Bitcoin mining company Riot Platforms has increased its stake in competitor Bitfarms to nearly 18.9% by purchasing an additional 1 million shares. This move raises Riot’s total holdings in Bitfarms to approximately 85.3 million shares, up from the previous 18.68% ownership.Ongoing Dispute and Takeover AttemptThe acquisition comes amid a contentious dispute between the two mining firms. Riot’s interest in Bitfarms began with a $950 million buyout offer, which Bitfarms rejected, arguing it undervalued the company. The conflict has since escalated, with Riot expanding its investment to gain a larger influence.Bitfarms’ Defensive MeasuresTo counter Riot’s takeover bid, Bitfarms initially employed a “poison pill” strategy, allowing current shareholders to purchase additional shares at a discounted price to dilute Riot’s potential stake. However, a Canadian tribunal blocked this defense mechanism last month.In response, Bitfarms has introduced a second “poison pill” measure. This new strategy prevents any single entity from acquiring more than 20% of the company’s shares without board approval, aiming to protect against further takeover attempts.Riot’s Future PlansRiot Platforms has signaled that it will continue to assess its strategy regarding Bitfarms. Future decisions will hinge on ongoing negotiations, potential shareholder meetings, and changes to Bitfarms’ board of directors. The situation remains dynamic as both companies navigate this high-stakes dispute in the competitive bitcoin mining sector.As the situation evolves, industry observers will be closely watching for further developments in this high-profile corporate battle.
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Vaibhavv Ali is the founder and editor of Cryptonite (cryptonite.ae), an independent digital-asset news and analysis publication with a UAE focus. He covers virtual-asset regulation — VARA, ADGM and the UAE Central Bank — alongside real-world-asset tokenization, stablecoins and agentic AI in finance. Every Cryptonite article is human-edited and its sources are linked. He is also a celebrated speaker and host.
