Marathon Digital Holdings Announces Bitcoin Production and Mining Operation Updates for August 2021
September 02 2021 - 4:05PM
Marathon Digital Holdings, Inc.
(NASDAQ:MARA) ("Marathon"
or "Company"), one of the largest enterprise Bitcoin
self-mining companies in North America, today published unaudited
bitcoin (“BTC”) production and miner installation updates for
August 2021.
Historical and Potential Hash Rate Growth Based on
Current Shipment Schedules of Previously Purchased Miners (Subject
to Change)
Corporate Highlights as of September 1,
2021
- Produced 469.6 new minted bitcoins during August 2021,
increasing total bitcoin holdings to approximately 6,695 with a
fair market value of approximately $316.4 million
- Cash on hand was
approximately $70.9 million and total liquidity, defined as cash
and bitcoin holdings, was approximately $387.3 million
- Received approximately 21,584 top-tier ASIC miners from Bitmain
year to date with an additional 5,916 ASIC miners currently in
transit
- Existing mining fleet consists of 22,412 active miners
producing approximately 2.3 EH/s
Bitcoin Production UpdateAs of September 1,
2021, Marathon’s mining fleet has produced approximately 1,757.9
newly minted bitcoins during 2021. By month, the Company’s bitcoin
production was as follows:
As a result, Marathon currently holds approximately 6,695 BTC,
including the 4,812.66 BTC the Company purchased in January 2021
for an average price of $31,168 per BTC. On September 1, 2021, the
fair market value of one bitcoin was approximately $49,800,
implying that the approximate fair market value of Marathon’s
current bitcoin holdings is approximately $333.4 million.
Miner Installations and Hash Rate GrowthAs of
September 1, 2021, Bitmain has delivered approximately 21,584
top-tier ASIC miners to the Company’s mining facility in Hardin,
MT. While shipments are continuing to progress as scheduled, the
Company is monitoring the potential of current global logistics
issues to impact shipments, deliveries, and deployments. Currently,
the Company still anticipates all previously purchased miners to be
shipped by the end of June 2022. Based on current estimates, the
Company’s mining fleet is expected to consist of approximately
133,000 miners, generating approximately 13.3 EH/s, once all miners
are installed in approximately mid-2022.
Management Commentary“During August, the total
network’s hash rate increased more than 15%, and during that same
time, we increased our bitcoin production by 6% month-over-month to
469.6 BTC,” said Fred Thiel, Marathon’s CEO. “Despite a minor
technical issue at the Hardin power plant, which caused our miners
to be offline for approximately two days during the month and which
has since been remediated, we still averaged 15.1 BTC per day and
increased our total bitcoin holdings to approximately 6,695 BTC. We
also made substantial progress with our hosting partner, Compute
North, preparing new locations to receive the large number of
previously purchased miners we expect to ship from Bitmain over the
coming months. We continue to expect shipments as scheduled, but we
understand that there is the potential for global logistics issues
to impact these schedules. Based on the most up-to-date
information, we believe we remain well positioned to scale our hash
rate from its current level of 2.3 EH/s to 13.3 EH/s by mid next
year.”
Investor Notice Investing in our
securities involves a high degree of risk. Before making an
investment decision, you should carefully consider the risks,
uncertainties and forward-looking statements described under "Risk
Factors" in Item 1A of our most recent Annual Report on Form 10-K
for the fiscal year ended December 31, 2020. If any of these
risks were to occur, our business, financial condition or results
of operations would likely suffer. In that event, the value of our
securities could decline, and you could lose part or all of
your investment. The risks and uncertainties we describe are not
the only ones facing us. Additional risks not presently known to us
or that we currently deem immaterial may also impair our business
operations. In addition, our past financial performance may not be
a reliable indicator of future performance, and historical trends
should not be used to anticipate results in the future. Future
changes in the network-wide mining difficulty rate or
Bitcoin hash rate may also materially affect the future
performance of Marathon's production of Bitcoin. Additionally, all
discussions of financial metrics assume mining difficulty rates as
of September 2021. The total network’s hash rate data is calculated
from a third-party source, which is available here:
https://www.blockchain.com/charts/hash-rate. Data from third-party
sources has not been independently verified. See "Safe Harbor"
below.
Forward-Looking Statements Statements made
in this press release include forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934.
Forward-looking statements can be identified by the use of words
such as “may,” “will,” “plan,” “should,” “expect,” “anticipate,”
“estimate,” “continue,” or comparable terminology. Such
forward-looking statements are inherently subject to certain risks,
trends and uncertainties, many of which the Company cannot predict
with accuracy and some of which the Company might not even
anticipate and involve factors that may cause actual results to
differ materially from those projected or suggested. Readers are
cautioned not to place undue reliance on these forward-looking
statements and are advised to consider the factors listed above
together with the additional factors under the heading “Risk
Factors” in the Company's Annual Reports on Form 10-K, as may be
supplemented or amended by the Company's Quarterly Reports on Form
10-Q. The Company assumes no obligation to update or supplement
forward-looking statements that become untrue because of subsequent
events, new information or
otherwise. About Marathon Digital
Holdings Marathon is a digital asset technology
company that mines cryptocurrencies with a focus on the blockchain
ecosystem and the generation of digital assets.
Marathon Digital
Holdings Company Contact: Charlie
SchumacherTelephone:
800-804-1690Email: charlie@marathondh.com
Two figures accompanying this announcement are
available at:
https://www.globenewswire.com/NewsRoom/AttachmentNg/d6cf6d53-aa7d-4aae-8a8f-e4c5770b5365
https://www.globenewswire.com/NewsRoom/AttachmentNg/c140ddc5-3a3a-4774-9f7e-dd7321f25eff
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