Bitcoin mining company MARA has increased its total Bitcoin holdings to 40,435 BTC, valued at approximately $3.9 billion, following strategic acquisitions of 11,774 BTC for $1.1 billion. These acquisitions, financed through zero-coupon convertible note offerings, were made at an average price of $96,000 per Bitcoin. The company’s year-to-date Bitcoin Yield is 47.6%, reflecting the growth of its holdings relative to its diluted shares.
In July, MARA adopted a "HODL" (“hold on for dear life”) policy, keeping all Bitcoin it mines and further growing its reserves through strategic investments. CEO Fred Thiel has emphasized Bitcoin’s role as a reserve asset and encouraged its adoption by corporations and governments. The company’s approach aligns with MicroStrategy, which holds 423,650 BTC, valued at over $40 billion.
MARA recently achieved a notable milestone with an energized hashrate of 50 exahashes per second (EH/s), a significant increase from 36.9 EH/s reported in the third quarter. This makes it the first public Bitcoin miner to reach such capacity. However, its shares dropped 4.4% following the announcement, closing at $22.81, although the stock has risen 18% over the past six months.
The company has been actively raising funds through convertible senior note offerings, including a recent $850 million offering upsized from an initial $700 million. These funds were used to repurchase existing notes, buy Bitcoin, and set aside $160 million for future acquisitions during price drops. Earlier in the quarter, MARA acquired 6,484 BTC for $618 million in cash at an average price of $95,352 per Bitcoin.
Bitcoin’s price has been volatile, peaking at $104,000 on Dec. 5 before settling at $96,300 in recent trading. MARA’s current holdings account for nearly 0.2% of Bitcoin’s total supply, reinforcing its position as the second-largest public holder of the cryptocurrency. Despite these advancements, the company reported a net loss of $124.8 million for the third quarter, a sharp increase from the $390,000 loss in the same period last year.
While MARA’s stock performance is down 0.55% for the year, the company remains focused on expansion; Thiel hinted at adding more mining capacity using existing infrastructure. MARA’s strategy of balancing operational growth with investments in Bitcoin demonstrates its commitment to strengthening its position in the cryptocurrency market.