Member Info for Billfunk1

Agree with performance based pay.

Don't agree with dividends. Too much effort goes into converting fiat into BTC - depreciation and salaries - so to convert that straight back to fiat is counterproductive. We should keep our appreciating assets as these will be worth more in the long term.

Fiat Poverty and Crypto Poverty

The BOD have pleaded poverty but which is it? Could these be the only crypto miners in the history of bitcoin not to hodl any coins at all? Several of them have a stated "passion" for crypto and many have been in this space for years, but they don't hold any BTC at all. Believable? Or are they blowing smoke up our a.rses?

Remember folks, even crypto maximalists require a bit of fiat - for mortgages and taxes. That's where we come in. But most of their wealth is in crypto and they don't want to spunk that away on a fiat venture like this. Because BTC > Fiat and Argo is fiat not BTC.

I think that would be some kind of fraud, Sunshine69, and I don't think for one minute they are doing that.

I would assume they have separate mining set-ups or else just purchase them off the open market like anyone else. My suspicion - and it is a very strong suspicion - is that they have significant personal crypto assets which they would rather hold than Argo stock. Who has ever heard of a crypto miner who is not a crypto-maximalist hodl obsessive?

That said, there is probably a great deal on consternation in the BOD that these 7p options have not been excerisable to date. It feels to me like that level was set so as to be easily achievable and facilitate skin in the game.

I did not know that, jayblu48. Would you happen to know any documentation where this is mentioned so I can read up on it?

Very true, MickSnags1. If they have to be forced kicking and screaming into buying shares then it does somewhat undermine the whole point.

Riddle me this:

Peter Wall said the team were thinking of investing but money was generally tight. I wonder how many BTC each team member holds personally? I suspect that several of them have quite large holdings of BTC (what with being in the crypto space for years) but are unwilling to sell this pure exposure for merely "a good proxy".

So wouldn't we be better off just getting a bitcoin wallet and hodling? How does Argo intend on adding value to that basic hodl proposition?

Just to take some heat out of the conversation I thought I would ask a question related to Argo but not touching on any of the hot button issues creating the heat. Namely, what do guys predict the price of BTC will be Dec 31st 2020, Dec 31st 2021?

Me something like:
Dec 31st 2020 - $15k
Dec 31st 2021 - $100k

Stock to flow suggests a peak in this halving cycle of $288k and next cycle of $1m +

Genuinely interested to hear your opinions on this.

shandypants2 - Someone seemed amazed people had asked about a dividend as this is pointless for a growing company.

Why? Because if you are a growth company in a growth sector you don't waste your profit in early handouts to shareholders, you invest it back into the company for future growth. This is evidenced by just about all the most successful companies in the world. Early dividends kill growth.

There are literally thousands of companies with better long track records of providing fiat dividends than Argo.

https://www.youtube.com/watch?v=5yzz2sVTfV8

Peter at the end of the end states "We are a good proxy for bitcoin". That's what he is selling us. His vision does not feature any PE expansion only that he offers those technophobes in London some bitcoin exposure so they don't have to work out how to use a bitcoin wallet. That's why most of them aren't invested here. They all probably buy BTC off the market every month with their salaries but they wouldn't touch Argo with a bargepole! After all, why not cut out the middleman?

https://hut8mining.com/wp-content/uploads/2020/05/Hut-8-MDA-Q1-2020-Final-1.pdf

Digital assets worth 27.3m CAD.
Cost of BTC 11, 296 CAD or $8,411

Average quarterly cash burn since Q2 2018 of 17.5 CAD. Bust by Christmas?

Correction HUT8 MCAP is 112m CAD not 74m (blame yahoo finance).

So that's £66m. FFS.

Just had a quick look at HUT8 statement of 11th May and it appears that:
1. Overall efificency <10PH/MW = abysmal
2. For some reason sold all their BTC during the March dip (?!)
3. Therefore f.cuked their margins completely.
4. Don't appear to be holding any BTC (!). A truly stunning and bizarre strategy if true. (I must be wrong)

These guys appear to be complete morons on a par with Gordon McRuin Brown selling most of our gold at the bottom of the market in the early noughties. Still Toronto (?) valuing this ****house at £45m (74mCAD)! More grist to the "Undervalued Argo "Mill.

ShandyPants2 - According to the website, Matthew Shaw, NED, is still our contact on Protos. My own take on the reason why the Protos contract was not renewed is because the price action appears to be much more stable during the past month. I am swayed by the thesis that this is due to the BTC options market. Basically, the exchanges make their own markets by selling the majority of the call options on their exchanges (that's the rumour). This leaves them with huge liabilities every month and a sizable financial incentive to short the market in order to keep the price below the majority of these call options. A similar argument exists to a lesser degree for puts below 9k (this is also the level at which institutional buyers are tempted to add I would think). So we see fairly stable price action between 9k and 10k and the need for a smart quant system like Protos is undermined somewhat.

Looking at the June 26 options on derebit we have 4000 10k calls, 2000, 10.5k calls and 4000k 11k calls. It is perhaps unsurprising therefore that BTC has rejected the 10k level several times already this month. It is witching hour tomorrow and I am hoping to see some of these options push out towards 11k and 12k as this will hopefully be reflected as a ceiling for July.

This said, today has been bearish and a test of 9k looks possible. Another crash to 5k is always a distinct possibility. I would be adding BTC, RIOT and maybe even ARB at this level.

GLA.

Gushe - not in so many words. I have emailed about the potential for a US listing and have been vocal here about it, whilst supporting the calls for skin in the game. I was under the impression from reading this board that we were sending them questions regarding the US listing as well as insider buying.

It seems I got the wrong end of the stick!

Just reading now the question about a special dividend. The mind boggles! The whole point of Argo is that it converts fiat into BTC because BTC > fiat. To convert that back into fiat is self defeating. Also, what growth tech company hinders its growth by issuing dividends? Bizarre. Mine and HODL BTC. Screw fiat because every government in the world is screwing fiat.

Also here's a few everyone seems to have missed:

1. "Do you think the investment case for Argo remains strong in the short to medium term?"
2. "Based on your answer to question 1, how much do the 7 team members plan to invest in the next 6 months?"

Ask bland impertinent questions get bland responses.

The main (only?) question for them is what specific factors do they feel are causing the woeful share performance and what specifically are they doing to counteract each of these factors?

Or to put it another way, "If you are doing everything well, then why are things going so badly?"

134k

No wonder you are ****ed!

How many do you hold, Spitfire44?

How many do you hold, Trek?

Thanks TomBillion, I think that's what I looked at. The BOD need to respond to this directly. I have emailed them on the address provided by Oilbagger. I would suggest that people here, after comparing the performance of RIOT and BTC, write their own emails asking why the BOD are happy foregoing double digit daily SP rises and suffering an MCAP one tenth what it would be in the US.

How much is it exactly? I did have a look after I posted this and it looks like you can get a listing for under $100k a year. Well worth it for a $100m uplift. Maybe someone could throw some light on this? I'm almost at the point of calling bull**** on it. And why is London so unresponsive compared to the US? Patience is not always a virtue. Look at Riot's performance today - over 20% now! Yet that's an inferior company to Argo. Please one of you experts explain these things to me because from where I am sat London is a ****hole market.