The $70 billion D.E. Shaw, a hedge fund celebrated for its quantitative approaches, has acquired an interest in Bitcoin miner Riot Platforms, possibly causing some disruption.
Although neither business is commenting, sources inform Reuters that D.E. Shaw may advocate for tactical modifications at the $3.8 billion Riot. This occurs after Starboard Value’s previous action to accumulate a share and propose that Riot utilize a portion of its power capability for artificial intelligence. SHIB Burns Increase by 771,019%
Riot is already examining artificial intelligence and high-performance computing at its Corsicana, Texas site. Riot attempted to purchase competitor Bitfarms last year but was unsuccessful, opting instead for board adjustments at Bitfarms.
While primarily a quantitative firm, D.E. Shaw is not hesitant to become activist, frequently operating in the background. They recently acquired a stake in Air Products and Chemicals, collaborating with Mantle Ridge Capital to advocate for leadership and capital distribution modifications.
As of publication, Riot’s stock is down about 1.2% today, trading at $10.98.
