Marathon plans to issue bonds to buy mining equipment and cryptocurrency

Marathon Digital (American mining company) plans to issue debt bonds in the amount of $650 mln. All funds will be spent on the purchase of Asic miners and bitcoins.

At the beginning it was planned to sell bonds for $500 million, but due to increased demand they decided to increase the amount of bonds to $650 million. The securities will be valid until December 1, 2026. Marathon Digital will have the right to redeem the bonds early.

“Marathon intends to use the proceeds from the sale of the bonds for general corporate purposes, including the purchase of bitcoin or BTC mining equipment,” the statement said.

U.S. mining companies save mined bitcoins in crypto wallets without selling them. Miners attract investments and loans to sustain their business.

Due to the global crisis, mining companies are receiving far fewer devices. As of August 2021, Marathon Digital had about 6,000 BTC in its crypto wallets.