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Marathon Patent Group announced on Monday that it had bought 4,813 bitcoins in a deal worth $ 150 million. The company joins the growing list of publicly traded companies that have bitcoin in their coffers.

Merrick Okamoto, Marathon chairman and chief executive officer, said the company is buying Nasdaq bitcoin (BTC) as a reserve.

“We … believe that holding some of our treasury reserves in bitcoin will be a better long-term strategy than holding US dollars, similar to other forward-thinking companies like Microstrategy,” Okamoto said in a statement. statement.

“By purchasing $ 150 million worth of bitcoin, we have accelerated the process of building Marathon into what we believe is the de facto investment choice for individuals and institutions looking for exposure to this new asset class,” he added.

Marathon, which is already involved BTC mining, bought the dip and paid about $ 31,135 per bitcoin on average. The deal was executed by financial services firm New York Digital Investment Group (NYDIG) and completed on January 21.

Bitcoin prices fell below $ 30,000 last week, but bounced back to between $ 32,000 and $ 34,000. At the moment of writing, BTC trades around the $ 32k handle per unit.

Earlier this January, Marathon raised $ 250 million in a stock round, but it was not used for the BTC. Okamoto revealed that bitcoin purchase was funded from internal cash to the tune of $ 425 million, industry media reported.

As a miner, Marathon currently produces up to two bitcoins per day, but now wants to expand with the purchase of 103,000 advanced S19 bitcoin miners from Bitmain. Okamoto said the miners are expected to be delivered and fully installed by the end of the first quarter of 2022.

“If all miners were up and running today, based on the current difficulty of the bitcoin network, we would be producing about 55 to 60 bitcoins per day,” he said. “But by putting all of our cash into investing in bitcoin now, we’ve turned our potential to be a pure play investment into reality.”

In October, Marathon announced a joint venture agreement with Beowulf Energy, reducing the electricity costs of mining bitcoin by 38%. Shares of Marathon fell 0.44% to $ 18.22 Monday. The stock is up more than 56% since January 1.

What do you think about Marathon’s purchase of bitcoin for the company’s treasury? Let us know what you think about this topic in the comments below.

Image Credits: Shutterstock, Pixabay, Wiki Commons

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