Mr. Geoff Morphy reports

BITFARMS SECURES CONTRACTS IN PARAGUAY FOR UP TO 150 MW OF HYDROPOWER

Bitfarms Ltd. has acquired two power purchase agreements (PPAs) in Paraguay for up to 150 megawatts (MW) of ecofriendly hydropower: up to 50 MW in Villarrica, in close proximity to the company's existing operations in Paraguay, and up to 100 MW in Yguazu, a new location close to the Itaipu dam, the third-largest hydroelectric dam in the world.

"As we approach the next bitcoin halving, we are seeking to drive growth by leveraging our farm design expertise and drawing upon our operational experience to broaden our geographical presence and optimize global, underutilized power resources," said Geoff Morphy, chief executive officer of Bitfarms. "Paraguay has access to an abundance of surplus renewable power, and these acquisitions secure valuable, yet limited, sustainable energy contracts while broadening our foothold in a resource-rich country."

At Villarrica, construction is scheduled to commence in Q3 2023 beginning with a substation followed by building out a second mining facility. At Yguazu, Bitfarms has the opportunity to develop a new farm with up to 100 MW of mining capacity, the timeline for which is being determined. Hydropower at both locations will be provided at a contracted cost of approximately 3.9 cents per kilowatt-hour (kWh), before value-added tax (VAT), and is not subject to annual inflationary adjustments.

About Bitfarms Ltd.

Founded in 2017, Bitfarms is a global, publicly traded bitcoin mining company. Bitfarms develops, owns and operates vertically integrated mining farms with in-house management and company-owned electrical engineering, installation service and multiple on-site technical repair centres. The company's proprietary data analytics system delivers best-in-class operational performance and uptime.

Bitfarms currently has 11 farms, which are located in four countries: Canada, the United States, Paraguay and Argentina. Powered by predominantly environmentally friendly hydroelectric and long-term power contracts, Bitfarms is committed to using sustainable, locally based and often underutilized energy infrastructure.

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