Friday, December 3

SEC investigates America’s largest bitcoin mining company

Marathon Digital Holdings, the largest bitcoin mining company in the United States, announced on Monday, November 15, that it had received a subpoena from the United States Securities and Exchange Commission (SEC) to inform about its plans to install a new center. data in the state of Montana.

Information about the SEC subpoena was included in this year’s third quarter financial results report. delivered this monday to that commission. However, the citation is not mentioned in the financial results. published last November 10 on the Marathon website.

During the quarter ended September 30, 2021, the Company and some of its executives received a subpoena to submit documents and communications regarding the Hardin, Montana data center installation. We understand that the SEC may be investigating whether there may have been any violation of federal securities law. We are cooperating with the SEC.

Marathon Digital Holdings. Notification of results to the SEC.

Marathon’s (MARA) share price declined after the SEC’s notice was published. From USD 72.50 on Monday the 15th, it opened this Tuesday at USD 51.12, which represents a 25% drop. At the time of writing, following a rally, the firm is trading at $ 55.40.

The SEC’s notice of the subpoena does not appear to be the sole reason for the Marathon stock’s decline, as the company had also announced its intention on Monday. to issue debt notes for USD 500 million for the purchase of bitcoin and more mining equipment.

In the third quarter of this year, revenues grew to $ 51.4 million, a 76% increase from $ 29.3 million in the second quarter. There was a growth of 6.091% compared to the revenues of the third quarter of 2020, which were USD 835,000.

Estimate of BTC mined monthly since September 2021. Source: Marathon Digital Holdings.

Currently, according to the most recent presentation to investors, Marathon owns 28,590 Bitmain S19 Pro devices, which provide a hash rate of 3.14 EH / s. With the investment of USD 30 million, it plans to add 110 MW of capacity to its plant in Hardin, Montana, which will allow it to reach 13.3 EH / s in mid-2022.

Along with Riot Blockchain, Marathon has seen remarkable growth this year, largely due to China’s ban on mining. A Compass Mining report, commented on by CriptoNoticias, analyzes the expansion of these firms both in mined BTC and in the mining equipment acquired.

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