MARA Boosts Bitcoin Holdings to Over 20,000 BTC

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Bitcoin miner MARA, formerly Marathon Digital, acquires $100 million worth of bitcoin, adopting a full ‘HODL’ strategy and solidifying its position as a major holder of the cryptocurrency.

Bitcoin mining company MARA, recently rebranded from Marathon Digital, has announced a significant expansion of its bitcoin holdings. On Thursday, the company revealed a $100 million bitcoin purchase, pushing its total holdings beyond 20,000 BTC, valued at approximately $1.3 billion. This amount represents nearly 0.1% of bitcoin’s total 21 million supply, marking MARA as a major player in the cryptocurrency space.

While specific details about the purchase timing and average price were not disclosed, MARA’s CFO Salman Khan stated that the company took “strategic advantage of favorable market conditions.” Based on the company’s previous balance of 18,536 BTC at the end of June, it’s estimated that this latest acquisition added around 1,500 BTC, likely purchased in the $54,000 to $68,000 range this month.

In a significant policy shift, MARA announced the adoption of a full “HODL” strategy for its bitcoin treasury. This approach involves retaining all bitcoin mined through its operations and making periodic strategic acquisitions. CEO Fred Thiel expressed strong confidence in bitcoin’s long-term value, stating, “We believe bitcoin is the world’s best treasury reserve asset and support the idea of sovereign wealth funds holding it.”

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This move represents a return to MARA’s previous strategy of holding all mined bitcoin, which it had partially departed from in recent years. The company plans to leverage existing cash reserves and capital markets to fund operations moving forward, allowing it to accumulate and hold more bitcoin.

MARA’s decision aligns with a broader trend of increased institutional support and an improving macroeconomic environment for bitcoin. The company views the recent price fluctuations as an opportunity to strengthen its position in the market.

In addition to its bitcoin-focused strategy, MARA has also begun diversifying into altcoin mining, deploying its first Kaspa ASIC miners in September 2023. This move aims to broaden revenue streams, particularly in anticipation of the upcoming Bitcoin halving event.