Bitcoin mining firm Argo’s $27 million fundraising deal has failed.
Bitcoin mining company Argo Blockchain’s deal to raise $27 million from a strategic investor has fallen through, according to an update posted on the London Stock Exchange.
Bitcoin Mining Company Argo’s Plans Failed
In addition to the challenging course of the crypto money market, energy prices are one of the topics that create problems for mining companies. During this period, mining companies are trying many things to combat rising energy costs.
Argo, one of the mining companies, made a strategic decision and signed a letter of intent to sell 87 million shares to an investor in order to ease the liquidity pressure. In the latest statement from the company, the following was said about this agreement:
“The company no longer believes this subscription will be completed under the previously announced terms. Argo continues to explore other financing opportunities”
Argo didn’t say anything about why the deal broke down.
The Bitcoin mining industry is at a critical moment as it struggles with rising energy prices along with the stagnant value of cryptocurrencies. Last week, Core Scientific warned investors that it might have to consider bankruptcy, while in September, crypto mining data center Compute North filed for Chapter 11 after it was revealed it owed $500 million to at least 200 creditors.
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