Cryptocurrency mining firm Argo Blockchain is continuing to sell its bitcoin (BTC) holdings to Michael Novogratz’s crypto investment firm Galaxy Digital to cut its debt.
Argo sold another 887 bitcoins in July to ease obligations under its BTC-backed loan agreement with Galaxy Digital, the company announced on Friday.
With an average BTC price of $22,670, sales totaled $20.1 million, which is a significant portion of the maximum outstanding loan balance of $50 million in Q2 2022. As of July 31, 2022, Argo only had an outstanding balance of $6.72 million. BTC backed loan, announcement note.
The latest sale came shortly after selling another 637 BTC in June 2022 for $15.6 million. The firm reported that as of the end of June 30, Argo owed $22 million on the loan.
Despite actively cashing out its bitcoins over the past few months, Argo still has a notable stockpile of bitcoins. As of July 31, 2022, Argo held a total of 1,295 BTC, of which 227 were represented by BTC equivalents.
In the latest operational update, Argo also noted that the company significantly increased its mining volume in July. During the month of July, Argo mined 219 BTC or BTC equivalents, compared to 179 BTC mined in the previous month. Based on daily foreign exchange rates and cryptocurrency prices during the month, mining revenue in July was $4.73 million, compared to $4.35 million in June.
related: Riot Blockchain’s bitcoin mining productivity drops 28% YOY amid record Texas heat
Focused on cryptocurrency mining, Argo is a public company listed on the blockchain firm Nasdaq and the London Stock Exchange. Argo is one of several crypto mining companies that opted to sell self-mining bitcoin amid the bear market of 2022, including firms such as BitFarm, Core Scientific and Riot Blockchain.
In contrast, crypto mining firms such as Marathon, Hut8 and Hive Blockchain Technologies have chosen to stick with the long-standing HODL strategy despite extreme market conditions.
