invezz.com
Bitcoin mining company Bitfarms Ltd. (NASDAQ: BITF) is changing its HODLing as it looks to “improve liquidity and strengthen its balance sheet.”
The Toronto-based miner announced this via a press release on Tuesday.
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Bitfarms updates HODLing strategy
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.
🗣️ Jeff Lucas, CFO: “While we remain bullish on long-term #BTC price appreciation, this strategic change enables us to focus on our top priorities of maintaining our world-class mining operations and continuing to grow our business in anticipation of improved mining economics.”
— Bitfarms (@Bitfarms_io) June 21, 2022
Bitfarms holds 3,349 BTC
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.