Trading in London-based Argo Blockchain ( ARBK ) shares was halted in the United Kingdom and the United States on Friday. The exact reason for the trading halt is unclear, but there are frequent reports.
The deal falls through the cracks
As of late October, Argo Blockchain was still diligently seeking capital to keep things afloat. Unfortunately, it had to report that a deal worth $27 million fell through during that period. In response, shares have already plummeted more than 70 percent. “If Argo fails to secure further financing, it will soon become cash flow negative and may have to cease operations,” the company said in a statement to the London Stock Exchange in October.
We are now less than two months away and the party is over for Argo Blockchain. At last Update from November end, Argo says it is in ongoing discussions about financing to “provide adequate working capital for the company.” It mainly deals with short term financing. Now it seems that funding Argo Blockchain has come too late or not at all.
Trouble started in October
Problems with Argo Blockchain came to light in early October. At that point, the company suddenly had to Mining Hardware Sales Meet its obligations and follow the strategy consistently. If a bitcoin miner has to sell their own miners, you know something is wrong. Of course, these parties do it only if they have no other choice because it is the only source of income.
In November, Argo Blockchain managed to collect 198 bitcoins, and in October it still had 204. Turnover was significantly lower at $3.46 million from October’s $4.0 million.
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