Bankrupt Rhodium Hits Bitcoin Miner Riot With $300 Million Suit

Bankrupt bitcoin miner Rhodium Encore LLC sued a competitor and a service provider for breach of contract and tortious interference, alleging more than $300 million in damages for withholding power.

After Riot Platforms Inc. acquired Whinstone US Inc., which had been Rhodium’s power supplier, the bitcoin miner allegedly terminated Whinstone’s service contract with Rhodium for 100 megawatts of power, according to a Rhodium’s complaint filed Tuesday in the US Bankruptcy Court for the Southern District of Texas.

The power was diverted to Riot, Rhodium said.

“Riot and Whinstone withheld tens of millions of dollars in energy credits owed to Rhodium ...