Argo Blockchain’s shares plunged by 7.5% on Monday after the London-based mining company disclosed a 20% decrease in mined Bitcoin in January.

As per the company’s January financial update, Argo Blockchain mined 124 BTC, representing a 20% decline in daily BTC production compared to December 2023. The company attributed the decrease to a “16% reduction in Bitcoin-denominated hash price” and factors such as “weather-related curtailments” in Quebec, Canada, and Texas, USA, where its facilities are located.

“The decrease in hashprice in January 2024 was driven by lower transaction fees on the Bitcoin network and higher network difficulty compared to December 2023.”

Argo Blockchain

Following the news, Argo’s shares (ARBK) on the Nasdaq stock exchange plunged by over 7% to $1.93, according to Google Finance. Overall, Argo reported a revenue of $5.3 million for January, reflecting a 19% decrease from December 2023, when it recorded $6.6 million. As of Jan. 31, Argo held approximately 18 BTC on its balance sheet, as outlined in the financial report.

Commenting on the production decrease, Argo Blockchain CEO Thomas Chippas pointed out that crypto miners provide a “unique source of baseload demand which can be quickly curtailed to free up electricity for other users on the grid.”