The exclusivity of the cryptocurrency sector is long gone as it is receiving more and more mainstream acceptance. Recently, London-headquartered Argo Blockchain has received approval from the London Stock Exchange to list its stocks on the exchange.
Argo Blockchain is a cloud-based crypto mining firm which works on a subscription-based model. It started its business last year considering the increasing difficulty in the mining cryptocurrencies due to the involvement of ASICS and big mining players. The firm’s operations are based in Canada’s Quebec province, a global hub for cryptocurrency mining firms, and has plans to extend its base to Iceland and China, where mining crypto is very profitable considering cheap electricity cost and cold climate.
Interested crypto mining enthusiasts can mine any of the four cryptocurrency options – Bitcoin Gold, Ethereum, Ethereum Classic, and Zcash – provided by the firm remotely on its mining rigs.
This is a huge advancement for blockchain-based firms as this will be the first crypto company to get listed on the London Stock Exchange.
KVB PRIME: Gateway to the World's MarketsGo to article >>
In a statement to Business Insider, Mike Edwards, co-founder of Argo, said: “Setting up a computer rig to mine cryptocurrency is challenging, inefficient and expensive. I knew that we had to change the game and democratize the process so that crypto-mining could become a mainstream consumer activity.”
According to Jonathan Bixby, another co-founder of Argo, the firm chose London’s exchange because of the city’s role as a global hub for financial technology.
“A London stock market listing will provide Argo with the profile, credibility, and access to global capital to drive our growth and help us establish a leadership position in the long term,” Bixby, who is holding the position of executive chairman at Argo, said.
Argo is planning to charge customers $25 or £18 a month for the mining activity. However, it is not planning to create a separate mining pool and will stick to the existing ones. Moreover, it will not hold any digital tokens for its customers and will limit one contract at a time for each customer.
Earlier in January Argo raised $2.5 million from private investors. However, the firm’s decision to push for an initial public offering (IPO) is not new as a similar step was taken by its market competitor Hydrominer.