Key Points:
- Marathon Digital (MARA), one of the biggest publicly traded bitcoin miners, sold 1,500 bitcoin in January to profit from the recent upswing in the cryptocurrency market.
- The miner plans to keep selling some of the bitcoin it has mined this year in order to pay its monthly operational expenses.
- Bitcoin network is currently about 282.55 EH/s, which indicates that Marathon has about 4% of the world’s processing power.
Marathon Digital (MARA), one of the biggest publicly traded bitcoin miners, sold 1,500 bitcoin in January to profit from the recent upswing in the cryptocurrency market.
The decision was made, the miner claimed in a release on Thursday, to help defray some costs. As a result of rising and more reliable bitcoin production, Marathon’s chairman and CEO Fred Thiel stated in a statement that the company has decided strategically to sell part of its bitcoin in order to pay for some operating costs and for other business needs. The amount of bitcoins the corporation still has in reserve is 11,418.
With this change, the miner will be following the lead of other of its competitors, such as Riot Platforms (RIOT), which started selling some of its mined bitcoin last year. Even after saying it might sell its mined bitcoin at some point.
Marathon was one of the few surviving miners to do so
The choice was probably made following a 40% increase in bitcoin prices in January. According to the statement, the miner plans to keep selling some of the bitcoin it has mined this year in order to pay its monthly operational expenses.
According to the announcement, the miner’s working hashrate in January was 11 exahashes per second (EH/s), and it intends to increase to 23 EH/s by the middle of 2023.
The hashrate of the Bitcoin network is currently about 282.55 EH/s, which indicates that Marathon has about 4% of the world’s processing power.
In December of last year, Marathon claimed to have mined a record 687 bitcoin, an increase of 45%. The increase in bitcoin output was mostly the consequence of Thiel’s team’s ability to collaborate with the new hosting company in McCamey, Texas, to resolve the upkeep and technical concerns at the King Mountain data center that had slowed down bitcoin production in the fourth quarter of 2022.
Along with the market as a whole, the miner’s shares increased on Thursday. However, as bitcoin lost some of the impetus from the earlier surge, the shares dropped by around 4% in after-hours trade.
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