Riot Platforms appoints new directors to board with inputs from Starboard, D.E. Shaw
FILE PHOTO: Representations of cryptocurrencies are seen in this illustration, August 10, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
:Bitcoin miner Riot Platforms said on Wednesday it has appointed three new directors to its board after inputs from investors Starboard Value and D.E. Shaw.
The move comes after Reuters reported in January that D.E. Shaw, best known for employing quantitative investment tools to power returns, had built a position in the firm and might push for changes.
Last year, Starboard Value also took an undisclosed position in the company. Starboard had pushed Riot to consider allotting some of its power capacity to artificial intelligence.
D.E. Shaw declined to comment, while activist investor Starboard Value did not respond to a Reuters' request for comment.
Riot said the newly appointed members - Jaime Leverton, Doug Mouton and Michael Turner - are experienced with overseeing the conversion of bitcoin mining assets for potential AI or high-performance computing (HPC) uses.
Riot, which processes bitcoin transactions and receives the cryptocurrency as payment, also said it has engaged Evercore and Northland Capital to evaluate potential AI/high-performance computing uses for remaining power capacity at its Corsicana, Texas, facility to maximize their value.
Riot, which is worth about $3.8 billion, last year sought to acquire rival miner Bitfarms. The two companies did not agree to a sale, but agreed on changes to Bitfarms' board.
Hopes have been high in the crypto industry that it will benefit from President Donald Trump's administration, which has sent encouraging signals that regulations might be relaxed.
