On May 29, Bitfarms rejected Riot Platform’s unsolicited acquisition proposal, stating that the offer undervalued the company. The proposal, received on April 22, offered $2.30 per common share in a mix of cash and Riot common stock, totaling $950 million.

Bitfarms’ Special Committee of Independent Directors reviewed the offer and determined it did not reflect the company’s growth potential.

Controversy arose as the proposal came during a transitional period for Bitfarms, which is searching for a new CEO following the sudden termination of former CEO Geoffrey Morphy on May 13. Morphy, who joined in 2020 and became CEO in 2022, has filed a lawsuit against Bitfarms for $27 million, alleging breach of contract and wrongful dismissal. The legal dispute has added complexity to the executive transition, with Chairman and Co-Founder Nicolas Bonta stepping in as interim President and CEO.

Riot Platforms justified its unsolicited offer by expressing concerns that Bitfarms’ board was not acting in shareholders' best interests due to the allegations in Morphy’s lawsuit.

Despite the leadership challenges, Bitfarms has received additional unsolicited interest from other parties, all of whom have signed Non-Disclosure Agreements. The Special Committee is thoroughly reviewing strategic alternatives to maximize shareholder value. These alternatives could include continuing with the current business plan, a strategic business combination, or selling the company. The board remains committed to maximizing shareholder value.

Bitfarms also noted progress in its CEO search and ongoing focus on expansion and fleet upgrades, aiming for a hashrate of 21 EH/s and efficiency of 21 w/TH in 2024. The company operates 12 Bitcoin mining facilities across Canada, the United States, Paraguay, and Argentina, with one additional facility under development.