Bitfarms, a Bitcoin (CRYPTO:BTC) mining firm, has implemented a shareholder rights plan, commonly known as a "poison pill," in response to Riot Platform's unsolicited takeover bid.

This defensive tactic aims to safeguard shareholder interests by making hostile takeovers financially unfavorable for the acquirer.

Bitfarms' move follows Riot's increased stake in the company and their offer to acquire all outstanding shares.

The rights plan targets entities acquiring more than 15% of Bitfarms' shares by a specified date and requires approval from shareholders and the Toronto Stock Exchange.