Marathon Digital, one of the largest publicly traded Bitcoin miners, is set to take over Applied Digital’s 200 megawatt Bitcoin mining data center for almost $87M in cash payment. The data center is in Garden City, Texas, and uses renewable energy.
For Marathon, it is the second such acquisition of a data center meant for data mining, following the investment of nearly $180 million in two more businesses in January. This latest takeover will help grow the businesses’ mining collection to 1:1 gigawatts, out of which 54% will be on sites owned and run by them.
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Miners are improving their computing strength following the halving in April. This will reduce the number of coins awarded to achieving miners by half the amount, standing at 3,125. Businesses such as Marathon are running against time to upgrade and gain broader margins to compensate for the decrease in revenue.
According to the Chairman and CEO of Marathon, Fred Thiel, this transaction helped to raise the impact on their activities and lessen the price per coin by nearly 20% at the site. Additionally, it offers 100 megawatts of capacity, which makes expansion possible. In his view-point, following the halving, certain miners will be out of profits since the Bitcoin reward will fall.
Of late, El Salvador’s re-elected President, Nayib Bukele, mentioned that the country will continue purchasing a single Bitcoin daily with fiat currencies till it becomes unaffordable. El Salvador intends to shift many Bitcoin holdings to a cold wallet stored in a real-world vault.
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Following the fall of FTX, Sam Bankman-Fried pondered various ways to regain his image, such as becoming a Republican and other tactics. Despite it all, his indictment is slated for the 28th of March. He was an ardent follower of the concept of effective altruism.
