MARA sold 23,000 BTC over six months: a survival strategy or a bet on liquidity?
The largest public bitcoin miner, MARA, continues to actively monetize its reserves. In the first half of the year, the company sold 23,093 BTC for approximately $1.6 billion, indicating a radical revision of its capital management approach. The average sale price was $70,631 per coin—noticeably below current market levels, pointing to the forced nature of these transactions.
As of June 30, the company's balance sheet held 35,577 BTC, valued at $2.08 billion. Notably, a significant portion of these assets is already tied up in financial operations: 4,742 BTC have been lent to third parties, and another 4,528 BTC are used as collateral. Thus, only about 60% of the reserves remain fully unencumbered.
Financial performance: concerning trends
MARA's revenue for the six months fell to $349.5 million, down from $452.4 million a year earlier. Mining revenue declined from $436.5 million to $342.2 million, although production volume even rose slightly—from 4,644 to 4,669 BTC. The main reason for the decline was a 23% drop in the average price of mined bitcoin, to $73,707 per coin.
A net loss of $1.87 billion is particularly concerning, compared to a profit of $274.8 million a year earlier. Key factors included a $964.2 million loss from the revaluation of digital assets and another $397.4 million in losses on bitcoins lent out or pledged as collateral. This demonstrates how risky an aggressive strategy of utilizing cryptocurrency reserves can be amid volatility.
Debt burden and future plans
After the end of the quarter, MARA raised an additional $600 million through two bitcoin-backed credit lines from Coinbase and Two Prime, providing 18,750 BTC as collateral. Part of these funds will be used to finance the purchase of the Long Ridge gas power plant—a step that confirms the company's transformation into an energy operator.
It is worth noting that MARA's loss for the second quarter amounted to $611 million, which was already reflected in previous reports. The ongoing sell-off of reserves and rising debt burden raise questions about the long-term sustainability of the company's business model in an environment where network hash rate is growing and mining profitability is declining.
My analysis: MARA is effectively transforming from a classic miner into a highly leveraged financial company. Using bitcoin as a collateral asset is a double-edged sword: when the price rises, it strengthens positions, but during a correction, it could trigger a cascade of liquidations. Investors should closely monitor the debt-to-equity ratio in upcoming reports.