Bitcoin Argo Blockchain Miner’s Profits Rise
Shares in miner Bitcoin Argo (ARB.L) fell 1.9% on Monday morning in London, even as it said its income rose 180% for the first half of 2021.
Turnover stood at £ 31.1million ($ 43.19million) reflecting an increase in production coupled with an increase in Bitcoin prices. In his first half of 2020, the miner earned £ 11.1million.
Argo has grown in recent months – it has expanded to Texas and has done two fundraisers, generating $ 49.2 million.
These fundraisers allowed Argo to invest in new machines and finance working capital needs, he said.
The company also reported a mining margin of 81%, a big increase from 39% the year before, while the total number of bitcoin and bitcoin equivalents (BTC) mined during the period fell to 883 from 1. 669 last year, a change that was attributed mostly to Bitcoin halving in May.
“We have capitalized on a change in market conditions in the first half of 2021 to generate strong growth in both revenue and earnings, demonstrating that our smart growth strategy delivers shareholder value,” said Peter Wall, Managing Director general and interim president.
The news comes amid other market moves and follows Ethereum’s blockchain that successfully completed a “hard fork” on Thursday, essentially changing the underlying code that Ethereum relies on to run.
The “London hard fork” changes the way transaction fees are calculated on the network and is designed to reduce the rate of coin growth.
Paolo Ardoino, chief technology officer at Bitfinex, said the changes would help attract more DeFi – decentralized finance – projects to operate on the network Ethereum.
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