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The company stated: May was a significant month for Bitcoin because of the block reward halving on 11 May. A Bitcoin halving is a periodic event that cuts the amount of Bitcoin rewarded for mining a block in half. This change occurs at every 210 000 blocks mined or approximately every four years. A halving reduces the rate at which new Bitcoin is released into circulation and steadily reduces the total supply of new Bitcoin until all 21 million are released. Historically, halvings have reduced the level of inflation and have helped drive up the value of Bitcoin, thus maintaining an incentive for the most efficient miners to remain active, while older, less efficient miners become less profitable and exit the market.

Highlights:

During the month of May, Argo mined 252 Bitcoin or Bitcoin Equivalent (BTC) compared to 319 Bitcoin Equivalent in April. This takes the total amount of BTC mined in the first five months of this year to 1,489 BTC. The reduction in the number of coins mined month to month was largely a result of the halving.

Based on daily foreign exchange rates and cryptocurrency prices during the month, mining revenue in May amounted to GBP1.93 million (April 2020: GBP1.8 million).

Argo generated this income at an average monthly mining margin of approximately 34% for the month of May which is an aggregate of both pre- and post-halving mining rates (April 2020: 39%).

At month-end the Company held 117 BTC in Bitcoin equivalents, in accordance with the Company’s asset management strategy.

Argo’s total mining capacity stands at 18,000 machines and 730 Petahash, a 244% increase in hashpower from the end of last year. In addition, the company has 200 Megasols of equihash mining capacity.

Share price news

The share price hit an all-time low of 3p back in 14th April 2009. Fast forward to 2021 and the share price is trading at 18.5p. This represents a massive 516% price rise. However, as the coronavirus pandemic hit the price has fallen somewhat this quarter. This year’s highest price point was 26.04p and although the price has pulled back since then the price is in a clear uptrend.