MARATHON DIGITAL: Strategic Bitcoin Lending Fuels Growth Amid Mining Milestones

MARA Holdings, a prominent Bitcoin mining company, has strategically loaned 7,377 BTC—approximately 16% of its total Bitcoin holdings—to third parties. This initiative aims to generate additional income and offset operational expenses. Robert Samuels, Vice President of Investor Relations, noted that the program focuses on short-term agreements with reputable entities, yielding a modest single-digit return. Active throughout 2024, the program’s long-term goal is to cover operating costs through these yields.

In December 2024, MARA produced 890 BTC, a slight 2% decrease from November’s output. Despite this, the company mined 249 blocks—the second-highest monthly total on record. Chairman and CEO Fred Thiel highlighted that MARAPool achieved a 168% annual hash rate growth in 2024, surpassing Bitcoin’s network growth rate of 49%. This underscores MARA’s significant operational expansion and enhanced performance within the industry.

Throughout 2024, MARA acquired 22,065 BTC at an average price of $87,205 and mined an additional 9,457 BTC, bringing its total holdings to 44,893 BTC. With Bitcoin trading just below $100,000, the company’s holdings are valued at approximately $4.5 billion. This positions MARA as the second-largest publicly traded Bitcoin holder, following MicroStrategy.

MARA’s hybrid strategy of both mining and purchasing Bitcoin allows for flexibility in acquiring the cryptocurrency at favorable prices. This approach enables the company to capitalize on market conditions by buying BTC during price declines, optimizing acquisition costs. The dual strategy is designed to strengthen MARA’s position and enhance long-term shareholder value.

In addition to its lending program, MARA secured a $200 million line of credit in October 2024, collateralized by a portion of its Bitcoin holdings. The company intends to use these funds for strategic opportunities and general corporate purposes, further leveraging its substantial Bitcoin reserves to support growth and operational efficiency.

As of January 6, 2025, MARA’s stock price has shown positive movement, reflecting investor confidence in the company’s strategies and the overall bullish trend in Bitcoin’s market value.

👉Join our Trading Community’s newsletter!👈

Finally, if you learned something, give us some love 💗 and SHARE. 🔁

You found this content helpful ?

  1. 1
    Join our free weekly "Bubble Bulletin" for more
  2. 2
    Join us on Discord for live chat and daily updates
  3. 3
    Follow us on Twitter
  4. 4
    Share this content using the buttons below :

Disclaimer

This piece of content is provided for educational and entertainment purposes only. Robin Technologies and Analytics LLC is the firm that distributes 1.2 Labs products. The firm does not provide individually tailored investment advice and does not take a subscriber’s or anyone’s personal circumstances into consideration when discussing investments; nor is Robin Technologies and Analytics LLC registered as an investment adviser or broker-dealer in any jurisdiction.

You should expect no financial returns one way or another based on statements contained herein. These points hold equally for any statements that could be attributed to The Art of The Bubble or any related business entities or personnel operating in association with Robin Technologies and Analytics LLC.

If you decide to buy or invest in anything, then your returns and potential losses are your own. No statements about taxation are taxable advice and you are encouraged to consult your own tax professional. You are also encouraged to do your own due diligence before investing in anything.

RELATED POSTS:

July 17, 2024

October 17, 2024

June 27, 2022

July 10, 2024

July 23, 2022

July 21, 2022

March 25, 2024

April 16, 2024

October 9, 2024

LATEST POSTS:

January 21, 2025

January 20, 2025

January 16, 2025

January 15, 2025

January 15, 2025

January 14, 2025

January 13, 2025

January 9, 2025

January 8, 2025

What do do now?

Join the free 1.2 Labs "Bubble Trading" Bulletin for new trading strategies, macro & sentiment analysis and occasional free airdrops