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Mining company Argo Blockchain is selling off recently acquired equipment and is looking for new investors.
Argo Blockchain has officially announced that itwill have to stop their work due to lack of money. The company continues to look for new ways to get funding after failing with a key strategic investor. Argo expected to raise $27 million through a subscription to ordinary shares. However, as reported by the company, the subscription will not be completed on the terms previously agreed.
Over the next 12 months, Argo will continuelook for the necessary capital, but the company is not sure that it will be possible to conclude any new agreements or deals. If the capital is not found, the mining company will reduce all its operations, and possibly close forever, since further activities will only bring a loss.
So far, the company is trying to save money andoptimize liquidity: it sold 3,843 new Bitmain S19J Pro miners for $5.6 million. This equipment was scheduled to launch in October. Despite the forced sale, Argo's hashing power remained at the same level - 2.5 EH/s. Although the company expected to increase the performance to 2.9 Eh/s by the end of October.
Earlier, Argo Blockchain reported that rising operating costs, falling prices for crypto assets and increasing mining difficulty reduced revenue and net profit.