MARA Announces Bitcoin Production and Mining Operation Updates for October 2024

Rhea-AI Summary

MARA reported its October 2024 Bitcoin mining performance, achieving its best month of production since April's halving with 717 BTC produced, a 2% increase from September. The company increased its energized hash rate by 14% to 40.2 EH/s. Transaction fees accounted for 5% of total production, including two notable transactions generating fees of 3.217 BTC and 2.665 BTC. Despite a 3% decrease in blocks won due to increased global hash rate and difficulty, MARA maintains progress toward its 50 EH/s target by year-end. As of October 31, 2024, MARA held 27,562 BTC, including 4,499 restricted BTC.

Positive

• Increased Bitcoin production by 2% to 717 BTC
• 14% growth in energized hash rate to 40.2 EH/s
• Higher transaction fees contribution at 5% of total production
• Substantial BTC holdings of 27,562 BTC

Negative

• 3% decrease in blocks won due to increased network difficulty
• Slight decline in average daily BTC production from 23.5 to 23.1
• Decreased network share from 5.2% to 4.6%

Insights

Financial Analyst

The October operational update reveals significant progress in MARA's mining capabilities, with the energized hash rate increasing 14% to 40.2 EH/s. The company produced 717 Bitcoin in October, marking their best post-halving performance. The increased transaction fees, accounting for 4.8% of total production (up from 1.7%), demonstrate improved revenue diversification.

The company's substantial Bitcoin holdings of 27,562 BTC represent significant value at current market prices. The progression toward their 50 EH/s target by year-end shows strong execution of their growth strategy. However, investors should note the slight decline in block wins and market share, indicating increasing network competition.

Tech Expert

The implementation of proprietary technologies like Slipstream and MARAPool is proving valuable, particularly in capturing high-value transaction fees, including two notable transactions of 3.217 BTC and 2.665 BTC. The 14% increase in hash rate demonstrates successful deployment of new mining infrastructure, particularly in immersion cooling technology.

The ability to maintain uptime while scaling operations suggests robust operational efficiency. However, the declining share of available miner rewards from 5.2% to 4.6% indicates growing network competition that could impact future profitability.

Energized Hash Rate Increased 14% to 40.2 EH/s
717 Bitcoin Produced in October, 2% Increase M/M
Transaction Fees Accounted for 5% of Total Bitcoin Produced

Fort Lauderdale, FL, Nov. 04, 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 update for October 2024.

Management Commentary
"October was our best month of bitcoin production since April’s halving event as uptime remained strong and we grew our energized hash rate to 40.2 EH/s, a 14% increase over September,” said Fred Thiel, MARA's chairman and CEO. "Despite a slight month-over-month decrease in block wins, driven by the growth in global hash rate and the resulting rise in difficulty level, BTC production increased by 2% to 717 BTC.

“Transaction fees accounted for approximately 5% of the total, with one particular transaction generating a fee of 3.217 BTC and another generating a fee of 2.665 BTC. We believe that our proprietary technology platforms such as Slipstream and MARAPool, our proprietary mining pool, allow us to capture all potential benefits and take advantage of higher transaction fees as they arise.

"Our 50 EH/s target by the end of 2024 is within sight as we steadily increase our hash rate by installing new miners, improving infrastructure and energizing additional immersion containers.”

Operational Highlights and Updates
Figure 1: Operational Highlights

		Prior Month Comparison
Metric		10/31/2024			9/30/2024			% Δ
Number of Blocks Won 1		200			207			(3)%
BTC Produced		717			705			2%
Average BTC Produced per Day		23.1			23.5			(2)%
Share of available miner rewards 2		4.6	%		5.2	%		NM
Transaction Fees as % of Total 1		4.8	%		1.7	%		NM
Energized Hash Rate (EH/s) 1		40.2			35.2			14%

1. These metrics are MARAPool only and do not include blocks won from joint ventures.
2. 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.

NM - Not Meaningful

As of October 31, 2024, the Company held a total of 27,562 BTC, which includes 4,499 restricted BTC.

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 mine in October 2024?

MARA mined 717 Bitcoin in October 2024, representing a 2% increase from the previous month.

What was MARA's hash rate in October 2024?

MARA's energized hash rate reached 40.2 EH/s in October 2024, a 14% increase from September's 35.2 EH/s.

How many Bitcoin does MARA hold as of October 31, 2024?

MARA held a total of 27,562 Bitcoin, including 4,499 restricted BTC, as of October 31, 2024.

What percentage of MARA's October 2024 Bitcoin production came from transaction fees?

Transaction fees accounted for approximately 5% of MARA's total Bitcoin production in October 2024.