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Except another corporation could announce they have bought a couple of billion and BTC will rise despite charts indicating consolidation or retrace.
For example Larry Ellison is on the board of Tesla. He is also its second largest share holder. Oracle of which Larry Ellison is the Executive Chairman and founder has $40B in cash (twice what Tesla was sat on) Larry would have voted for the Tesla Bitcoin purchase.
CFO of Twitter has announced they are looking at it. Given Jack Dorsey and Square. Either of these could for example happen tomorrow what’s better than a 4% pullback in BTC to buy the BTC for the corporation treasury.
If an additional 5 % of shares are issued but the affect is an increase in share price by 10% it isn’t dilution.
Dilution happens in small cap companies that don’t make any money and issue more shares to pay salaries and the share price goes down
It needs a $2 share price as part of the criteria.
That is a reason to hold shares and not trade them so we get there and benefit from an uplift of being admitted.
Also gains by NASDAQ miners c. 50% today vs 20% for non NASDAQ listed (not just us)
Being slightly mischievous, however Tesla had to disclose how much BTC it bought due being publicly traded.
Space X isn’t publicly traded. So, I wonder how much spare cash Space X has and if they bought some BTC as well?? After all it will be the currency or Mars...!
There are now a load of other companies who were at the Michael Saylor event looking at this going every time a large corporation drops $1Bill+.... Bitcoin is getting more and more expensive for us to buy in.
I think we might see a couple more big corporation buys over the next week or so as corporate FOMO kicks in.
Say what you like about how much of a maverick Elon is, Tesla wouldn’t have done this without robust due diligence.
It seems Bitcoin hodl has a bearing on value. Hut8 only just broke even on their mining operation, last quarter. (That was with time when Bitcoin was in late 20s). However the Bitcoin already hodled forgives a lot. I have highlighted this to some commentators.
At the end of the day, if the fundamental business isn’t sound, it will erode the hodl, so why not just buy Bitcoin on an exchange.
What we have with Argo is a very strong and efficient fundamental business, which is very additive as BTC price increases.
Plus on the subject of Total, you have got lots of kit and people next door on some ground that is good. Wouldn’t the more cost effective and easier thing logistically be to get some more ground close by rather finding something else in another part of the world?
I think it is wrong to refer to the placing as dilution. Dilution is what small cap oil explorers do when they have not found any oil, can’t pay salaries and are just trying to keep the company going. I.e the asset can remain at a similar level as more and more shares go into circulation but with each being worth less.
We issued more shares through the placing, but what we issued the shares for will have an orders of magnitude benefit for the company and substantially increase the value of each share, even though there are more of them. I think the fall in BTC some what skewed the impact of this placing rather than the placing itself.
I don’t think it is unreasonable that if Jeremy is going to miss a publicly announced deadline regarding the South Africa analysis he should provide an update as to where things are at or when it can be expected.... (I know New Age are doing the analysis, however Jeremy announced when it would be available and should be managing them to the deadline)
Taken from the RNS on 16 December 2020
New Age has reprocessed the existing 2D seismic data over the license during 2020, which has yielded a considerable improvement in resolution, and expects to have updated analysis and volumetrics available in January 2021, which will also be made available to potential farm-in partners.
I would add some broader themes around BTC that should benefit Arb. The impact of below is up for debate, but would say more positive than negative.
Appointment of a SEC chair who is comfortable with BTC. The head of Crypto in the SEC has been promoted to directly report to him
$3.7B in BTC options expiring tomorrow, consensus is that quite a few of these options are bullish.
Michael Saylor’s 2 day conference next week where he will share his playbook including the legal and regulatory aspects of businesses holding BTC as part of their treasury. While the attendee list hasn’t been published, it isn’t going to be your average corner shop owner.
Blionty’s video yesterday had a 2021 price for Argo at $24 per share at a PE of 40 which is close to your assessment. I don’t think he took into account running costs being offset by cash rather than selling some BTC to cover running costs.