On August 12, Marathon Digital Holdings, one of the world's largest Bitcoin mining companies, announced plans to issue $250 million worth of convertible bonds to purchase more Bitcoin. According to the official announcement, the bonds will be issued privately to qualified institutional investors, i.e. individuals and organizations with strong financial capabilities and significant investment experience.
The convertible bonds will mature in 2031, giving investors the opportunity to not only receive a fixed interest rate but also convert it into Marathon Digital Holdings shares in the future, subject to favorable market conditions. The issuance of the bonds is subject to factors such as market conditions, regulatory approvals, and other financial conditions.
Marathon Digital Holdings is currently one of the leading companies in the Bitcoin mining industry, with strong infrastructure and a long-term development strategy. This bond issuance is not only to raise Capital to expand mining operations, but also a signal that the company believes in the growth of the cryptocurrency market in the coming years.
As Allinstation reported, in July, Marathon Digital Holdings invested another $100 million to buy Bitcoin, making BTC part of its strategic reserve. Marathon decided to hold all of its Bitcoin, despite the Bitcoin halving event in 2024, which is expected to reduce block rewards by 50% and could force other miners to sell BTC.
