Crypto miner Argo better prepared than peers for downturn: analyst

Stronghold Digital Mining

29/06/2022 19:03

** Argo Blockchain  ARBK.O   ARB.L  is the publicly listed
bitcoin miner best financially prepared for a crypto bear
market, says Jaran Mellerud, analyst at Arcane Research 
    ** Mellerud cites Argo's strong balance sheet, low debt and
strong operating cash flows relative to upcoming mining machine
payments 
    ** "Argo is the only bitcoin miner that should be fully able
to pay for its remaining machine deliveries in 2022 with current
operating cash flows" - Mellerud 
    ** Argo also has the second-lowest bitcoin production cost
of listed miners at $3,900, Stronghold Digital Mining  SDIG.O 
has the lowest of $3,600
    ** Mellerud says Marathon Digital Holdings  MARA.O , the
largest publicly listed miner, is the "weakest" of its peers
with around $260 million in remaining machine payments this
year, 6.2 times more than aggregated operating cash flow 
    ** Remaining machine payments could drain Marathon and Riot
Blockchain's  RIOT.O  currently strong balance sheets, forcing
sales of bitcoin holdings or machines 
    ** Core Scientific  CORZ.O  has the highest operating
monthly cash flow, but high debt-to-equity ratio of 2.1
    ** Many bitcoin miners have been forced to sell their
holdings as bitcoin  BTC=BTSP  dropped 37% this month
 urn:newsml:reuters.com:*:nL4N2YB2Q1
    ** Argo's U.S. listing has fallen 67% year to date; Valkyrie
Bitcoin Miners ETF  WGMI.O  down 64% 

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 (Reporting by Lisa Mattackal)
 ((lisapauline.mattackal@thomsonreuters.com; +919945309224;
Twitter: https://twitter.com/LPM94))