Form 4: Riot Platforms EVP William Jackman Receives Stock Awards

William Jackman, EVP and General Counsel of Riot Platforms, received service-based and performance-based restricted stock awards.

Summary

• William Jackman, the EVP and General Counsel of Riot Platforms, received awards of restricted stock.
• On July 1, 2024, Jackman was granted 251,256 service-based restricted stock awards (RSAs).
• These RSAs will vest in three approximately equal annual tranches on July 1, 2025, July 1, 2026, and July 1, 2027, contingent upon continued service with the company.
• Jackman also received a performance-based restricted stock award (PRSA) for a maximum of 502,512 shares.
• The PRSAs are tied to the company's performance between January 1, 2024, and December 31, 2026.
• Vesting of the PRSAs is subject to the Committee's certification of the company's achievement of certain performance objectives and Jackman's continued service through July 1, 2027.
• Unvested portions of both RSAs and PRSAs will be forfeited if the conditions are not met.

Sentiment

Score: 7

Explanation: The document reflects a standard executive compensation practice, indicating confidence in the executive's continued service and the company's future performance. It's a neutral to slightly positive signal.

Positives

• The awards are designed to incentivize continued service and achievement of performance objectives.
• The vesting schedule for both RSAs and PRSAs aligns with long-term company goals.

Risks

• The vesting of the RSAs and PRSAs is contingent upon continued service, meaning Jackman could forfeit the awards if he leaves the company before the vesting dates.
• The PRSAs are also dependent on the company achieving certain performance objectives, which may not be met.

Future Outlook

The awards are designed to align executive compensation with company performance and long-term value creation.

Industry Context

Stock awards are a common form of executive compensation in the technology and cryptocurrency industries, used to attract and retain talent and align their interests with those of shareholders.

Comparison to Industry Standards

• Companies like Marathon Digital Holdings and Hut 8 Mining Corp also use stock awards as part of their executive compensation packages.
• The vesting schedules and performance metrics associated with these awards are typically aligned with industry best practices to incentivize long-term value creation.

Stakeholder Impact

• The stock awards could potentially dilute existing shareholders if the performance metrics are achieved and the shares are issued.
• The awards incentivize the executive to work towards the company's success, which benefits all stakeholders.

Key Dates