MARA Announces Bitcoin Production and Mining Operation Updates for July 2024
Rhea-AI Summary
MARA, a leading Bitcoin miner, reported significant growth in July 2024. The company won 201 blocks, a 27% increase from June, and produced 692 BTC, up 17% month-over-month. MARA's average operational hash rate grew 5% to 27.5 EH/s. The company increased its BTC holdings to 20,818 BTC, with total cash and BTC reaching $1.6 billion as of July 31, 2024.
MARA is transitioning its Granbury site to immersion containers, expecting temporary downtime but improved efficiency. The company aims to reach a 50 EH/s hash rate goal by the end of 2024. MARA now owns and operates 54% of its 1.1 gigawatt power portfolio and plans to increase this percentage for cost savings.
Positive
- Block wins increased 27% to 201 in July compared to June
- BTC production rose 17% to 692 BTC in July compared to June
- Average operational hash rate grew 5% to 27.5 EH/s compared to June
- BTC holdings increased to 20,818 BTC
- Total cash and BTC holdings reached $1.6 billion as of July 31, 2024
- Unrestricted cash increased 100% year-over-year to $230.1 million
Negative
- BTC production decreased 41% year-over-year from 1,176 to 692 BTC
- Temporary downtime expected at Granbury site due to transition to immersion containers
- Total cash decreased 10% from $268.0 million in June to $242.1 million in July
Insights
MARA's July performance shows positive trends in BTC production and operational efficiency. BTC production increased 17% month-over-month to 692, driven by a 27% increase in blocks won. The average operational hash rate grew 5% to 27.5 EH/s, indicating improved mining capacity.
Financially, MARA's strategy of holding BTC has resulted in a significant treasury of 20,818 BTC, valued at approximately
The transition to immersion cooling at Granbury, while causing temporary downtime, should improve long-term efficiency. MARA's focus on owned and operated sites (
MARA's technological advancements are noteworthy. The shift from air-cooled to immersion-cooled containers at Granbury represents a significant upgrade. Immersion cooling typically allows for higher hash rates and improved energy efficiency, which could boost MARA's competitiveness in the long run.
The company's installed hash rate of 31.8 EH/s is impressive, showing a
MARA's goal of reaching 50 EH/s by year-end is ambitious but achievable given their current trajectory and technological investments. This would solidify their position as one of the largest Bitcoin miners globally.
MARA's performance should be viewed in the context of the broader crypto market. Despite the recent Bitcoin price volatility, MARA has maintained aggressive mining operations, capitalizing on reduced global hash rates as other miners scale back.
The company's 4.5% share of available miner rewards indicates a strong market position. However, the decrease in transaction fees as a percentage of total rewards (from
MARA's full HODL approach and strategic BTC purchases demonstrate confidence in Bitcoin's long-term value. This strategy could pay off if BTC prices rise but also exposes the company to significant market risk. Investors should closely monitor Bitcoin price movements and network difficulty adjustments as key factors affecting MARA's future performance.
201 Blocks Won in July,
BTC Production of 692 BTC,
Increased BTC Holdings to 20,818 BTC; Total Cash and BTC of $1.6B as of July 31, 2024
Fort Lauderdale, FL, Aug. 06, 2024 (GLOBE NEWSWIRE) -- MARA (NASDAQ: MARA) ("MARA" or the "Company"), one of the world's largest publicly traded bitcoin ("BTC") miners and a leader in supporting and securing the Bitcoin ecosystem, today published unaudited BTC production and miner installation updates for July 2024.
Management Commentary
"Our hash rate recovery effort at the Ellendale facility where we are hosted by Applied Digital is complete, and block wins in July increased
"Domestically, we have begun deploying our own technology to improve the operations of our sites. We are transitioning a large portion of our Granbury site from air cooled to MARA's immersion containers. Due to these deployments, our Granbury hash rate was lower in July, and we expect to have temporary downtime at this location. The immersion containers will come online as they are completed, beginning with the first group of 18 that are energizing in August. This work is expected to be finished before year end. We remain focused on delivering on our 2024 hash rate goal of 50 exahash and continue to install and energize miners according to plan.
"We currently own and operate approximately
Operational Highlights and Updates
Figure 1: Operational Highlights
| Year-Over-Year Comparison | Prior Month Comparison | |||||||||||||||||||||||
| Metric | 7/31/2024 | 7/31/2023 | % Δ | 7/31/2024 | 6/30/2024 | % Δ | ||||||||||||||||||
| BTC Produced | 692 | 1,176 | (41 | )% | 692 | 590 | 17 | % | ||||||||||||||||
| Average BTC Produced per Day | 22.3 | 37.9 | (41 | )% | 22.3 | 19.7 | 14 | % | ||||||||||||||||
| Share of available miner rewards 1 | 4.5 | % | 4.1 | % | NM | 4.5 | % | 4.1 | % | NM | ||||||||||||||
| Transaction Fees as % of Total 2 | 2.9 | % | 2.1 | % | NM | 2.9 | % | 6.8 | % | NM | ||||||||||||||
| Number of Blocks Won 2 | 201 | 179 | 12 | % | 201 | 158 | 27 | % | ||||||||||||||||
| Energized Hash Rate (EH/s) 3 | 31.8 | 18.8 | 69 | % | 31.8 | 31.5 | 1 | % | ||||||||||||||||
| Average Operational Hash Rate (EH/s) 4 | 27.5 | 14.0 | 96 | % | 27.5 | 26.3 | 5 | % | ||||||||||||||||
| Installed Hash Rate (EH/s) 5 | 31.8 | 22.8 | 39 | % | 31.8 | 31.5 | 1 | % | ||||||||||||||||
- Defined as the total amount of block rewards including transaction fees that MARA earned during the period divided by the total amount of block rewards and transaction fees awarded by the Bitcoin network during the period.
- These metrics are MARAPool only and do not include blocks won from joint ventures.
- Defined as the amount of hash rate that could theoretically be generated if all miners that have been energized are currently in operation including miners that may be temporarily offline. Hash rates are estimates based on the manufacturers' specifications. All figures are rounded.
- Defined as the average hash rate that was actually generated during the month from all operational miners. All figures are estimates and are rounded.
- Defined as the sum of energized hash rate (see above) and hash rate that has been installed but not yet energized. Hash rates are estimates based on the manufacturers' specifications. All figures are rounded.
NM = Not Meaningful
In July, MARA energized approximately 5,000 new miners while also removing and relocating approximately 10,000 existing miners for fleet optimization. As a result, MARA's operating fleet is currently comprised of approximately 245,000 BTC miners theoretically capable of producing 31.8 EH/s. In July, MARA achieved a peak overall hash rate of 30.1 EH/s. Hash rate figures are calculated according to the manufacturers' specifications.
Figure 2: Operational Details by Site
| Hash Rates in EH/s | Installed Hash Rate | Energized Hash Rate | Avg Operating Hash Rate | |||||||||||
| Site | State | Host | Jul 2024 | Jun 2024 | Jul 2024 | Jun 2024 | Jul 2024 | Jun 2024 | ||||||
| Owned Operated | ||||||||||||||
| Granbury | TX | MARA | 2.7 | 4.3 | 2.7 | 4.3 | 3.4 | 3.6 | ||||||
| Garden City | TX | MARA | 5.4 | 5.4 | 5.4 | 5.4 | 4.6 | 4.2 | ||||||
| Kearney | NE | MARA | 3.3 | 2.8 | 3.3 | 2.8 | 2.8 | 2.3 | ||||||
| Total owned operated | 11.4 | 12.5 | 11.4 | 12.5 | 10.8 | 10.1 | ||||||||
| Third-party Hosted | ||||||||||||||
| McCamey | TX | Hut 8 | 7.6 | 7.6 | 7.6 | 7.6 | 6.2 | 6.7 | ||||||
| Ellendale | ND | Applied | 7.7 | 7.7 | 7.7 | 7.7 | 6.9 | 6.2 | ||||||
| Jamestown | ND | Applied | 2.1 | 1.4 | 2.1 | 1.4 | 1.5 | 1.4 | ||||||
| All Other | Various | 3.0 | 2.3 | 3.0 | 2.3 | 2.2 | 2.1 | |||||||
| Total third-party hosted | 20.4 | 19.0 | 20.4 | 19.0 | 16.8 | 16.4 | ||||||||
| Total | 31.8 | 31.5 | 31.8 | 31.5 | 27.5 | 26.3 | ||||||||
As of July 31, 2024, the Company held a total of 20,818 unrestricted BTC. MARA opted not to sell any BTC in July. The Company recently adopted a full HODL approach towards its BTC treasury policy. We will retain all BTC mined in our operations and will periodically make strategic open market purchases of BTC.
Financial Highlights and Updates
Figure 3: Financial Highlights
| Year-Over-Year Comparison | Prior Month Comparison | |||||||||||||||||||||||
| Metric | 7/31/2024 | 7/31/2023 | % Δ | 7/31/2024 | 6/30/2024 | % Δ | ||||||||||||||||||
| Total Cash, Cash Equivalents & Restricted Cash ($, in millions) | $ | 242.1 | $ | 129.4 | 87 | % | $ | 242.1 | $ | 268.0 | (10 | )% | ||||||||||||
| Unrestricted Cash | 230.1 | 115.1 | 100 | % | 230.1 | 256.0 | (10 | )% | ||||||||||||||||
| Restricted Cash | 12.0 | 14.3 | (16 | )% | 12.0 | 12.0 | — | % | ||||||||||||||||
| Total BTC Holdings (in whole numbers) | 20,818 | 12,964 | 61 | % | 20,818 | 18,536 | 12 | % | ||||||||||||||||
| Unrestricted BTC Holdings | 20,818 | 12,964 | 61 | % | 20,818 | 18,536 | 12 | % | ||||||||||||||||
| Restricted BTC Holdings | — | — | NM | — | — | NM | ||||||||||||||||||
| Pledged BTC Holdings | — | — | NM | — | — | NM | ||||||||||||||||||
NM = Not Meaningful
MARA held
Recent Announcements
- August 1 - MARA Reports Second Quarter 2024 Results
- July 25 - MARA Purchases
$100 Million of Bitcoin - July 3 - Marathon Digital Holdings Announces Bitcoin Production and Mining Operation Updates for June 2024
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 the heading "Risk Factors" in our most recent annual report on Form 10-K and any other periodic reports that we may file with the U.S. Securities and Exchange Commission (the "SEC"). 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. See "Forward-Looking Statements" below.
The operational highlights and updates presented in this press release pertain solely to our BTC mining operations. Detailed information regarding our other operations can be found in our periodic reports filed with the SEC.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the federal securities laws. All statements, other than statements of historical fact, included in this press release are forward-looking statements. The words "may," "will," "could," "anticipate," "expect," "intend," "believe," "continue," "target" and similar expressions or variations or negatives of these words are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Such forward-looking statements include, among other things, statements related to the expected timing and achievement of our growth targets, specifically relating to our anticipated hash rate and exahash growth, the transition to immersion coolers at the Granbury site and our BTC treasury policy. Such forward-looking statements are based on management's current expectations about future events as of the date hereof and involve many risks and uncertainties that could cause our actual results to differ materially from those expressed or implied in our forward-looking statements. Subsequent events and developments, including actual results or changes in our assumptions, may cause our views to change. We do not undertake to update our forward-looking statements except to the extent required by applicable law. Readers are cautioned not to place undue reliance on such forward-looking statements. All forward-looking statements included herein are expressly qualified in their entirety by these cautionary statements. Our actual results and outcomes could differ materially from those included in these forward-looking statements as a result of various factors, including, but not limited to, the factors set forth under the heading "Risk Factors" in our most recent annual report on Form 10-K and any other periodic reports that we may file with the SEC.
About MARA
MARA (NASDAQ:MARA) is a global leader in digital asset compute that develops and deploys innovative technologies to build a more sustainable and inclusive future. MARA secures the world's preeminent blockchain ledger and supports the energy transformation by converting clean, stranded, or otherwise underutilized energy into economic value.
For more information, visit www.mara.com, or follow us on:
Twitter: @MarathonDH
LinkedIn: www.linkedin.com/company/marathon-digital-holdings
Facebook: www.facebook.com/MarathonDigitalHoldings
Instagram: @marathondigitalholdings
MARA Company Contact:
Telephone: 800-804-1690
Email: ir@mara.com
MARA Media Contact:
Email: marathon@wachsman.com
FAQ
How many Bitcoin did MARA produce in July 2024?
What was MARA's average operational hash rate in July 2024?
How many Bitcoin does MARA hold as of July 31, 2024?
What is MARA's hash rate goal for 2024?
How much cash and Bitcoin does MARA hold in total as of July 31, 2024?
