Another miner cashes in: Argo Blockchain reports selling 637 BTC to pay debts

Argo Blockchain has joined crypto mining corporations together with Bitfarms, Core Scientific and Riot Blockchain in promoting a part of its Bitcoin holdings.

In a Thursday weblog publish, Argo said it offered 637 Bitcoin (BTC) in June for a mean value of $24,500 — roughly $15.6 million. The corporate deliberate to make use of the funds to cut back its debt to Galaxy Digital, from which Argo secured separate $20 million and $25 million BTC-backed mortgage agreements in 2021. The mining firm reported that as of June 30, it had an impressive stability of $22 million on the mortgage and holds “adequate liquidity to keep away from any potential liquidation of the BTC-backed mortgage if Bitcoin value continues to say no.”

“We’ve seen constructive outcomes from our danger administration technique via which we’ve got decreased the corporate’s publicity to its BTC-backed mortgage, and we’ve got employed a full-time derivatives dealer,” mentioned Argo CEO Peter Wall. “We imagine the corporate is effectively positioned to navigate the present market circumstances and additional enhance our efficiencies.”

Following the crypto gross sales, Argo mentioned it held 1,963 BTC and BTC equivalents as of June 30, roughly 18% lower than that reported in Could. Different mining corporations together with Bitfarms, Core Scientific and Riot Blockchain all reported promoting a big share of their BTC holdings in June amid the market downturn as the worth of the crypto asset dipped below $18,000.

Associated: Bitfarms offered 3K Bitcoin as a part of technique to enhance liquidity and pay money owed

Argo reported that it had curtailed mining operations at its Helios facility in Dickens County, Texas in Could following excessive temperatures — many elements of the state skilled days of triple-digit warmth — resulting in an “elevated power demand and better electrical energy costs.” Nonetheless, its June report confirmed a rise in mined BTC and BTC equivalents from 124 to 179 due, partially, to “higher uptime on the Helios facility.” Riot Blockchain additionally introduced on Thursday plans to maneuver a few of its mining fleet from New York to Texas.

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