Riot Platforms Boosts Stake in Bitfarms to 18.9% Amid Ongoing Tensions

Riot Platforms has increased its stake in Canadian Bitcoin mining company Bitfarms Ltd. to 18.9%, thereby strengthening its influence over the company.

This development follows Riot’s acquisition of an additional 1 million common shares in Bitfarms.

Riot stated:

The purchased shares were acquired through regular market transactions on the Nasdaq Stock Market and other open market transactions, at an average price of approximately $2.28 per share.

With this transaction, Riot’s total stake in Bitfarms increased to 85.3 million shares, up from 84.3 million previously, solidifying its role as a key shareholder.

This strategic move comes amid ongoing tensions between Riot and Bitfarms. That controversy began in April, when Riot made an unsolicited $950 million bid to acquire Bitfarms.

Bitfarms rejected the offer, describing it as undervalued, and implemented a “poison pill” strategy to prevent hostile takeover attempts.

READ MORE:

Top U.S. Bank Reveals Major Investment in Bitcoin ETFs

Although Riot withdrew its initial takeover bid, the company continued to pressure Bitfarms management. This included a request to call a special shareholder meeting in June to propose the removal of certain directors and their replacement with independent nominees.

Alexander Stefanov

With over 8 years of experience in the cryptocurrency and blockchain industry, Alexander is a seasoned content creator and market analyst dedicated to making digital assets more accessible and understandable. He specializes in breaking down complex crypto trends, analyzing market movements, and producing insightful content aimed at educating both newcomers and seasoned investors. Alexander has built a reputation for delivering timely and accurate analysis, while keeping a close eye on regulatory developments, emerging technologies, and macroeconomic trends that shape the future of digital finance. His work is rooted in a passion for innovation and a firm belief that widespread education is key to accelerating global crypto adoption.