MARA sold 23,093 BTC for $1.6 billion over six months: a survival strategy or a bet on liquidity?
In the first half of the year, one of the largest public miners — MARA — actively converted its mined assets into fiat, selling 23,093 BTC for approximately $1.6 billion. As I see it, this decision was driven not only by operational needs but also by a desire to strengthen its balance sheet amid market volatility. The average sale price was $70,631 per coin, reflecting a pragmatic approach to locking in profits in a range that recently seemed like a peak.
At the end of June, the company's reserves totaled 35,577 BTC, valued at $2.08 billion. However, a significant portion of these funds — 9,270 BTC — is tied up in active capital management strategies: 4,742 BTC were lent to third parties, and another 4,528 BTC are used as collateral. This suggests that MARA is diversifying risks, turning digital assets into a tool for yield and leverage rather than simply holding them on its balance sheet.
Financial results: pressure on revenue and losses
Revenue for the six months fell to $349.5 million, compared with $452.4 million a year earlier. The main driver is a decline in bitcoin mining revenue from $436.5 million to $342.2 million, although production volume even grew slightly: from 4,644 BTC to 4,669 BTC. The key factor is a 23% drop in the average price of coins sold, to $73,707. This is a classic scenario for the industry: the hash rate rises, while the price does not offset the costs of electricity and equipment.
The net loss reached $1.87 billion, compared with a profit of $274.8 million a year earlier. The main write-downs include a $964.2 million loss from the fair value revaluation of digital assets and $397.4 million in losses on bitcoin issued as loans and collateral operations. These figures underscore how fragile a model dependent on market conditions can be.
New borrowings and expansion into energy
After the reporting period, MARA raised an additional $600 million through two credit lines backed by bitcoin from Coinbase and Two Prime, providing 18,750 BTC as initial collateral. Part of these funds will go toward financing the purchase of the Long Ridge gas power plant — a step I view as an attempt at vertical integration and reducing dependence on external energy suppliers. This is ambitious, but it increases the debt burden at a time when the market demands caution.
My take: MARA is betting on scaling and cost control, but current losses and aggressive borrowing create a fragile balance. If bitcoin does not show sustained growth, the company could face a cascade of margin calls. However, in the long term, this approach could pay off if energy assets provide a competitive advantage in mining costs.