Marathon Acquires 200MW Bitcoin Mining Facility in Texas

Marathon Digital Holdings announced on March 15th that they have entered into a definitive agreement with Application Digital to acquire...

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Marathon Digital Holdings announced on March 15th that they have entered into a definitive agreement with Application Digital to acquire a 200 megawatt (MW) Bitcoin mining facility located in Texas for $87.3 million.

The agreement stipulates that Marathon will pay the purchase price in cash from its held shares, making the transaction complete after all price adjustments have been resolved.

The acquisition will bring the capacity up to approximately 1.1 gigawatts – just 1.21 gigawatts of electricity needed to power the fictional time-traveling “Flux Capacitor” from the Back to The Future series.

In 2024, Marathon Digital had its best year of revenue in 2023, earning $387.5 million – a 229% increase from the previous year and a 452% increase in the fourth quarter.

The revenue increase is due to the Bitcoin price surge in late 2023 and Marathon Digital’s Bitcoin production increasing by 147% compared to the same period last year.

However, companies like Marathon Digital will have to grapple with the upcoming Bitcoin halving event. This event occurs when a certain number of blocks have been mined on the Bitcoin blockchain – currently predicted to happen in mid-April – and it could have a significant impact on large-scale mining operations. The block reward will decrease by 50% from 6.25 BTC to 3.125 BTC per block.

SOURCEvietstock
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