Marathon Digital Purchased Additional 78,000 Bitcoin Mining Machines for $900M

Marathon Digital Holdings, one of the biggest cryptocurrency mining companies, purchased 78,000 Antminer S-19XP Miners from Bitmain. The equipment was purchased by the company for nearly $900 million.

Marathon intensifies its mining efforts

According to the Securities and Exchange Commission filing, Marathon Digital Holdings (NASDAQ: MARA), will receive the machine in the second half 2022. Bitmain will deliver 13,000 units each month in July August, September, October and November.

This equipment is the latest generation Antminer S-19XP Miners. Marathon paid $879.06million for the deal.

Although the news was made almost a week ago it became apparent that the acquisition price was only today. Notable is the fact that MARA shares surged by 10% after MARA disclosed the information back in January.

By early 2023, the company plans to have nearly 200K bitcoin miners producing approximately 23.3 EH/s. This would represent an increase of 600% from current production levels.

Marathon Digital announced last month its plans to raise $500,000,000 through senior convertible notes. According to the firm, it intended to use the funds to purchase bitcoin and BTC mining equipment.

Marathon Digital isn’t the first publicly traded company to issue debt to buy the primary cryptocurrency. MicroStrategy, a giant listed on NASDAQ, has done this on a few occasions and raised over $1 billion to purchase BTC.

Stronghold Digital also purchased mining machinery

Stronghold Digital Mining, a Pennsylvania-based company, purchased 9,080 Bitmain & MicroBT mining rigs earlier this month. It will be able to increase its power generation capacity by approximately 826 petahashes per hour (PH/s).

Stronghold Digital will get the mining rigs in the first quarter 2022. All of them will be installed at its fully-owned power generation plants. According to the firm, it is open to purchasing additional 54,000 mining equipment with a total hashrate at 5.2 exahashes per minute.

Another deal was announced by the entity that focuses on its long-term strategic plan. The entity entered into an equipment financing agreement for $54 million with New York Digital Investment Group. The deal is secured by Bitmain’s purchase of 12,000 S19jPro Antminers. Stronghold already received an $18.6million advance.

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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