Bitfarms, a major Bitcoin mining company, reportedly terminated its interim president and CEO amid a legal dispute. However, Geoffrey Morphy’s termination came sooner than expected as he was initially set to leave pending the appointment of a replacement.
Bitfarms makes a big move
The termination comes in amid the Geoffrey Morphy launch lawsuit against the company claiming $27 million in damages for breach of contract. Bitfarms took the toll of the situation and formed a committee to find a new CEO swiftly as Morphy’s legal action led to his immediate dismissal.
Replying to the legal action taken by now former CEO, Bitfarms has asserted that the claims are baseless and intends to vigorously defend itself.
As reported, Bitfarms’s chairman, Nicolas Bonta, has been appointed as the interim president and CEO until a permanent replacement is found. The Bitcoin mining firm is expecting to finalize the search for a new CEO in the coming weeks ahead.
It is important to note that the legal dispute is adding extra challenges for Bitfarms and the Bitcoin mining industry. The ecosystem is suffering from jumping energy costs with increased competition. However, the impact of the recent halving event has further contributed to its challenges.
What’s next?
Bitcoin saw soaring prices in the first quarter, still the reduction in coin production due to jumping mining difficulty has affected the profitability of all the mining firms.
BTC price jumped by more than 25% in the last 90 days. Meanwhile, it recorded a drawdown over the past few weeks. Its price has dropped by 7% in the last 30 days. Bitcoin is trading at an average price of $62,830, at the press time. Its 24 hour trading volume is 94% to stand at $25 billion. The biggest crypto is holding a market cap of around $1.3 trillion.
Bitfarms in a post suggested that it will report its first-quarter results on Wednesday, May 15, 2024. This will be done before the market opens. The company has rescheduled its earnings conference call for the same day at 8:00 am ET.
It added that Investors can access a presentation of the Q1 2024 results on the company’s Investor website before the call. Bitfarms’ shares have faced pressure this year, declining approximately 40%.The stock closed at $1.73 on Friday, reflecting investor concerns amid the legal dispute.