Marathon Digital Paid $900 Million For 78,000 Excavators

Marathon Digital Holdings, one of the biggest mining firms, ordered 78,000 Bitmain Antminer S-19 XP excavators. Nearly $900 million was spent on the acquisition of this machinery.

An SEC filing indicates that Marathon Digital Holdings expects to get the equipment in the second half of 2022. A total of 13,000 devices each month will be delivered from July to December by Bitmain.

The excavator is an Antminer S-19 XP Miners of the current generation. The acquisition cost Marathon $879.06 million.

The company will have 200,000 machines after getting all the units. By early 2023, they will produce around 23.3 EH/s of electricity—a 600% increase in current output.

Marathon Digital said last month that it would issue $500 million in senior convertible bonds to fund capital. They were going to buy more excavators with the money.

Marathon Digital is not the first public firm to take out loans in order to engage in the cryptocurrency market. MicroStrategy, a Nasdaq-listed company, has previously done so many times, raising more than $1 billion in the process.

Another mining business, Stronghold Digital Mining, purchased 9,080 miners from Bitmain and MicroBT earlier this month. All of these devices can produce 826 petahash per second (PH/s) of extra power.

Excavators will be delivered to Stronghold Digital in the first quarter of 2022. Furthermore, they will all be used in the company’s power plants.

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Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.

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