Bitcoin mining stock Bitfarms updates its ‘HODL Strategy’

on Jun 21, 2022
  • Bitfarms sold 3,000 BTC for about $62 million, with current holdings at 3,349 BTC.
  • The Bitcoin miner said it paid $38 million towards a BTC-back credit facility with NYDIG.
  • Bitfarms’ daily BTC production is approximately 14 bitcoins, which adds to company liquidity

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Bitcoin mining company Bitfarms Ltd. (NASDAQ: BITF) is changing its HODLing as it looks to “improve liquidity and strengthen its balance sheet.”

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The Toronto-based miner announced this via a press release on Tuesday.

Bitfarms updates HODLing strategy

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The change in strategy has seen the company sell nearly half of its BTC holdings over the past week, with 3,000 bitcoins sold for roughly $62 million in that time. Out of that amount, $28 million went towards rebalancing its $66 million BTC-backed loan with Galaxy Digital.  The loan facility has reduced to $38 million, the firm said in the press release.

Despite no longer HODLing 100% of its mined BTC, Bitfarms says it remains bullish. Jeff Lucas, the firm’s CFO noted this in a tweet.

Bitfarms holds 3,349 BTC 

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Bitfarms revealed that it held $42 million in cash and 3,349 BTC worth about $67 million as of Monday, 20 June, 2022. The company’s 14 BTC daily production adds to the liquidity.

The firm’s corporate liquidity is also helped by the $37 million equipment financing deal with NYDIG, which it says was closed last week. In total, Bitfarms liquidity currently stands around $100 million.


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