SCHEDULE: Riot Platforms Exits Bitfarms Stake

Riot Platforms, Inc. has completed its divestment of Bitfarms Ltd. common shares, ceasing to be a beneficial owner of more than five percent.

Summary

• Riot Platforms, Inc. has filed Amendment No. 22 to its Schedule 13D, marking its final amendment and an exit filing for its beneficial ownership in Bitfarms Ltd.
• On August 18, 2025, Riot Platforms ceased to be the beneficial owner of more than five percent of Bitfarms' Common Shares.
• Prior to the exit, Riot Platforms beneficially owned 25,675,522 Common Shares, representing 4.6% of the class, based on 552,599,613 Common Shares outstanding as of June 30, 2025.
• Since its last Schedule 13D filing on August 8, 2025, Riot Platforms sold a total of 14,243,380 Common Shares on the open market across multiple transactions.
• Significant sales included 1,671,845 shares on August 12, 2025, at a weighted average price of $1.25 per share, and 11,105,035 shares on August 18, 2025, at a weighted average price of $1.36 per share.

Sentiment

Score: 3

Explanation: The complete divestment by a significant shareholder like Riot Platforms is generally a negative signal for the company whose shares are being sold, indicating a potential lack of confidence or a strategic shift by the exiting investor. This could lead to negative market perception and selling pressure on Bitfarms' shares.

Positives

• NA

Negatives

• A significant shareholder, Riot Platforms, has fully divested its stake in Bitfarms, which could be interpreted as a lack of confidence in Bitfarms' future prospects or a strategic shift by Riot.
• The divestment may lead to increased selling pressure on Bitfarms' stock in the short term due to the large volume of shares sold by a major holder.

Risks

• Potential negative market perception and investor sentiment due to a prominent industry player exiting its stake.
• Increased volatility and potential downward pressure on Bitfarms' share price as the market digests the divestment of a significant block of shares.
• Loss of a potentially influential shareholder who could have provided strategic support or acted as an activist investor.

Future Outlook

The filing does not provide forward-looking statements or guidance regarding Bitfarms' future operations or financial performance. It solely details the divestment of shares by Riot Platforms.

Industry Context

This divestment occurs within the highly competitive and volatile cryptocurrency mining industry. Riot Platforms and Bitfarms are both significant players in this sector. Riot's complete exit from its Bitfarms stake could signal a strategic re-evaluation of its investment portfolio or a shift in its competitive positioning within the industry.

Comparison to Industry Standards

• NA

Stakeholder Impact

• Shareholders of Bitfarms Ltd. may experience increased share price volatility and potential downward pressure due to the divestment by a significant holder.
• Riot Platforms, Inc. has successfully rebalanced its investment portfolio by exiting a non-strategic stake.

Next Steps

• Riot Platforms' divestment of its stake in Bitfarms is complete, and this filing serves as its final amendment and exit filing.

Key Dates

Recommendation

Riot Platforms, a prominent player in the crypto mining sector, has fully divested its stake in Bitfarms. This exit, particularly from a strategic competitor, suggests a lack of long-term conviction or a re-evaluation of Bitfarms' prospects by Riot. Such a significant divestment by a knowledgeable industry participant often signals potential headwinds or a less favorable outlook for the company, warranting a cautious or negative stance for investors. The immediate impact could be increased selling pressure on Bitfarms' stock.

Keywords

Bitfarms, Riot Platforms, SEC filing, Schedule 13D, Divestment, Beneficial ownership, Common Shares, Cryptocurrency mining, Blockchain