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Bitcoin&nbsp;mining company Bitfarms announced its expansion into the United States on June 14, establishing a new site in Sharon, Pennsylvania.
<a href="https://investor.bitfarms.com/news-events/press-releases/detail/249/bitfarms-enters-into-agreement-to-develop-120-mw-in-u-s" target="_blank" rel="noopener nofollow">According</a> to the firm’s official press release, Bitfarms has agreed to develop up to 120 megawatts (MW) of power capacity in the region.
The new site within the Pennsylvania-New Jersey Maryland (PJM) Interconnection will grant Bitfarms access to competitive electricity rates and opportunities that help the firm “optimize and hedge energy costs.”
Related: <a href="https://cointelegraph.com/news/riot-950m-bitfarms-takeover-rejected">Bitfarms pushes back against Riot’s $950M takeover attempt</a>
<h2 data-ct-non-breakable="true" id="expansion-of-operations">Expansion of operations</h2>
The expansion is expected to improve Bitfarms’ operational footprint, support 8 EH/s capacity by 2025, and increase the company’s total power capacity to 648 MW — a 170% increase from the current capacity.&nbsp;
Nicolas Bonta, chairman and interim CEO of Bitfarms, commented on the expansion:
<blockquote data-ct-non-breakable="true">
 “Executing on our strategy to cost-effectively expand our operating footprint in the U.S., we have entered into an agreement for flexible power trading within the PJM. [...] This U.S. expansion not only strengthens our position in the industry but also enhances our geographical diversification.”
</blockquote>
Related: <a href="https://cointelegraph.com/news/riot-stake-bitfarms-poison-pill-defense">Riot acquires 13% Bitfarms stake as CEO decries ‘poison pill‘ strategy</a>
<h2 data-ct-non-breakable="true" id="strategic-implications">Strategic implications&nbsp;</h2>
The Sharon expansion is strategically positioned within a deregulated state, allowing the Bitcoin (<a href="https://cointelegraph.com/bitcoin-price">BTC</a>) mining firm to “participate in demand response and other curtailment programs.”
Speaking on the expansion’s diversification of revenue stream accessibility, Ben Gagnon, chief mining officer of Bitfarms, said:
<blockquote data-ct-non-breakable="true">
 “Bitfarms will actively monitor and manage our Bitcoin mining operations and participate in PJM’s demand response programs to earn additional revenue and provide reliability services to the grid.”
</blockquote>
Related: <a href="https://cointelegraph.com/news/bitfarms-shareholder-rights-plan-riot-takeover">Bitfarms adopts shareholder rights plan as Riot attempts takeover</a>
<h2 data-ct-non-breakable="true" id="riot-platforms-increases-stake-in-bitfarms">Riot Platforms increases stake in Bitfarms</h2>
Alongside Bitfarms’ expansion announcement, Riot Platforms also announced its increased ownership stake in Bitfarms to 14%.
The additional 1,432,063 common shares of Bitfarms acquired by Riot represent approximately 0.35% of Bitfarms’ issued and outstanding shares.
<blockquote data-ct-non-breakable="true">
 “Riot currently intends to requisition a special meeting of the Company’s shareholders, at which Riot intends to nominate several well-qualified and independent directors to join the Company’s board of directors.”
</blockquote>
Riot’s additional Bitfarms stake acquisition follows the recent recovery from a share price dip <a href="https://cointelegraph.com/news/riot-platforms-stock-recovers-short-seller-report-collapse-claim">sparked by claims the firm would collapse</a>.
Magazine: <a href="https://cointelegraph.com/magazine/okx-11m-deepfake-ai-zipmex-sec-microvisionchain-grants-asia-express/">Deepfake AI ‘gang’ drains $11M OKX account, Zipmex zapped by SEC: Asia Express</a>

Bitfarms expands into Pennsylvania amid Riot’s growing stake

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Cointelegraph

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