Marathon Digital Invests $1.1 Billion in Bitcoin, Raising Holdings to 40,435 BTC

Marathon Digital Holdings (MARA) has revealed a major acquisition of 11,774 Bitcoins, valued at around $1.1 billion.

This purchase, completed via a zero-coupon convertible note offering, was made at an average cost of $96,000 per Bitcoin. As of December 9, 2024, the company’s total Bitcoin holdings stand at 40,435 BTC, worth an estimated $3.9 billion at the current market price of $96,500 per Bitcoin.

The firm has also shared its recent performance, reporting a 12.3% return for the quarter and a 47.6% increase year-to-date.

However, this massive purchase has sparked renewed concerns over Bitcoin’s market stability, with critics like Peter Schiff arguing that Bitcoin’s value is being artificially inflated through large, leveraged purchases by firms like MicroStrategy and Marathon, suggesting a potential recipe for market instability.

In a related move, MicroStrategy also made headlines with its recent Bitcoin purchase, continuing its strategy of accumulating the cryptocurrency. Discussions are underway regarding the possibility of including MicroStrategy shares on Nasdaq as the company’s Bitcoin holdings grow.