Crypto Company Riot Blockchain Announces New CEO Jeff McGonegal
The cryptocurrency company Riot Blockchain has recently announced that they have a new CEO. At the same time, they are making different other leadership changes. The information was released by the firm in a press release on February 5.
Jeff McGonegal is now the new Cheif Executive Officer, who will be replacing Chris Ensey. Jeffrey Vormittag, the Chief Operating Officer of Riot Blockchain Canada In. is also leaving the firm.
McGonegal joined the company back in 2003 as the CFO. At that time, the firm was called AspenBio Pharma and was developing an appendicitis test and other things. Later in 2012, the firm changed its name to Venaxis in 2012. However, it changed its name two times more to Bioptix and Riot Blockchain.
Riot Blockchain is currently building, operating and supporting blockchain technologies. The company is focused on cryptocurrency mining including the development of exchange and mining pool platforms, among other investments.
The company commented about these changes that it is performing:
“In addition, the Compan also announced changes to its Board Committee structure with the Nominating Committee and the Governance Committee being recombined into one Committee.”
The firm went on explaining that the Investment and Strategy Committee formed in September 2018 and has been disbanded with the objectives of this Committee now being undertaken by the full Board of Directors. This will allow the Board of Directors to be focused on delivering value for the company’s shareholders.
According to an investigation conducted by CNBC in February 2018, there were different red flags in the company’s SEC filings. The company has been accused by the U.S. Securities and Exchange Commission (SEC) of conducting lucrative market manipulation schemes.
There were some issues such as annual meetings postponed at the last minutes, sales of stock by company insiders after the name change of the company and many other things. However, the company accused CNBC of making negative one-sided comments about Riot Blockchain.
When Bitcoin was growing at the end of 2018, the company’s shares grew from $8 up to $40. However, a few days ago, the stock was close to $1.89. Nonetheless, the company informed in its annual report that they may never become profitable and keep profitability in the future.