Hut 8 Agrees to $2.35 Million Settlement Over Merger Claims with U.S. Bitcoin Corp.

Hut 8 Corp., a leading Bitcoin miner, has agreed to pay $2.35 million to settle a proposed securities class action filed by investors who accused the company of misleading the market about its merger with U.S. Bitcoin Corp.

The settlement resolves claims on behalf of investors who purchased or acquired Hut 8 securities between February 13, 2023, and January 18, 2024. The case centered on Hut 8's all-stock merger with U.S. Bitcoin Corp., which closed in November 2023 and created the current Hut 8 Corp.

The investors alleged that Hut 8 overstated the benefits of the transaction and failed to adequately disclose energy and internet connectivity problems at King Mountain, a Texas bitcoin mining joint venture in which U.S. Bitcoin Corp. held a 50% interest before the merger.