Marathon Digital, a bitcoin miner, said last month that it paid off its revolver borrowings, freeing up bitcoin held as collateral and increasing its unconstrained holdings from 4,200 to 7,815 BTC.
The corporation has $103.7 million in unconstrained cash at the end of a challenging year for the mining sector. The total amount of bitcoin held was 12,232 BTC.
“Given the macroeconomic uncertainties leading into 2023,” Marathon CEO Fred Thiel said in a statement Thursday. As of November 30, its revolver borrowings reached $30 million.
After months of operating at low margins, mining companies faced a liquidity crisis, and many in the industry sought to lower their borrowing. Stronghold agreed to convert $17.9 million in debt into stock this week, while Core Scientific filed for Chapter 11 bankruptcy with the intention of converting the majority of its debt into equity.
Marathon ended the year with a hash rate of 7 EH/s, which it hopes to increase to 23 EH/s by mid-2023.
In November, the business initiated an immersion-cooled trial experiment. According to the statement, preliminary data indicate that it might lower capital expenditure on servers by around 10% compared to standard air-cooled setups and almost 7% compared to single-phase immersion systems.
“While it remains to be seen if such performance gains can be regularly repeated and applied at scale, the Firm is encouraged by these preliminary results and their potential to expand Marathon’s competitive advantages,” the company stated.
Marathon increased an arrangement with hosting provider Applied Digital in December to include 12,000 computers slated to go live next month, subject to regulatory permission.