Riot Platform Expresses Dismay Over Bitfarms' Stronghold Acquisition
CryptoNewsTerminal Staff03 Sep, 2024
Riot Platform Expresses Dismay Over Bitfarms' Stronghold Acquisition
Amidst the news of Bitcoin mining company Bitfarms acquiring fellow miner Stronghold Digital Mining for $175 million, Riot Platform, the largest shareholder of Bitfarms, has publicly voiced its opposition to the move. In a letter released Wednesday, Riot Platform raised concerns over the acquisition's timing and premium price, labeling it "not in the best interests of shareholders." Riot Platform highlighted that the acquisition was made at a significant premium to Stronghold's market price. The company believes that shareholders should not bear this premium and expressed concerns that the acquisition may be an attempt to address governance issues within Bitfarms. Riot Platform emphasized that this move would not have occurred without its pressure on the Bitfarms board. This news follows previous concerns raised by Riot Platform regarding Bitfarms' governance and the need for board refreshment. The company remains committed to holding Bitfarms accountable for its actions and will continue to advocate for the best interests of shareholders.
