- River Financial has sued Blockstream Services Canada for defaulting on a $6.7 million settlement agreement.
- The lawsuit stems from a 2021 Hosting deal where River pre-paid nearly $7.8 million for Bitcoin mining services.
- The defendant, a Blockstream spin-off, missed its first monthly payment in March 2026 and remains in default.
River Financial, the Peter Thiel-backed BTC brokerage, has sued Blockstream Services Canada for defaulting on a multi-million dollar settlement agreement. The lawsuit, filed in a US district court on September 11, alleges the Canadian mining services firm stopped paying on March 31, 2026, according to court documents. A US magistrate judge has since recused himself from the case, which was reassigned on September 15. The dispute dates to December 2021, when River signed a managed hosting agreement with the Blockstream spin-off as it launched its River Mining service.
As part of that launch, River pre-paid nearly $7.8 million for three Hosting Services Orders in 2021 and 2022. By December 13, 2024, Blockstream still held $4.3 million of those prepayments, prompting both sides to sign an early termination agreement. Under that exit deal, Blockstream Services Canada owed River roughly $6.7 million in refunds and a termination fee. The money was due in monthly installments of $239,389.40 starting August 1, 2025.
River alleges the first missed installment occurred about six months before the recent hack of the Blockstream-supported Liquid network, confirming the incidents are unrelated. The company sent demand letters for overdue payments starting April 10, warning that overdue amounts would accrue interest at 9.75%. River claims Blockstream Services Canada acknowledged the outstanding balance in writing on May 27. The lawsuit alleges breach of contract and unjust enrichment.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
