Marathon Digital Raises Bitcoin Stash with $100 Million Purchase

Marathon Digital, the world’s largest Bitcoin mining company, has announced its latest purchase of $100 million worth of BTC, increasing its holdings to over 20,000 BTC.

According to a press release, Marathon is changing its approach to its Bitcoin treasury policy and adopting a full HDOL strategy. This means that the miner will keep all the BTC produced during their operations and will periodically make more open market purchases in the future.

Marathon adopts the BTC HODL strategy

Marathon CFO Salman Khan revealed that the mining entity used to hold all its bitcoins before 2023. Most likely, the company unloaded some of its assets last year to cover operating costs and stay afloat

Bitcoin’s current tailwinds, improving macro environment and increased institutional support have given Marathon enough reasons to return to holding BTC and focus on growing its stash. Thanks to its strong balance sheet, the company took advantage of the recent fall in bitcoin to acquire more assets.

Fred Thiel, President and CEO of Marathon, said: “The adoption of a full HODL strategy reflects our confidence in the long-term value of bitcoin. We believe that bitcoin is the best treasury reserve asset in the world and we support the idea of ​​sovereign wealth funds holding it. We encourage governments and corporations to all hold bitcoin as a reserve asset.”

Marathon diversifies income

The latest BTC acquisition comes as Marathon works to diversify its revenue and mining operations. About a month ago, the company revealed that it earned almost $15 million in KAS from mining operations on the Kaspa community-run decentralized network.

Notably, Marathon is not the only Bitcoin miner that has diversified into other networks and sectors; while some companies have ventured into artificial intelligence (AI), others offer IT services or mine different cryptocurrencies. Since Bitcoin’s crackdown halved miner rewards by 50% in April, affected companies have begun spreading their wings in multiple directions to stay in business.

Bitfinex analysts say miners’ operations will be profitable going forward due to bitcoin’s latest recovery. Although these entities are no longer exerting significant downward pressure on the price of bitcoin, Bitfinex experts have seen signs on the chain that suggest they are almost done selling BTC to upgrade machinery and maintain operations.

Meanwhile, Marathon Digital is using the heat from its Bitcoin mining operations to heat a community in Finland of approximately 11,000 inhabitants.

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