Bitfarms changed it’s bitcoin strategy
Recent cryptomarket events made Bitfarms to change the strategy it was following before. For increasing the liquidity and strengthening the balance mining company sold about 3000 BTC in equal sum of $62 millions. The company paid off loans by $37 millions and shortened the credit line by $28 millions using part of revenue.
The finance chief Jeff Lukas said that the extreme volatility on the market makes Bitfarms to decline the credit responsibilities and increase the liquidity. In this case they decided to refrain from keeping all quantities of mined cryptocurrency.
At the same time Lukas admitted that the company keeps assurance that the rates of BTC will rise in the future during the long-time period. Thus the changing of the strategy will help to focus on the mining and widening business by the time when the situation will improve.
Also the finance director noticed that the chosen method is the most optimal in the current situation because it helps to maintain daily mining as the source of liquidity.
In April Arcane Research marked Bitfarms as an overestimated mining company and admitted that it buys electricity for high prices.