Marathon Digital Reports 17% Increase in Bitcoin Production, Expands Holdings

Marathon Digital

  • Marathon Digital boosts Bitcoin production by 17% to 692 BTC in July 2024.
  • Marathon Digital now holds 20,818 BTC, worth over $1.14 billion, with a “full HODL” approach.
  • Marathon Digital’s operational hash rate hits 27.5 EH/s, aiming for 50 EH/s by 2024.

Marathon Digital, the world’s largest Bitcoin miner, reported a 17% increase in production, reaching 692 BTC. As part of its “full HODL” approach, it now holds 20,818 BTC, worth over $1.14 billion as of July 31, 2024.

Marathon Digital Holdings focuses on increasing Bitcoin output and expanding its reserves. Marathon’s treasury policy in July included a full HODL, the crypto slang term for “hold on for dear life” approach, rather than selling Bitcoin. This entails retaining all mined BTC while deliberately purchasing more Bitcoin on the open market.

This increase is attributed to the successful implementation of strategic initiatives, including a hash rate recovery effort at the Ellendale facility operated by Applied Digital. These efforts led to a 27% surge in block wins, bolstering the company’s mining capabilities.

The average operational hash rate improved by 5%, reaching 27.5 exahashes per second (EH/s). This development is part of Marathon’s broader strategy to enhance mining efficiency and output amidst fluctuating Bitcoin prices. 

The company’s chairman and CEO, Fred Thiel, remarked on their commitment to aggressive mining strategies while optimizing available mining economics.

Technological Upgrades and Hash Rate Goals

In pursuit of operational excellence, Marathon Digital has initiated the deployment of advanced mining technologies at its Granbury site. The transition includes shifting from air-cooled systems to immersion containers to boost mining efficiency. Although this shift is expected to reduce the site’s hash rate temporarily, it is seen as a crucial step towards achieving higher performance in the long term.

Marathon plans to energize the first set of 18 immersion containers by August, with the full deployment expected to be completed by the end of the year. Despite the temporary setbacks, Thiel expressed confidence in reaching a hash rate goal of 50 EH/s by 2024. During July, Marathon energized nearly 5,000 new miners and relocated 10,000 existing ones as part of its fleet optimization strategy.

Strengthening Bitcoin Reserves

Marathon purchased Bitcoin for $100 million in July alone, solidifying its position and commitment to utilize it as a strategic treasury reserve asset. Marathon’s unrestricted cash and BTC holdings were $1.587 billion, suggesting a solid financial position. This approach aligns with the company’s long-term aim to strengthen its reserves.

The strategic updates and improved production figures have positively influenced Marathon’s stock performance. Following the announcement, MARA stock surged 3.03%, trading at $17.46 on August 6, 2024. However, the gains were partially offset by broader market worries and geopolitical tensions, with the stock market’s instability.

The post Marathon Digital Reports 17% Increase in Bitcoin Production, Expands Holdings appeared first on Crypto News Land.


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