Argo Blockchain has applied for $57.5 million debt funding from the SEC for funding the mining facility.
The maturity date of the unsecured notes is due on the 30th of November, 2026. The proceeds from said unsecured notes will be used in the Bitcoin (BTC) mining facilities in West Texas to be initiated by Argo Blockchain, the filing specified.
In recent years, Argo Blockchain has made a strong push into the North American market, emphasizing the inexpensive and renewable energy sources accessible in many parts of the continent. The purchase and building of the West Texas facility prompted the company to take out loans from Galaxy Digital using Bitcoin (BTC) as collateral in June and September.
Per the SEC filing of Argo Blockchain, the company disclosed a staggering 2,128 Bitcoin (BTC) holdings that were mined from the said facility, but because Bitcoin (BTC) has incredible store value, Argo Blockchain will not liquidate any of its Bitcoin (BTC) holdings but would instead take a loan for the further facility development.
This mining facility is a project that Argo Blockchain is particularly proud of, seeing as the massive amounts of energy needed to mine Bitcoin (BTC) will be exclusively generated from renewable energy sources, supplying a total of 800 MW of power, thus, silencing any backlash regarding environmental hazard consequences.
In the filing, Argo Blockchain declared that “we believe that as cryptocurrency continues to develop as an emerging store of value and medium of exchange, it is increasingly important that this asset class evolves in an environmentally and socially responsible manner. We are committed to being the industry leader in the development of environmentally responsible approaches to cryptocurrency mining.”
The quick and bold decisions of Argo Blockchain are fueled by the China crackdown back in May that prompted the immediate relocation of Bitcoin (BTC) miners overseas. This occurrence made it open season on Bitcoin (BTC) mining and due to this, the United State as of this summer is dominating the Bitcoin (BTC) hashrate. As such, Argo Blockchain is a firm believer that mining activity will become quite lucrative and also sustainable given the incentive to use new technologies for reducing the massive carbon footprint.
In addition, the fund of $57.5 million will also be used to acquire mining hardware and equipment for the brand new mining facility in West Texas which is expected to officially begin work next year.