Bitfarms announces leadership changes amid takeover attempt

Bitcoin mining firm Bitfarms has announced leadership changes amid ongoing regulatory and takeover bid challenges.

Canadian publicly traded Bitcoin mining firm Bitfarms has announced updates to its board and executive team as it grapples with ongoing regulatory challenges and a recent acquisition offer from Riot Platforms.

The Toronto-based firm said in a press release dated August 13 that Ben Gagnon, who currently serves as CEO, has been appointed to the board of directors with immediate effect. In addition, Bitfarms’ chief executive officer Brian Howlett has been appointed as independent chairman of the board, replacing Nicolas Bonta, who founded Bitfarms and has been leading its expansion.

Following the appointment, Bonta “has decided to resign from the Board of Directors, effective immediately,” the press release said. The board will now consist of five members, four of whom will be independent.

Bitfarms appoints new COO

Amidst a team restructuring, Bitfarms announced the appointment of Liam Wilson as chief operating officer, effective August 26. Gagnon said Wilson, who has over 20 years of experience, “will play a critical role in developing and improving our operational procedures and systems with the goal of increasing efficiency.”

The leadership updates come amid recent regulatory developments, with the Ontario Securities Tribunal recently striking down Bitfarms’ initial “poison pill” shareholder rights plan put in place in response to a takeover bid by U.S. rival Riot Platforms.

Riot Platforms CEO Jason Les criticized the plan as a sign of flawed corporate governance. In response, Bitfarms introduced a new rights plan designed to protect against gradual takeover attempts and ensure shareholders are treated equally.

Riot Platforms offered to buy Bitfarms for $950 million earlier this year, but withdrew its offer after merger talks with Bitfarms’ board of directors fell through.