Marathon Digital, already a titan in Bitcoin mining, is doubling down on its crypto strategy, launching a $2 billion stock sale to bulk up its Bitcoin holdings. This aggressive move aims to solidify its position as a leading digital asset player, following a previous $1.4 billion raise for similar purposes.
The company’s latest financial maneuver involves selling shares through an at-the-market offering, with investment heavyweights like Barclays and BMO Capital Markets managing the transactions. Marathon Digital intends to allocate 40% of the raised capital directly to purchasing more Bitcoin, while earmarking 35% for general corporate expenses and 25% for working capital.
This Bitcoin buying spree aligns with Marathon Digital’s stated goal of establishing itself as a major player in digital commodities. Currently holding 46,376 BTC—making it the second-largest publicly listed corporate Bitcoin wallet—the company significantly ramped up its reserves from 13,726 BTC in 2024. This shift towards direct Bitcoin acquisition mirrors strategies employed by firms like MicroStrategy, marking a departure from solely relying on mined Bitcoin.
Despite Marathon Digital’s bullish stance, not everyone is convinced. Economist Peter Schiff, a known Bitcoin skeptic, has publicly criticized companies like Marathon Digital and MicroStrategy, dismissing Bitcoin accumulation as a foolish long-term business strategy. Schiff’s critique underscores the inherent volatility of Bitcoin and the differing opinions surrounding its viability as a core corporate asset.