U.S. Mining Company Marathon Now Holds 8,133 BTC. And They’re Not Selling It

Their December ReportMarathon Digital Holdings revealed their total BTC holdings. They assured investors they would not sell any of their BTC soon. This is particularly interesting considering the company bought “a record number” of S19s in December. They received a large loan with Bitcoin as collateral. An operation we’ll see a lot more in the near future throughout the industry. 

The report quotes Fred Thiel, Marathon’s CEO, in a celebratory mode. “2021 was a transformative year for Marathon as we increased our hash rate 1,790% and increased our bitcoin production 846% year-over-year to 3,197 self-mined BTC.” Staggering numbers that show the size of the Bitcoin mining business.


Their plans are described in the following report:

“The Company last sold bitcoin on October 21, 2020, and since then, has been accumulating or “hodling” all bitcoin generated. As a result, Marathon currently holds approximately 8,133 BTC, including the 4,813 BTC the Company purchased in January 2021 for an average price of $31,168 per BTC.”

Of course, they’re not alone. NewsBTC reported on the trend all year. 

The majority of miners are holding strong

Lex Moskovski, one of the first people to see the trend, was the analyst. In February, the analyst reported on “the first day since Dec, 27 when Miners Position change turned positive.” 


About four months back NewsBTC used data for a possible explanation:

“Data shows that miner profitability has dropped in comparison to the last time that bitcoin was at this price. In April, bitcoin’s profitability was at 50% higher levels than when it hit $50K. The result is that miners’ profitability has fallen to its lowest point in years.

Miners are refusing to trade the BTC that they have been rewarded for their mining blocks, due to this drop in profitability. Instead choosing to hold these coins in wait for much higher prices.”

Although miner profitability is declining, it’s still not in the red. Marathon, for example, is not a small operation. You can find out more at www.in. NewsBTC interviewed him recentlyFred Thiel reported the news.

“Thiel expressed that, factoring operational mining costs (energy plus hosting), Bitcoin’s breakeven rate is roughly $6,500, meaning that the digital coin would need to drop at least 80% for Marathon to face challenging difficulties.”

It was less than three months old NewsBTC published another set of dataThe same thing happened in the other countries.

“As pointed out by a CryptoQuant post, BTC miner reserves continue to trend sideways amid the coin’s strong move up. The “miner reserve” is a indicator that shows the total amount of Bitcoin that miners are currently holding in their wallets. An increase in the metric’s value suggests miners think the coin’s value will go up in the near future, hence they are stocking up on it.”

BTCUSD price chart for 01/05/2021 - TradingView

BTC Price Chart for 01/05/2021 FX. Source: BTC/USD at TradingView.com| Source: BTC/USD on TradingView.com

The Marathon Mining Company’s Future

The company’s recent billion-dollar investment is a play for the future. It is also important to consider when these machines might arrive.

“On December 23, 2021, Marathon announced that it had entered into a contract with BITMAIN to purchase a record number of ANTMINER S19 XP (140 TH/s) bitcoin miners, all of which are currently expected to ship from BITMAIN between July 2022 and December 2022.”

Chip shortages are real. If an order this size can only be fulfilled in six to twelve months, something’s up. ASIC manufacturing might also be more lucrative than Bitcoin mining, based on the way it looks.

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