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Yeah, Take from UK in morning, sell to USA in the afternoon. Lucrative business. Like clockwork on the chart.
Wrong thread I wrote this in.
RE AGROBULL's Thread..
Doing similar calcs and hodling in my SIPP and ISA.
Watch what happens when we hit new highs again on BTC.. Will be very happy days for all holders.
They’ve been open over an hour.
spoke to soon! You following me MM's haha.
And we move to positive when the USA opens..
This was a great post! Folks like Saylor have to be chomping at the bit to get a piece of Argo. Imagine those kind of mining numbers if bitcoin breaches 100k. The potential for Argo is exponential. I personally will be buying 100,000 more shares of Argo early September.
How many machines does Quebec run at the moment, AB?
@lewis 99
He sold Argo on 24 Feb
He bought CBX on 26 Feb
To be fair they said they would build in a modular manner and are targeting 200MW to start with, which would make it much more achievable by whichever funding route(s) they take.
So quarter all my figures for now.
AB - Don't forget one of the ways they will be funding the growth is the proposed IPO when they dual list later this quarter. As the RNS noted though the amount to be raised is unknown:
"...proposed dual-listing and initial public offering (the "Proposed Offering") of American Depositary Shares ("ADSs") representing its ordinary shares in the United States. The number of ADSs to be offered and the price range for the Proposed Offering have not yet been determined."
I think this is a good way of raising funds for expansion and the benefits will far outweigh the impact of the additional 'shares' issued. I suspect that they will also use the other options for raising cash too - loans and selling BTC (especially if prices are high high) - as well as using cash income that may be generated from other sources made possible by Texas.
That land purchase agreement came with up to $100m of potential loans didnt it? Otherwise $16.5m for a patch of land worth $150k would appear not good value.
Much easier to get a broker to sell some of the HODL at VWAP target once the rebound happens. Pure fantasy to try and setup a trading arm.
Peter sold his own ARB shares at a good price. If I remember correctly, he mentioned something about reducing his risk. That makes perfect sense to me. For similar reasons, I expect he'll sell some of the HODL once the price rebounds. Clearly he's not going to tell everybody just before he does it...
Argo. - the production figures you have calculated are mouthwatering, that’s for sure. You’d think lenders would be queuing up to offer funding given the company’s performance to date but who knows.
I hope you’re right about the selling strategy.
I think they’ll sell mining space to other companies initially when Texas is up and running. I’d prefer them not to mind. Next year, if things go as planned the SP can’t fail to increase.
Monk - the language that Peter has used in interviews has not made me think they will not sell at any cost. Peter fully aware of bull/bear market cycles and nothing I've heard has made me think they won't sell all/partial HODL near the bull peak later this year. Trading arm would be good but would require the right skills that it sounds like they don't have. Certainly would be an idea to try it out with a small % of the HODL to see if it was profitable though.
MWhite, I know what you mean about wishing the months away! I am way too addicted to this.
Excellent posts Argo bull. Unfortunately, I think Argo will not sell any BTC as they’ve made it plain that they think HODL forever is the way forward. Personally, I think this is an error and I’d much prefer to see Argo establish a trading arm which would likely yield a healthy profit. Sadly, I expect further dilution in the next 1-2 years to fund this expansion but would much prefer loans. Also, purely getting that number of machines will be an almighty challenge over a shortish time period. Still, it’s clearly a win.
Carrying on with my fantasy - how do we fund it?
Loan/Funding - would be a good option if good terms were available.
Dilution - don't like this idea but possible.
Organically - sell the HODL near the peak of this bull run. Use the funds to buy machines in the bear market at a discount. Use increased revenue to buy more machines. Use the increased production revenue to buy more machines exponentially.
Great to have that potential at a site already under construction.
Trying not to wish away the months !
ArgoBull
My contribution. “That’s very nice”.
:-))
Done some fantasy Argo Excel work. Pure speculation but just gives you an idea of what 800MW is.
With 800MW fully deployed at Texas, we could fill it with S19s or S19Pros. Both run at 3250 Watts (+/- 5%).
Assuming the upper bound usage (3412.5 Watts), we could host 234,432 machines.
For S19 this would give 23.3 EH, for S19Pro it would be 27 EH.
Now if we combine this with the immersion tech, and achieved a 40% overclock, we'd could be looking at 32.7 (S19) and 37.9 (S19Pro). Also there'd be a saving on the electrical requirements due to immersion rather than fan cooling.
The recent MARA purchase got S19Pro's at $4000 each, so let's say it would require USD $940mil to purchase this amount.
With hash rate growth over time, this would be around 10-20% of the BTC network.
At 900 coins per day this would give us 32850 BTC annually (at 10% of network hash), or 65700 BTC annually (at 20% of total network hash).
At current spot price of USD$38,500, this would be revenue of USD$2.5bil (10%), or USD$5bil (20%).
Discuss....