Andrew Kiguel, co-founder and chief executive of Hut 8 Mining Corp., said on January 28, 2020, that he would step down from the role1. The same Hut 8 release, issued through Newsfile Corp., disclosed a reworked debt agreement with hardware supplier Bitfury. Kiguel had led the Toronto-based miner to more than $115 million in revenue since 2018, according to his own statement in the release.
Two of Hut 8's 7 leadership moves on the record came in 2020
Leadership moves CryptoLately has verified at Hut 8, by year
- 2020: 2
- 2021, 2022, 2023, 2024, 2025, 2026
Moves: The Moves Ledger, CryptoLately's record of verified leadership moves, Oct. 3, 2016 to Oct. 2, 2026.
Read the chart as a table
| Item | Value |
|---|---|
| 2020 | 2 |
| 2021 | 1 |
| 2022 | 1 |
| 2023 | 0 |
| 2024 | 2 |
| 2025 | 0 |
| 2026 | 1 |
Nine CEO exits on the record in 2020
CEO exits CryptoLately has verified, by year
- 2020: 9
- 2017, 2018, 2019, 2021, 2022, 2023, 2024
Moves: The Moves Ledger, CryptoLately's record of verified leadership moves, Oct. 3, 2016 to Oct. 2, 2026.
Read the chart as a table
| Item | Value |
|---|---|
| 2017 | 3 |
| 2018 | 2 |
| 2019 | 7 |
| 2020 | 9 |
| 2021 | 5 |
| 2022 | 18 |
| 2023 | 11 |
| 2024 | 20 |
The move
Hut 8 said Kiguel would keep both his executive title and his board seat until the company found a replacement. “Andrew will remain the Chief Executive Officer and a member of the Board of Directors until a successor is appointed. The company will begin a thorough search and selection process for a successor,” the release stated1. Kiguel pointed to the company's run through a down market as his case for the job he was leaving. “Hut 8 survived the 2018 bitcoin price collapse and emerged the world's largest publicly traded bitcoin miner,” Kiguel said. The Block reported on January 28, 2020, that Hut 8 would begin its search for a successor soon2.
Why did Hut 8 pair a CEO exit with a debt renegotiation in one release? The release answered that question directly. Hut 8 said it would cut its annual fees to Bitfury by as much as $2 million. The miner also planned to refinance a $4.75 million debt with a new $5 million bitcoin-collateralized credit facility from Genesis Global Capital, lowering its interest cost by $102,125 a year1. A Hut 8 spokesperson told The Block the new terms let the miner buy equipment outside its exclusive Bitfury arrangement for the first time. “The autonomy for Hut 8 will come from being able to price out alternative hardware,” the spokesperson said, according to The Block2.
Hut 8 before and after
Kiguel co-founded Hut 8, and in 2019 it became the first cryptocurrency company to list on the Toronto Stock Exchange, according to his own account in the release1. A 67-megawatt facility in Medicine Hat, Alberta, came online under his tenure. Hut 8 raised more than $100 million in debt and equity to fund it, Kiguel said. The board's search left the successor unnamed and Kiguel's last day undated in the release.
What came next
Hut 8's board moved its chief financial officer, Jimmy Vaiopoulos, into the chief executive chair on an interim basis after Kiguel left the post in late April 2020, CoinDesk reported when the search ended3. The board named Jaime Leverton as permanent chief executive on November 2, 2020, effective December 1, with Vaiopoulos returning to the CFO role he had held before.
Sources
- "Hut 8 Announces Leadership Transition and Amendment of Key Agreements with Bitfury," Hut 8 Mining Corp. (Newsfile Corp.), January 28, 2020, https://www.newsfilecorp.com/release/51857/Hut-8-Announces-Leadership-Transition-and-Amendment-of-Key-Agreements-with-Bitfury
- Celia Wan, "Publicly traded bitcoin miner Hut 8 announces pending CEO departure, reworked deal with hardware maker Bitfury," The Block, January 28, 2020, https://news.google.com/rss/articles/CBMi-gFBVV95cUxPb2xPSm9XR1o5ajFvSGhWZjJOazlfMHRRU1ctRTRyc2sxQmI5LXhLUW93LUQ4NzdsR3lLclNmRWQydlRSLXViU24yaWZMbFZfUkNpUk1QRnNxMEplRS1fYWM4OE41X3FFR01nWWh1TlMzLWpZOGhGNW1YaW1lTEtmOTVfS2w5V3RpMHhNTDNsbERCVVgtcDBRb0FGeGJxeUp2QVRSdWdXcDJPVmE0WVcxa3pDcXplcHY5eDBFY3FWRTE3elVsQjkycG1PNU9VTUJHOGhRWnJZY3FUdEhHUEgzMkZVVkxwUzZqSl8xZ2RJSU9BRjdsTVVwa3FR?oc=5
- "Bitcoin Mining Firm Hut 8 Appoints Jaime Leverton as CEO," CoinDesk, November 2, 2020, https://www.coindesk.com/markets/2020/11/02/bitcoin-mining-firm-hut-8-appoints-jaime-leverton-as-ceo