D.E. Shaw Takes Stake in Bitcoin Miner Riot Platforms
Riot Platforms (RIOT) has attracted a second activist investor, D.E. Shaw, which manages $70 billion in assets. This follows Starboard Value's recent investment, which is approximately $9 billion in AUM. Starboard is advocating for Riot to transform some bitcoin mining sites into data centers for high-performance computing (HPC).
- D.E. Shaw's investment details are unspecified
- It may pursue an activist strategy discreetly
- Riot is evaluating AI/HPC uses for its 600 MW power capacity
- The bitcoin mining sector faces profit challenges post-halving
- Investor sentiment was affected by Core Scientific's deal with a hyperscaler
- Core Scientific shares have dropped about 30% recently
- Riot shares declined by 18% over the same period, remaining flat year-over-year
- Current share price of RIOT is up 1% today