Galaxy Digital CEO Mike Novogratz believes that bear markets are ideal opportunities to continue building. According to his recent tweet, the cryptocurrency mogul remains a believer in Bitcoin in the long term.
Earlier today, it was announced that Argo Blockchain had agreed to sell Helios, its Dickens County, Texas-based mining facility, to Galaxy Digital for $65 million in order to avoid filing for bankruptcy protection. Furthermore, Galaxy will be refinancing Argo's debt. The transaction is scheduled to be finalized by the end of this month.
Novogratz views the firm's purchase of Helios as an important step towards “building for the decentralized future.” In addition to expanding Galaxy’s mining capabilities, the acquisition will provide them with the ability to act as a “host” for other miners as well.The company began mining bitcoin in 2021 and outsourced much of its operations to hosting providers during this period. According to Novogratz, they have always been open to transfering their miners to sites owned by Galaxy Digital—and Helios allows them to do just that.
Novogratz laid out a simple thesis for success in mining: secure low-cost electricity and purchase ASIC machines at cheap prices. By bringing its operations in-house with Helios, it would be able to gain these advantages.
The purchase aligns with Galaxy’s goal of creating a sprawling cryptocurrency ecosystem that now mining capabilities via Helios.