Fidelity acquires a 7.4% stake in Marathon Digital Holdings for US$20 million

Fidelity Investments, a multinational financial services company, announced the acquisition of a 7.4% stake in Marathon Digital Holdings, a major North American mining company.

Marathon currently operates 19,000 miners and plans to deploy another 100,000 machines in the next 12 months. Fidelity manages US$4.9 trillion in assets and is one of the largest financial services companies in the world, serving more than 35 million customers worldwide.

This givel Finalized as US$20 million on July 22, the stocks will be distributed among four index-based funds-Fidelity Expanded Market Index Fund (FSMAX), Fidelity Nasdaq Composite Index Fund (FNCFX), Fu Full Market Index Fund (FSKAX) and Fidelity Series Full Market Index Fund (FCFMX).

The acquisition puts Fidelity on par with companies such as Vanguard Group, Susquehanna and Blackrock, which own 7.58%, 2.7%, and 1.59% of Marathon, respectively.

Mining stocks are popular because they track trends in the Bitcoin market Exaggerated volatilitySince the beginning of 2021, BTC has risen by about 240%, while Marathon’s stock price has risen by 660% over the same period.

Marathon is a hot stock for institutional asset management companies, estimate 18 exchange-traded funds (ETFs) currently hold MARA, excluding Fidelity.

In an interview, Marathon CEO Fred Thiel celebrated his company’s growing acceptance by institutions, saying:

“The past two quarters have been fantastic [in] How much has the institutional ownership of our stock increased? “

Thiel emphasized Marathon’s focus on growth, and the company chose to enter into partnership agreements with hosting and power facilities instead of targeting them directly, which allowed Marathon to focus on mobilizing its resources to deploy mining hardware.

related: Marathon buys another 30,000 Bitcoin miners, with a goal of 13.3 EH/s hashing power

On August 3, the company Announce Bitcoin production increased by 66% month-on-month, and Marathon mined 442.2 BTC worth $16.6 million. The company currently holds 6,225.6 BTC, valued at US$245 million, including 4,812.66 BTC Marathon purchased in January.

The substantial increase in monthly mining revenue may be due to China’s recent blow to the industry, which has driven significant growth.Decrease in Bitcoin network hash rate As a miner Power off And prepare to move overseas.