Argo Blockchain Faces Nasdaq Delisting After ADRs Drop 61.8% to $0.382 Below $1.00 Floor

Nasdaq has initiated delisting proceedings against Argo Blockchain plc, a UK-based Bitcoin mining firm, after its American Depositary Receipts (ADRs) failed to maintain the minimum bid price requirement of $1.00 for the required period. The delisting notice, formally issued on July 15, 2025, follows a prolonged underperformance of the stock, which closed at $0.382 as of July 24, 2025 [1]. The company has requested a hearing with a Nasdaq Hearings Panel to contest the decision, temporarily preserving the ADRs’ listing status pending resolution [1].

Argo Blockchain’s delisting stems from ongoing financial and operational challenges. Shareholders have been informed of the delisting and advised to consider converting their ordinary shares into ADRs, though this process involves a $0.05 issuance fee per ADR and carries risks, including potential untradeable status for converted shares [2]. The company’s interim CEO, Seif El-Bakly, is overseeing the appeal process following the resignation of former CEO Peter Wall in 2023. Argo has also pursued financial restructuring, including the cancellation of existing shares and a proposed partnership with Growler Mining, to stabilize operations amid declining cryptocurrency valuations and rising operational costs [4].

The delisting has sparked mixed reactions among investors. Critics accuse the firm’s management of poor governance, with one shareholder describing executives as “sharks” who “cleaned them out.” Others remain cautiously optimistic, citing speculative forecasts that suggest ARBK (the U.S.-listed ADR) could rebound to 70 cents or that the London-listed ARB share might reach 5 pence. However, these projections lack grounding in the company’s disclosed financials and should be treated as speculative rather than indicative of likely outcomes [3].

The potential shift to over-the-counter (OTC) trading raises liquidity concerns. Historical precedents indicate that delisted crypto-mining firms often face diminished visibility and value post-relocation. Argo’s restructuring efforts, while aimed at regaining market confidence, may complicate its delisting timeline. Shareholders holding converted ADRs could face further uncertainties if the proposed equity cancellation and pro-rata payments are finalized [4].

The delisting underscores broader vulnerabilities in the cryptocurrency mining sector, where volatile asset prices and regulatory scrutiny have strained valuations. Argo’s struggles reflect the industry’s exposure to Bitcoin Cash (BCH) price swings and leveraged positions in DeFi protocols. For example, one shareholder detailed using Moria Protocol to collateralize BCH for stablecoin minting, illustrating both the sector’s opportunities and risks [5].

Nasdaq’s enforcement of bid price requirements highlights its role in maintaining market standards, particularly for high-volatility industries. Argo’s inability to meet these benchmarks has raised questions about its long-term viability as a publicly traded entity. While the company seeks to delay delisting through the hearing process, its success hinges on achieving regulatory compliance and restoring investor confidence.

Sources:

[1] London South East ShareChat (https://www.lse.co.uk/ShareChat.html?ShareTicker=ARB&share=Argo-Blockchai)

[2] London South East ShareChat (https://www.lse.co.uk/ShareChat.html?ShareTicker=ARB&share=Argo-Blockchai)

[3] London South East ShareChat (https://www.lse.co.uk/ShareChat.html?ShareTicker=ARB&share=Argo-Blockchai)

[4] Sharecast News (https://www.fidelity.co.uk/shares/stock-market-news/company-news/)

[5] London South East ShareChat (https://www.lse.co.uk/ShareChat.html?ShareTicker=ARB&share=Argo-Blockchai)