Cryptocurrency mining firm Argo Blockchain continues to sell its Bitcoin (BTC) holdings to reduce its debt to Michael Novogratz’s Galaxy Digital cryptocurrency investment firm.
Argo sold another 887 bitcoins in July to reduce obligations under a BTC-backed loan deal with Galaxy Digital, the firm announced Friday.
With the average BTC price of $22,670, sales totaled $20.1 million, representing a significant portion of the maximum outstanding loan balance of $50 million in Q2 2022. As of July 31, 2022, Argo had a outstanding balance of just $6.72 million under the BTC-backed loan, the announcement notes.
The latest sale comes shortly after Argo sold another 637 BTC in June 2022 for $15.6 million. The firm reported that as of the end of June 30, Argo had a $22 million outstanding balance on the loan.
Despite actively cashing in their Bitcoin in recent months, Argo still has a notable stash of Bitcoin. As of July 31, 2022, Argo had a total of 1,295 BTC, of which 227 were equivalent to BTC.
In the last operational update, Argo also mentioned that the company significantly increased its mining volumes in July. During the month of July, Argo mined 219 BTC or BTC equivalents, compared to 179 BTC the previous month. Based on daily exchange rates and cryptocurrency prices during the month, mining revenue in July amounted to $4.73 million, while revenue in June amounted to $4.35 million.
Focused on cryptocurrency mining, blockchain firm Argo is a public company listed on the Nasdaq and London Stock Exchange. Argo is one of many cryptocurrency mining companies that chose to sell self-mining bitcoins in the midst of the 2022 bear market, including firms like Bitfarms, Core Scientific, and Riot Blockchain.
In contrast, cryptocurrency mining firms such as Marathon, Hut 8, and Hive Blockchain Technologies have preferred to stick with a long-standing HODL strategy despite dire market conditions.
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