Argo Blockchain Sees 146% Increase in Crypto Mining Package Sales

A shattered crypto market has not deterred miners from purchasing crypto mining software packages, revealed Argo Blockchain.
The U.K.-based Mining-as-a-Service (MaaS) firm noted a 146% jump in its sales between October 1 and December 4 after selling a new batch of packages.
It led the company to beat its January 2019 sales targets ahead of time and by a notable margin. As of now, Argo expects to note an annual revenue of $6.2 million, up from $0.26 million when it listed on the London Stock Exchange.
Meanwhile, the firm stated that its net cash balance as of November 30 had reached close to $19.22 million.
Mike Edwards, co-founder, and director of Argo, claimed that their high revenue growth proved their strategies were working despite the crash in the crypto market lately. He acknowledged that the demand for crypto mining packages was already going up, which made Argo expand its mining capacity in September to cater to seven-times more subscribers. As expected, the supply underfed the growing demand, leading to an immediate sell-off of the mining software packages after release.
“Demand for the company’s packages continues to exceed supply, but the company looked to the future with confidence,” Edwards added.
Related Reading: US Mining CEO: Bitcoin Miners Are Being Flushed Out of the Market
Future Projections
Argo has a sustainable business model that could lead to “highly-profitable” fiscal quarters in the future, believes Alan Howard, a senior equity analyst at Argo’s house broker, Mirabaud Securities.
The financial expert explained that the firm had started posting profits just three months after the launch, with its annual revenue run rate hitting $2.5 million. He recognized that if Argo manages to sell 30,000 packages within the first 12 months of launch, its revenue run rate will peak to as highs as $18 million. It would remain profitable even after cutting down operational costs related to hardware, customer acquisition, and electricity.
“Longer term, the company is well positioned to develop a mass market and highly profitable global crypto-mining service, having already secured enough power capacity at highly attractive electricity costs (US$0.030-0.038 per kWh) to be able to service over 150,000 packages from its Canadian data centers,” Howard had said.
The company could also benefit from Bitcoin’s falling difficulty which makes it easier for miners like them to mine the digital currency while preserving the essence of its proof-of-work blockchain. However, the projections do not specifically describe how much of a role Bitcoin could play in posting bullish figures for Argo.
Simple Mining
The crypto mining sector faced huge losses after the crypto market crashed more than 80% from its all-time high. Miners that were bullish on specific cryptocurrencies pre-ordered expensive mining equipment, expecting their tokenized rewards would be met with higher fiat equivalent down the road.
At the same time, chipmaking companies such as Nvidia and AMD misread the demand for crypto mining equipment and oversupplied the market. As the demand dropped due to non-profitability, they eventually stopped manufacturing more mining chips.
Argo, on the other hand, has removed the necessity of owing mining equipment from the equation. Their users subscribe to their monthly packages, and they use the money to run their mining operations in countries with cheaper electricity rates – thereby, ensuring profits to all. Noting that Argo is heavily regulated, investors appear more confident in their business model.
Last checked, Argo shares went up 18.4% to 5.625p.
Featured image from Shutterstock.
The post Argo Blockchain Sees 146% Increase in Crypto Mining Package Sales appeared first on NewsBTC.
Source: New feedNewsBTC.com

UK Cloud Mining Service Argo Offers Bitcoin Mining at the Touch of a Button

London-based cloud mining firm Argo has announced that it will allow its users to mine Bitcoin using its rapidly growing platform. The number one digital currency by market capitalisation will be included next to a host of other popular cryptos from early next month.
Argo to Include Bitcoin as Part of Its “Mining as a Software” Platform
A cryptocurrency cloud mining company has announced that it will add Bitcoin to its roster of altcoins from November 1, 2018.
The planet’s most popular digital asset will join the likes of ether, Bitcoin Gold, ETC, Zcash, Komodo, and Horizen as part of Argo’s services aimed at aspiring crypto miners who are less tech-savvy. With Bitcoin’s inclusion, the total number of digital currencies supported will be seven.
According to a report in BusinessCloud, the decision to offer Bitcoin on the Argo platform was made in response to public demand. Mike Edwards, the company’s co-founder and president, had the following to say about Bitcoin’s inclusion:
“We have seen strong demand for Bitcoin and our growth strategy is customer-led. We look forward to offering even more choice as demand grows and we invest in our platform.”
Argo is a technology startup operating out of London, England. The firm offers digital asset cloud mining services for a monthly subscription. Their goal is to become the most trusted and transparent provider of mining services aimed at those who lack the technical know how or expensive hardware needed to provide computing power to a range of public blockchains.
The company, which was floated on the London Stock Exchange this August, has already seen a ten-fold increase in the number of subscriptions sold in its short existence. During its initial public offering (IPO), the startup was able to raise $32 million. It trades under the ticker ARB and currently claims to serve 4,200 cloud miners from around the world.
Argo operates extensive “state-of-the art data centres” out of Quebec, Canada. Excluding the necessary hardware itself, perhaps the largest overhead for cryptocurrency miners is electricity. Thanks to its abundant cheap energy, many mining operations have relocated to Canada in recent months. The cold climate also allows those running huge numbers of specialised computer chips in a confined data centre environment to save on heat extraction costs.
In a promotional video from the Argo website, the firm claims to be able to make anyone a Bitcoin miner “in under 5 minutes.” They state that their team comprises of experienced technology veterans dedicated to making cryptocurrency mining possible for as wide an audience as possible. This, they claim, is vital to the “widespread success of cryptocurrency.”
Featured image from Shutterstock.
The post UK Cloud Mining Service Argo Offers Bitcoin Mining at the Touch of a Button appeared first on NewsBTC.
Source: New feedNewsBTC.com