Blockchain News

Argo Blockchain Seeks $57.5M Debt Funding to Construct Texas Mining facility

Written by James Smith

London-based digital foreign money mining platform, Argo Blockchain has filed an software with the USA Securities and Alternate Fee (SEC) to supply $57.5 million price of 8.75% senior unsecured notes to buyers.

Per the submitting, the senior unsecured notes are billed to mature on November 30, 2026, and the proceeds are billed to be pushed into finishing the corporate’s Bitcoin mining facility in West Texas.

Argo Blockchain has been making an emphatic transfer into the North American market prior to now few years, citing a budget and renewable vitality sources accessible in varied areas within the area. The acquisition and construction of the West Texas facility have pushed the agency to secure loans from Galaxy Digital on two totally different events – in June and September – utilizing its Bitcoin holdings as collateral.

Going by the corporate’s submitting, it mentioned it holds as a lot as 2,128 BTC, most of which had been mined from its amenities. Nonetheless, based mostly on the agency’s notion of Bitcoin as a great retailer of worth, it will moderately resort to securing a mortgage moderately than liquidating its coin holdings. The completion of the West Texas facility will provide as much as 800MW of energy for Argo Blockchain’s future operations, and the agency takes delight in that the ability will run on renewable vitality, assuaging the considerations of local weather affect its operations can spur.

“We consider that as cryptocurrency continues to develop as an rising retailer of worth and medium of trade, it’s more and more necessary that this asset class evolves in an environmentally and socially accountable method. We’re dedicated to being the business chief within the improvement of environmentally accountable approaches to cryptocurrency mining,” the corporate mentioned in its submitting. 

The broad strikes by Argo Blockchain to bolster its mining capabilities come on the heels of a shift in hashrate dominance to the USA as China despatched miners packing earlier within the 12 months. Argo Blockchain seeks to place for a future during which mining will develop into sustainable and worthwhile throughout the board. The proposed $57.5 million funding may also be used to bankroll the acquisition of recent mining {hardware} for the brand new facility which is billed to be operational in 2022.

Picture supply: Shutterstock

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James Smith

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