Marathon Digital Bought Another 78K BTC Mining Machines

Marathon Digital bought another 78,000 BTC mining machines from the newest generation of Antminer S-19 XP as we are reading more in our today’s bitcoin news.

One of the biggest crypto mining companies Marathon Digital Holdings purchased another 78,000 Antminer S-19 XP miners from the Chinese manufacturer Bitmain and spent about $900 million. According to the filing with the US SEC, Marathon Digital Holdings will receive the machines during the second half of 2022 and Bitmain will deliver 13,000 units per month. The equipment is the newest generation of miners and it cost almost $900 million for the deal. The news was announced a week ago almost but the acquisition price became evident today. It is worth noting that before disclosing the information, MARA’s shares surged by 10% in one single day. The company expects its operations to grow to 200K BTC miners that will produce 23.3 EH/s by early 2021. This should represent a 600% increase from the current production levels.

Marathon Digital revealed his plans to raise $500 million via the issuance of convertible notes and the company explained that it wanted to use the proceeds to buy BTC and mining machines as well. Marathon Digital is not the first company to raise debt and buy amounts of bitcoin. Microstrategy did it as well and raised over $1 billion to buy BTC. Earlier this month, the Pennsylvania-based company Stronghold Digital mining purchased 9080 Bitcoin mining rigs and the purchase will add another 826 petahashes per second to the power generation capacity.

Stronghold Digital will receive the mining rigs by the first quarter of 2022 and all of them will be installed on the power generation facilities. The company also admitted that it is willing to acquire another 54,000 mining rigs with a total hashrate of 5.2 exahashes per second. The entity announced another deal focused on the long-term strategy and got into a financing equipment agreement with NYDIG for about $54 million. The deal is collateralized by buying 12,000 S19J Pro Antminers from Bitmain and the company already received $18.6 million in advance.

As recently reported, Marathon Digital recently released its earnings report but a November 15 SEC filing divulged the SEC Subpoena from Q3 and now the bitcoin mining company is trying to raise $500 million to purchase more miners. Marathon Digital Holdings announced a solid third-quarter report with a 76% increase in revenue from the previous quarter, but these numbers caused investor concern, however.