizing delayed projects. Reliance on Chinese equipment could strip tax credits entirely, justifying Mizuho's skepticism. Investors should tread cautiously in this area.

Key metrics for stock selection include construction start milestones, supply chain transparency, and tax credit stacking. Firms with U.S.-based manufacturing or partnerships outperform those reliant on Asian imports. Investors should aggressively buy dips in stocks like First Solar, Sunrun, and Bloom Energy, using the Mizuho downgrades as a catalyst. However, they should avoid utility-scale stocks until they prove FEOC compliance and construction timelines. The next 12 months will be crucial in separating clean energy's winners from its relics.