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Lol. I bought some Microstrategy off the back of this pour encourager les autres. Up 30% since. I emailed my MP a few weeks ago and told him to tell the Treasury to exchange their worthless Sterling for bitcoin. They didn't. Apparently it's all under control.
The biggest currently is BTBT BitDigital with 2.25EH valued at $460m
The problem with them is that almost all of their mining operation is within a country world famous for stealing from Western companies, China. Also what is their 2.25EH operation worth if the CCP decide to turn off their power supply?
They are undervalued for a reason.
Meanwhile, all of Argo's kit is safely in Canada on plentiful hydro electric.
https://www.otcmarkets.com/stock/ARBKF/quote
$0.75 at close in US yesterday. About 55 pence.
I don't think OTC Pink has pre market trading either.
Yanks won't win this battle today. There was only 1.84m volume over there yesterday. Mostly <10k trades.
The key thing over the next week or so is getting the London volume up so we can f.uck off these 20PE dinosaurs and hopefully replace most of them with Americans and serious British investors.
Put it this way, Riot are currently valued above $1bn. They currently mine 550PH. Now this will be increasing to 3800PH in October and the market is pricing this in to some degree. But there must be some risk that bitmain fail to deliver this extra capacity.
Argo meanwhile currently produce 645PH and have 1075PH at their fingertips, yet are valued at $150m currently. Plus we mine 5% of global ZEC. Which is why I think the value arbitrage here once resolved put us on about $350,
Factor in $100k btc, a nasdaq listing and a further expansion and we are looking at billions. I mean Riot are already there and they mine less than us!
Not sure about PE 20, but even if that was true it is still cheap in this space.
Mara was trading at 195 forward PE and Riot somewhere close to 100 i think.
But London market thinks 20 PE is expensive. That's exactly why we need out of this market.
Tommy - I am looking for $350m here in fairly short order.
Mara produce 180PH rising to 1.28EH in June, 3.56EH in aug and 10.34EH in Dec 2021 - for $780m MCAP
Riot produce 550PH rising to 3.8EH in Oct 2021 for $1080m MCAP
Argo produce 650PH rising to 1075PH in Feb, currently $130m ish.
Mara and Riot are largely bets on the future ability of bitmain to deliver them ASICs. The beauty of Argo is that we already have most of production on tap. I see us trading at perhaps one third of Riot/Mara price - roughly $350M MCAP or just under £1 a share with btc = $27k.
With BTC = $100k ,a Nasdaq listing and future expansions I see several billion dollars here within a year or two. £10 a share.
So this was bid up to $220m in US yesterday. At $220m it is still well undervalued versus the US crypto stocks and somewhat undervalued versus the Canadians. So, although it was low volume yesterday, the valuations of those buying were still realistic compared to every other crypto miner in the world.
Then we start trading in the UK and within a few hours $100m is taken off the MCAP. I get it. There's more liquidity here and people need to top slice etc etc. But sadly for you guys, we can see how all the other crypto miners in the world are valued and we know London is filching us.
As a Brit, you have to ask yourself why you have your money in a market that is going to screw you out 40% of the value of your stock.
What the UK dinsoaurs may not realise is that Argo is a gateway drug for many to the US markets. Many people who bought Argo years ago also bought Mara and Riot in the US and they can see how these companies are valued in comparison. They can see how hard the US stocks run in comparison to their UK counterpart and they will have learned that the 1% max FX charge is a very cheap price to pay for these US stocks.
So, well done, London zombies, for chasing this UK capital away. Enjoy your giggles with Argo because after this, many of us won't be returning here.
1. China is mining BTC, they hold 65% of all bitcoin in the world.
2. I don't think this affects the actual mined bitcoin moved to cold storage
3. Because they want the ASICs cheap so they buy them cheap from the Chinese