Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Another piece of the jigsaw puzzle coming together. Time and patience turns the mulberry leaf to satin.
Argobull: correct. But it’s also true that bitcoin price increase appreciation has out stripped difficulty adjustment so far, ie making miners more profitable as long as they keep adding to their hash rate. Atleast that’s my understanding, could be wrong.
Apologies, double post. Phone playing up
Rockon: she’s moved to a director post in Silvergate. There must be some conflict of interest. Again music to my ears ;)
Rockon: she’s moved to a director post in Silvergate. There must be some conflict of interest. Again music to my ears ;)
Flowerpot: short term pain long term gain is always true. Investing in our relationship with ePIC is very important, crucial to our value differentiation. I see them as top notch partners with deep expertise. They will bring an ASIC for Bitcoin that knocks Bitmain off the top perch imho. Eventually. Note ePICs other customer: Core.
Nope. If they had bought coin on the market they would have said as much. I think this is coins generated by hashrate switching or some other form of yield. Luxor and it’s partners have deep experience of this. So far it’s been speculation on my part, I confess. But these numbers are interesting.
Avocet: note they mined 167 coins, yet increased their HODL by 292 coins (1836 coins Sept—> 2128 Oct). I don’t think that’s purely ZCash influence.
I’ve been pondering over the same questions Krautyankee. Argo are spending cash on developing a huge facility which they own. I think they want to retain the flexibility of acting as events transpire, be that bitcoin correcting or other coins taking off or newer DeFi projects that attract interest. For sure they have hedged bets instead of being a bitcoin pure play. A lot of frustration here (inc myself at times) is because we expected this to gallop as bitcoin took off, and it simply hasn’t. Disappointing for sure. Some of the sentiment may be market sniffing out missteps (everyone makes errors of judgement but we are unfortunately in a culture where it can’t be admitted to) or just realising this is not a pure bitcoin miner. Our other revenue threads are obscure presently. Hopefully we find out more about what Pluto for ex is up-to soon. There are plenty of bitcoin miner choices for the less patient or for those who have lost faith in Argos strategy.
600: the hashing capacity and coins mined don’t add up because they must have a significant chunk of machines down. There is discussion on Twitter about some cos over representing the numbers of working miners or not sharing maintenance issues.
Amanensia: We have a good relationship with Core who host our machines at their facilities. Core in turn is the only servicing facility for Bitmain outside China. So yes I reckon we can get deals that bigger companies can’t. It’s not just about throwing big money at it, relationships do matter. But this is merely my opinion.
Cheers Hex, makes sense. To be fair the share based payment for the Texas deal is staged based on progress.
Hex: the unaudited half yearly financial statement had this: “Payments to ePIC ASIC Asia Limited comprise £3,429,826 and the balance of £32,041,673 was paid to Core Scientific Inc in advance of machine purchases to be received after the period end.”
So there are some ePIC machines on order I guess. I think these will be a different coin, not bitcoin ASIC. This is why the market has hammered us: uncertainty, on exactly what we are getting, when we are getting it and what it translates into, in terms of approximate revenue.
I noticed also the tangible value in half yearly, attached to the Texas land and buildings, was some £28m. How did they reach this figure when there was nothing built there? (at the time of the half yearly statement I mean).
Fund holds coins. Futures ETF speculates on price direction without holding actual coins. Could be wrong but that’s my view.
https://medium.com/luxor/luxor-pre-seed-financing-round-1d8d95965152
The money was for hires. But we have a relationship with Luxor for nearly 2 years. We trialled their software for Zcash in 2020 and for SHA-256 this year. Lastly the hashrate derivatives to improve gains for miners and focus on ETH, latter of which is mentioned in our prospectus. As Saylor says, the war between miners is going to be technological, not just brute energy or tonnes of hardware. So improving ASICs, improving cooling, optimising hashrate allocation will make the difference.
https://m.youtube.com/watch?v=aUEhwe2GvtY&feature=youtu.be
Hex: I look at the calibre of our associations and it reassures me. HC Wainwright for the previous raise told me there was big appetite in the USA. Navier, Guidehouse, partnership with ePIC (Henry is a legend imo and he chose us) , Luxor, Core Scientific etc. The construction video suggested 25,000 sq ft being built a week, and work ongoing for 2 months. The staff numbers at Argo were some 24 at last count on LinkedIn. They are getting on with the job and share price will do what it does. When value is demonstrated, it will transform sentiment.
Hexam: thank you for sharing your thoughts. I would add: PE ratios on Nasdaq for tech companies can be significantly higher. Secondly given our sizeable investment and focus on DeFi space, I can see those investments generating big gains eventually. Pluto for ex does staking. I happen to think £5-10 a share is definitely achievable if one has patience. If one lacks conviction in either bitcoin’s future or the team executing here, then no point to holding, they should exit imho. There are plenty of “opportunities” after all ;) Good luck.
https://www.rechargenews.com/energy-transition/rampant-solars-100gw-texas-grid-queue-puts-wind-power-in-the-shade/2-1-1085068
Huge solar energy project queue. Note the tax breaks on capital expenditure. I think Helios will have a mix of wind and solar.
Bonker: interesting comments, because yes our training and background influences our thinking. Even the RNSs from Mara are imho purely on number crunching and at times dishonest imho. For ex stating we will produce “x” coins by mid 2022 and generate “y” revenue of bitcoin price is “z”, is ridiculous. It ignores the mechanics/equilibrium between hash rate, difficulty adjustment and price. But the market loves it. Market hates a company that stays quiet on future coin numbers or revenue. Because frankly it’s impossible to predict.
On the style of thinking, PW and others (Seb for ex) are looking beyond 4 year cycles, even counter cyclically. They disagree fundamentally with Maras model of throwing the kitchen sink at miners. So no chance of that merger if this team stays in ARB. I like the fact ARB is trying to differentiate. But it’s still valued essentially on its mining business. That will change eventually but not before we lose a chunk of impatient PIs.
Bonker: the difference in thinking and approach towards growth was clear b/w a Mara and ARB. The biggest hitter to enter the space will be Core Scientific, and they believe in full vertical integration. Mara’s growth is focussed on mining machines and hash rate and feels somewhat myopic to me. Time will tell which approach is better.