Marathon Digital Seeks $700M to Buy More Bitcoin as Mining Revenue Rises

Marathon Digital is looking to raise $700 million to strengthen its Bitcoin reserves while revealing boosts in revenue and production.

In a statement, the listed crypto miner said it will raise the funds through a private offering of convertible senior notes due 2031, targeting qualified institutional buyers with 0% interest-bearing notes.

Marathon extended an option for initial purchasers to buy an additional $105 million in notes within a 13-day window from the issuance date.

Proceeds will primarily go toward bolstering MARA's Bitcoin reserves, with up to $50 million allocated for repurchasing 2026 convertible notes.

Marathon's Bitcoin production rose by 26% month-over-month to 907 BTC while its energized hash rate surged 15% to reach 46.1 EH/s. It also reported the highest number of blocks mined in a single month of 254, marking a 27% increase from October.

"November was a record-breaking month for MARA, with our mining operations achieving unprecedented levels of production driven by the successful deployment of additional miners and enhanced operational efficiency," said Fred Thiel, MARA's chairman and CEO. 

Marathon's success reflects the success of the wider crypto-mining industry. According to a JP Morgan report, the total market cap of the 14 publicly listed Bitcoin miners in the bank's coverage surged 52% in November to $36.2 billion.

Average network hashrates rose 4% month-on-month to 731 exahash per second (EH/s), while mining difficulty increased 7% from October.

"We estimate that bitcoin miners earned an average of $52,000 per EH/s in daily block reward revenue in November, up 24% from October," analysts Reginald Smith and Charles Pearce wrote.