Bitfarms CEO to Quit Immediately in Response to Lawsuit

Bitfarms CEO to quit immediately, and take over as interim president and CEO due to a lawsuit against (CEO).

Former President and Chief Executive Officer of cryptocurrency mining company Bitfarms, Geoffrey Morphy, will resign promptly following filing a lawsuit against the company in Canada. 

Bitfarms announced in a notice dated May 13 that Morphy had been removed as CEO and president, in contrast to a previously declared intention to retain him in a leadership capacity until a suitable successor could be identified. The mining company reports that on May 10, Morphy initiated legal proceedings against Bitfarms in the Superior Court of Ontario, alleging “breach of contract, wrongful dismissal, and aggravated and punitive damages” for $27 million. 

Bitfarms stated, “The Company considers the allegations to be without merit and plans to defend itself vigorously.” “Until the executive search is concluded and [Morphy’s] successor is appointed, Nicolas Bonta, Chairman and Co-Founder of the Company, has been appointed interim President and Chief Executive Officer. He will lead the company in this capacity.”

Bitfarms declared its intention to find a successor for Morphy, who had been employed by the organization since 2020, in March. The mining company claims a new CEO will be appointed “within the next few weeks.” Although Cointelegraph contacted Morphy for comment, no response was received at the time of publication.

Bitfarms, which debuted in 2017, operates eleven Bitcoin BTC tickers across $63,204 in mining facilities in Argentina, Canada, Paraguay, and the United States. In April, the company disclosed its intention to allocate an estimated $240 million towards enhancing its mining equipment after the Bitcoin halving incident. This investment could potentially increase the firm’s hash rate capacity to 21 exahashes per second.

The company reported April earnings of 269 BTC in mining rewards and transaction fees. The quarterly earnings report for the first quarter of 2024 is anticipated to be released on May 15. Bitfarms’ stock (BITF) was trading at $1.61 on the Nasdaq at publication, having declined approximately 29% since March 25.