Bitfarms announces CEO Termination amid $27 million Damages Lawsuit

Bitfarms Limited, a global vertically integrated Bitcoin mining company, announced on Monday that Geoffrey Morphy, the Chief Executive Officer (CEO), has been fired effective immediately.

Morphy, who had been continuing as president and CEO pending an executive search for a replacement as announced on March 25, 2024, has been terminated, according to a press release by the company. Additionally, Mr. Morphy is no longer one of the company's directors.

In an official statement released on March 25, 2024, the company announced a change in leadership. L. Geoffrey Morphy, President, CEO, and Director, will lead the firm in the interim while he steps down following the conclusion of an executive search. 

“Mr. Morphy will continue to focus on our corporate growth strategy, making sure that our growth objectives are met and that the leadership transition goes smoothly. A CEO search committee comprising independent directors has been established by the Board, and it will work quickly with a chosen executive search firm,” the statement added.

“It has been the greatest privilege of my career to serve Bitfarms, our shareholders, and our employees. I am extremely proud of what we’ve accomplished as a team. Together, we expanded our operations and strengthened our balance sheet, positioning us to embark on the greatest growth in our history. I have every confidence that the management team will be successful in achieving our 2024 growth targets.” Morphy said at the time.

The termination comes after Morphy filed a Statement of Claim in the Superior Court of Ontario against Bitfarms, the global Bitcoin mining company, on Friday. Morphy filed a lawsuit against the company, claiming $27 million in damages for breach of contract, wrongful dismissal, and aggravated and punitive damages.

The company plans to mount a strong defense because it believes the claims are baseless. Furthermore, the company's chairman and co-founder, Nicolas Bonta, has been named acting president and chief executive officer. He will serve in this capacity until the conclusion of the executive search process and the appointment of his replacement.

Bitfarms also stated that it will name a new CEO within the next few weeks and that the CEO executive search is almost over.

Prior to the market opening on Wednesday, May 15, 2024, the Toronto-based Bitcoin mining company also revealed that it would release its first quarter results. The conference call has therefore been rescheduled for that day at 8:00 a.m. ET.

Whaleinsider.news also reported that Binance was sued in Canada for allegedly breaching securities laws.

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