Bitcoin mining Algo Blockchain, profitability rises significantly in December | coindesk JAPAN | Coindesk Japan

London-based bitcoin (BTC) mining firm Argo Blockchain’s mining margins have risen to 48% in December 2022, the highest in a year, according to the London Stock Exchange. It was announced in the materials submitted to the office.

“Margin” is a measure of profitability that is not defined in international accounting standards, and its calculation method may differ from company to company. The company’s margins had fallen from 75% in April, the highest in 2022, to 20% in August.

Argo’s mining volume dropped 29% to 147 Bitcoins in December, with revenue of $2.49 million. That’s because a storm in Texas, where the company’s manufacturing base is located, temporarily halted operations. To conserve power, bitcoin miners turn off power during peak power demands, such as the massive storm that hit the United States in December and the heat wave in July. Some companies, such as Riot Blockchain, have successfully sold electricity back to the grid.

Argo has been hit hard by rising global energy prices because it does not have fixed-price power purchase agreements at a large Texas mining facility called Helios. In December, Argo sold Helios to Michael Novogratz’s cryptocurrency financial services firm Galaxy Digital for $65 million and $35 million. (approximately 4.64 billion yen) and agreed to sell it on a loan, narrowly avoiding bankruptcy.

Argo shares fell 11% to 9.05 pence ($14) on the London Stock Exchange as of 11:00 UTC on January 11.

｜Translation: coindesk JAPAN
｜Editing: Toshihiko Inoue
｜Image: Argo Blockchain mining facility in Texas
｜Original: Argo Blockchain’s Bitcoin Mining Margin Widens Most In at Least a Year