Bitcoin Mining Expansion Project
Bitfarms recently rejected Riot’s takeover bid and instead announced a project to increase its power capacity and Bitcoin mining capabilities by 2025. The company entered into an agreement to construct a power plant with up to 120 MW capacity in Sharon, Pennsylvania, leading to a surge in Bitfarms shares by over 15%.
Expansion Plans in the United States
Bitfarms, amidst takeover attempts, emphasized that Riot’s proposed takeover would not benefit its shareholders. The company disclosed plans to establish its first major mining site in the United States to enhance its power capacity significantly. Situated strategically within the Pennsylvania-New Jersey-Maryland Interconnection, this site offers competitive electricity supply and cost optimization opportunities.
Growth Projection and Ownership Dispute
By 2025, Bitfarms expects its power capacity to reach 648 megawatts, a substantial increase from its current and targeted capacities. Meanwhile, Riot Platforms persist in addressing corporate governance issues at Bitfarms, despite the latter implementing a Rights Plan as a defense. Riot Platforms recently acquired a significant stake in Bitfarms, escalating the ownership dispute between the two companies.
