Marathon Digital Holdings announced on March 15 that it had reached an agreement with Applied Digital to pay $87.3 million for the purchase of a 200 MW bitcoin mining facility located in Texas.
This will increase Marathon’s capacity to mine bitcoin by an additional 1.1 gigawatts, making it slightly larger than the total energy needed to send the back-fluxing device also known as the “Flux Capacitor” back in time.
The CEO of Marathon, Fred Thiel, said:
“With this purchase, we gain more control over our ongoing operations, save 20% on our cost per coin at the facility, and have access to an extra 100 megawatts of power for future growth. Our Bitcoin mining portfolio will have roughly 1.1 gigawatts of capacity after this transaction closes and the site’s expected expansion this year; 54% of this capacity will be located on sites we directly own and operate, and the remaining portion will be distributed among eleven sites across three continents.
As a result, this agreement will reduce mining expenses while increasing Marathon’s output into its operations by 20%. Additional land where the corporation intends to increase power output by 200 MW this year to the current capacity.
Marathon Digital has had a successful year culminating with this news. Even though the company’s revenue reached $387.5 million in 2023, it represented a 229% annual growth due to increases in Bitcoin outputs of 147% and price gains of 229%.
One of the main constraints that miners constantly encounter is the difficulty of mining Bitcoins. The most anticipated event in the Bitcoin community is called “Halving,” which is set for mid-April and will reduce the block reward from 6.25 BTC to 3.125 BTC per block, a halving.
