The latest Investing Matters Podcast episode with London Stock Exchange Group's Chris Mayo has just been released. Listen here.
Luckily I only lost profit not capital and can live with that. But I no longer want to be invested in a company that stoops to this level. As Duckman says trust is gone, so it would be hard for me to believe their communications going forward. GLA.
Hi Duckman - great post. 100% agree with you, but I personally sold all my shares today. The news should have been RNS’d as soon as they knew. Total disgrace waiting until this morning to do so. They clearly allowed friends/family etc to exit this week at high SP. Frankly there should be an inquest by the regulators, plenty of people defrauded today. Unfortunately we all know there won’t be.
Hi Sezz - tell me about it!! BTC flying high, but only Mara met my target, sold that at 41.5 and will put into ARB tomorrow morning. SOS and HIVE clearly being shorted and I was tempted to sell at smallish loss, but if BTC kicks on to knock on the door of 60k I can see them doing 20 or 30% as the shorts get squeezed. So left them alone, but if BTC fades we get the opposite effect. Want to get out of them though, so one decent kick on from here and I’m out. Feel much more comfortable with ARB.
Looks like I may have timed things right for once. But could all be made up, let’s see. But sentiment is building again, so I’m hoping 3p not out of the question short term. History has shown repeatedly that if you sell RMS at anything over 3 then you always get back in lower within days. One of these days that won’t work mind you!!
I got back in this morning after selling my CLP. market was moving quickly at the time and I paid between 1.95 and 2.1. Quite a bit more than my target 1.8, but still a decent amount under what I previously sold for. Sentiment seems to be building again, and I've always said these will sell, but they still need to sort themselves out big time.
Yes, HIVE really annoyed me yesterday, nowhere near my exit price. I agree with Eva, yesterday was weak, but probably down to hangover from the massive rally 2 days ago. Nasdaq looking a bit stronger today, and BTC above 56k again, so am hopeful of some strength, then I'll do my switch trade to put me 100% ARB. SOS just a basket case, the sooner I'm out of that the better.
BTC holding up well, but US miners not hitting my targets for my switch trade. Annoying, but I guess hangover from yesterday. ARB holding steady, no doubt placing still being offloaded in the 240-245 range, but was only 3% so when done expecting a leg up if BTC stays over 56k. Hope I don't miss it, but I already have 60% of my miners in ARB anyway.
BTC doing well. Am thinking of exiting all my MARA, SOS and HIVE today (assuming I get a decent bump up) and putting it all in ARB (well some in RMS too, though I missed my opportunity to get back in at 1.8 which was my target). ARB is still depressed because of silly 3% placing that was badly communicated (which surprised me, their communication has been good recently). However investors have short memories so should work though fairly quickly IMO. thoughts? Eva R U still sitting out crypto?
Hi Mafioso - thanks for posting the link. He basically confirmed what I and Mumbo guessed, i.e. that all costs; investment, working capital, opex are being funded by capital raise not income (i.e. BTC mined). I think he will get away with it this time, but this is not sustainable in any business. BTC will not just keep going up, and when it goes down the SP will go down and you will get the reverse effect. So I hope this is last time, and hopefully enough cash to keep them going for a while. They should introduce a programme of selling a proportion of their BTC mined each month, and saving the rest. One good think is I thought he looked a lot more nervous than in previous casts he has done. I think he at least noticed the backlash and will be more careful next time. Luckily for him he is being bailed out by strong BTC, though we should really be at 275 now....
Mumbo - exactly right. They need to realise they have to sell some of their BTC to fund expansion plans, working capital and operating expenses. They can not expect shareholders to put up with a continual series of dilutions to do this. They may believe BTC will go up for ever so this is in shareholders theoretical interest, but I’m sure most shareholders, me included, do not.
Unfortunately I’m holding it! But BTC holding up. We know that over the long term it should be positively correlated to 10yr treasury yields, although don’t see that in short term noisy moves. I’m hoping that it what we are seeing here. HIVE doing well luckily.
Hi Eva, if they were spending it on director’s bonuses then I’d have to agree with you. But they are building a massive plant in Texas, or do you think this is a scam? I actually agree with you they shouldn’t be doing this, they should just sell some of their Bitcoin. Funding it this way does not send good messages to shareholders, maybe they’ll fund everything by equity raise going forward?
But the company is built around bit coin and the belief it will continue to rise in price (the CEO now paid in Bitcoin so he must believe it), so to them they think that raising shares in Fiat currency to produce future BTC revenue streams is the cheapest capital.
Again, I’d rather they just sold some Bitcoin, but if they spent all this cash on a summer party it’s only about 10p off the share price. More worrying at the moment are the market sentiment issues you have rightly been calling out, if that spreads to BTC itself there are bigger problems.
I couldn’t get any unfortunately, website swamped.
I’ll buy more ARB in open market if it dips tomorrow, but don’t think it will much this time. Dilution much smaller than last time, plus we know they r using the cash to expand operations, which is what we want them to do.
Here goes;
ARB - no need to comment
SNG - no need to comment
RMS - am presently out of these, will look to re-enter at 1.8. They have a product that will sell for years IMO. Once they decide they are serious about their business they will do well. But high risk, they have trashed their business so recovery not certain, and they need to hire a proper business man as CEO.
MODE - long term play I am holding. If BTC payments system takes off will do very well. But high risk, I am not totally convinced on it. Downside from here appears relatively low in interim.
EQT - Great entry price if green energy stocks come back into fashion. Imminent court case result needs to go in their favour, also a tie up with Wood group would boost SP. long term multibagger if things go right.