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The biggest publicly listed Wall Street Bitcoin (BTC) miner, MARA Holdings (NASDAQ: MARA), has
announced the acquisition of a $200 million line of credit. The credit facility
is secured by a portion of the company’s crypto holdings, highlighting the
growing trend of cryptocurrency-backed financing in the corporate world.
The
statement presented
yesterday (Tuesday) by MARA doesn’t delve too deeply into details, only
informing that the cryptocurrency miner used a portion of its substantial
Bitcoin stack to secure a $200 million line of credit.
Fred Thiel, CEO, MARA, Source: LinkedIn
What will
the funds be used for? Here too, no detailed information was provided beyond a
general statement that “MARA may use the funds to capitalize on strategic
opportunities and for other general corporate purposes.”
It’s worth
noting that MARA, known as Marathon Digital Holdings until August, is the
largest BTC producer listed on Wall Street, with a current market
capitalization of nearly $5 billion. It significantly outpaces Core Scientific,
which is in second place with a value of $3.3 billion.
The move
comes a few months after MARA decided to purchase Bitcoin for $249 million. In
August, it successfully completed a $300 million offering of convertible senior
notes, most of which was allocated to buying BTC.
MARA is
currently the second-largest public holder of Bitcoin, right behind
MicroStrategy. According to Bitbo data, it holds 0.12% of the total BTC supply,
or nearly 26,000 tokens, with an estimated value of almost $1.8 billion.
Source: Bitbo
MARA Stock: Potential for
a 50% Rebound According to Macquarie
Despite the
recent rebound in Bitcoin ‘s price, which is returning to around $68,000 this
week and has grown by 60% in 2024, MARA shares haven’t given holders as much
joy. Year-to-date, they’re down 28% and tested nearly year-long lows in
September.
However,
the latest report from financial group Macquarie suggests that this situation
may soon change. The firm initiated coverage of the company’s shares with an
“Outperform” rating and claims that its move towards artificial
intelligence (AI) and high-performance computing (HPC) could lead to a 50%
increase in valuation. Macquarie’s current price target for MARA shares is $22,
the highest since July.
Source: Yahoo Finance
Wall Street Bitcoin Miners
Move to AI and HPC
MARA is at
the forefront of a trend among Bitcoin miners, which involves seeking new
sources of income from their massive data centers (so-called mines) in the face
of growing competition and difficulties in the mining sector, while industry
margins are declining.
While MARA
has not made any official announcements regarding a shift towards AI, recent
changes in leadership suggest a potential move in this direction. The company
has bolstered its Board of Directors with new appointments, including
individuals with significant experience in artificial intelligence and data
center operations.
VanEck’s head of digital assets research, Matthew Sigel
Industry
analysts are taking note of the potential for Bitcoin mining companies to pivot
towards AI and high-performance computing. Matthew Sigel, head of digital
assets research at VanEck, projects that this strategic shift could generate
substantial value for mining firms in the coming years.
Sigel
points out the synergy between AI companies’ energy needs and Bitcoin miners’
access to power resources, stating, “AI companies need energy, and Bitcoin
miners have it. As the market values the growing AI/HPC data center market,
access to power—especially in the near term—is commanding a premium.”
MARA Stock: Frequently
Asked Questions (FAQ)
What is MARA?
MARA,
formerly known as Marathon Digital Holdings, is the largest publicly-listed
Bitcoin mining company on Wall Street. It operates as a digital asset
technology company that mines cryptocurrencies with a focus on the blockchain
ecosystem3.
Why is MARA in the news?
MARA
recently announced access to a $200 million line of credit backed by its
Bitcoin holdings. This move highlights the growing trend of
cryptocurrency-backed financing in the corporate world.
What is MARA’s current stock
price?
As of the
latest data, MARA’s stock price is $15.21 per share. However, stock prices can
fluctuate rapidly, so it’s best to check real-time market data for the most
current price.
What do analysts predict
for MARA stock?
Macquarie
financial group has initiated coverage of MARA with an “Outperform”
rating and suggests the stock could grow by 50%. Their current price target for
MARA shares is $22, the highest since July.
How much Bitcoin does MARA
hold?
MARA is
currently the second-largest public holder of Bitcoin, right behind
MicroStrategy. It holds approximately 26,000 tokens, or 0.12% of the total BTC
supply, valued at nearly $1.8 billion.
What is MARA’s market
capitalization?
As of the
latest data, MARA’s market capitalization is approximately $4.44 billion.
The biggest publicly listed Wall Street Bitcoin (BTC) miner, MARA Holdings (NASDAQ: MARA), has
announced the acquisition of a $200 million line of credit. The credit facility
is secured by a portion of the company’s crypto holdings, highlighting the
growing trend of cryptocurrency-backed financing in the corporate world.
The
statement presented
yesterday (Tuesday) by MARA doesn’t delve too deeply into details, only
informing that the cryptocurrency miner used a portion of its substantial
Bitcoin stack to secure a $200 million line of credit.
Fred Thiel, CEO, MARA, Source: LinkedIn
What will
the funds be used for? Here too, no detailed information was provided beyond a
general statement that “MARA may use the funds to capitalize on strategic
opportunities and for other general corporate purposes.”
It’s worth
noting that MARA, known as Marathon Digital Holdings until August, is the
largest BTC producer listed on Wall Street, with a current market
capitalization of nearly $5 billion. It significantly outpaces Core Scientific,
which is in second place with a value of $3.3 billion.
The move
comes a few months after MARA decided to purchase Bitcoin for $249 million. In
August, it successfully completed a $300 million offering of convertible senior
notes, most of which was allocated to buying BTC.
MARA is
currently the second-largest public holder of Bitcoin, right behind
MicroStrategy. According to Bitbo data, it holds 0.12% of the total BTC supply,
or nearly 26,000 tokens, with an estimated value of almost $1.8 billion.
Source: Bitbo
MARA Stock: Potential for
a 50% Rebound According to Macquarie
Despite the
recent rebound in Bitcoin ‘s price, which is returning to around $68,000 this
week and has grown by 60% in 2024, MARA shares haven’t given holders as much
joy. Year-to-date, they’re down 28% and tested nearly year-long lows in
September.
However,
the latest report from financial group Macquarie suggests that this situation
may soon change. The firm initiated coverage of the company’s shares with an
“Outperform” rating and claims that its move towards artificial
intelligence (AI) and high-performance computing (HPC) could lead to a 50%
increase in valuation. Macquarie’s current price target for MARA shares is $22,
the highest since July.
Source: Yahoo Finance
Wall Street Bitcoin Miners
Move to AI and HPC
MARA is at
the forefront of a trend among Bitcoin miners, which involves seeking new
sources of income from their massive data centers (so-called mines) in the face
of growing competition and difficulties in the mining sector, while industry
margins are declining.
While MARA
has not made any official announcements regarding a shift towards AI, recent
changes in leadership suggest a potential move in this direction. The company
has bolstered its Board of Directors with new appointments, including
individuals with significant experience in artificial intelligence and data
center operations.
VanEck’s head of digital assets research, Matthew Sigel
Industry
analysts are taking note of the potential for Bitcoin mining companies to pivot
towards AI and high-performance computing. Matthew Sigel, head of digital
assets research at VanEck, projects that this strategic shift could generate
substantial value for mining firms in the coming years.
Sigel
points out the synergy between AI companies’ energy needs and Bitcoin miners’
access to power resources, stating, “AI companies need energy, and Bitcoin
miners have it. As the market values the growing AI/HPC data center market,
access to power—especially in the near term—is commanding a premium.”
MARA Stock: Frequently
Asked Questions (FAQ)
What is MARA?
MARA,
formerly known as Marathon Digital Holdings, is the largest publicly-listed
Bitcoin mining company on Wall Street. It operates as a digital asset
technology company that mines cryptocurrencies with a focus on the blockchain
ecosystem3.
Why is MARA in the news?
MARA
recently announced access to a $200 million line of credit backed by its
Bitcoin holdings. This move highlights the growing trend of
cryptocurrency-backed financing in the corporate world.
What is MARA’s current stock
price?
As of the
latest data, MARA’s stock price is $15.21 per share. However, stock prices can
fluctuate rapidly, so it’s best to check real-time market data for the most
current price.
What do analysts predict
for MARA stock?
Macquarie
financial group has initiated coverage of MARA with an “Outperform”
rating and suggests the stock could grow by 50%. Their current price target for
MARA shares is $22, the highest since July.
How much Bitcoin does MARA
hold?
MARA is
currently the second-largest public holder of Bitcoin, right behind
MicroStrategy. It holds approximately 26,000 tokens, or 0.12% of the total BTC
supply, valued at nearly $1.8 billion.
What is MARA’s market
capitalization?
As of the
latest data, MARA’s market capitalization is approximately $4.44 billion.
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