Marathon Digital Holdings, Inc.

Last modified by Md. Touhidul Islam on 2024/01/14 11:05

Contents

Summary
Brief Company Overview
Recent Business Developments
Recent Financing Activities
Financial Performance Highlights
- Q3 Performance Highlights
- Annual Performance Highlights
Business Overview
- Other Information
Company History
References

Summary

Marathon Digital Holdings, Inc. (NASDAQ: MARA) is a digital asset technology company that produces or “mines” digital assets with a focus on the blockchain ecosystem and the generation of digital assets.
The company was founded on February 23, 2010, and is headquartered in Las Vegas, Nevada.
The Company currently operates in the Digital Currency Blockchain segment and views its operations as one operating segment as the CODM reviews financial information on a consolidated basis in making decisions regarding resource allocations and assessing performance.
As of 30 September 2023, for the quarter that ended, the return on equity (ROE) and earnings per share (EPS) of Marathon are 6.29% and $0.36, respectively. The company does not pay any dividends.
The 52-week share price range is between $5.13 to $31.30, and the trailing PE is 23.61. As of 30 September 2023, the gross margin is -15.66%, the operating margin is -15.98%, and the net margin is 65.55% due to a $82.6 million gain from debt extinguishment.

Brief Company Overview

marathon logo Marathon Digital Holdings, Inc. (NASDAQ: MARA) is a digital asset technology company that produces or “mines” digital assets with a focus on the blockchain ecosystem and the generation of digital assets. The company's main services include the operation of Bitcoin mining facilities, leveraging advanced technologies to convert energy into economic value, and maintaining Bitcoin's ledger. The company was founded on February 23, 2010, and is headquartered in Las Vegas, Nevada.¹ The Company currently operates in the Digital Currency Blockchain segment and views its operations as one operating segment as the CODM reviews financial information on a consolidated basis in making decisions regarding resource allocations and assessing performance. Marathon Digital Holdings Inc. has customers interested in Bitcoin and other digital assets. Marathon Digital Holdings Inc. will team up with Zero Two, a company that provides blockchain solutions for enterprises and governments in Abu Dhabi. Other customers may include individuals, institutions, or organizations that want to buy, sell, store, or mine Bitcoin.

The Company was incorporated in the State of Nevada on February 23, 2010, under the name Verve Ventures, Inc. On December 7, 2011, the Company changed its name to American Strategic Minerals Corporation and was engaged in the exploration and potential development of a uranium and vanadium minerals business. In June 2012, the Company discontinued the minerals business and began to invest in real estate properties in Southern California. In October 2012, the Company discontinued its real estate business and commenced IP licensing operations, at which time the Company’s name was changed to Marathon Patent Group, Inc. The Company commenced mining bitcoin in 2018 and changed its name to Marathon Digital Holdings, Inc. on March 1, 2021. As of December 31, 2022, the Company is solely focused on the mining of Bitcoin and ancillary opportunities within the Bitcoin ecosystem under the name Marathon Digital Holdings, Inc.

marathon cover photo

The CEO of Marathon Digital Holdings Inc. is Fred Thiel, and as of February 20, 2023, the company had 30 full-time employees. As of 30 September 2023, the company had 179.6 million weighted average shares outstanding. The company has 312 institutional shareholders, with Vanguard Group Inc. being the largest shareholder with 18,523,195 shares. As of 30 September 2023, the company had 179.6 million weighted average shares outstanding. The company has 312 institutional shareholders, with Vanguard Group Inc. being the largest shareholder with 18,523,195 shares. As of 30 September 2023, for the quarter that ended, the return on equity (ROE) and earnings per share (EPS) of Marathon are 6.29% and $0.36, respectively. The company does not pay any dividends. The 52-week share price range is between $5.13 to $31.30, and the trailing PE is 23.61. As of 30 September 2023, the gross margin is -15.66%, the operating margin is -15.98%, and the net margin is 65.55% due to a $82.6 million gain from debt extinguishment.

Recent Business Developments

On December 21, 2023, Marathon added Anchorage Digital Bank National Association (“Anchorage Digital Bank”), a leading secure custodian and the only federally chartered crypto bank, as a bitcoin custodian, increasing the number of Marathon’s bitcoin custodians from two to three.²
On December 19, 2023, Marathon entered into a definitive purchase agreement to acquire two currently operational Bitcoin mining sites, totaling 390 megawatts of capacity, from subsidiaries of Generate Capital, PBC for a total of $178.6 million, or $458,000 per megawatt, to be paid in cash.³
On November 07, 2023, Marathon launched its second international deployment with a 27-megawatt Bitcoin mining project in Paraguay that is completely powered by renewable hydro energy.⁴
On November 02, 2023, Marathon entered into an agreement with Nodal Power. This company develops and operates renewable energy assets, specifically in the biogas space, to launch a 280 kW Bitcoin mining pilot project in Utah that is exclusively powered by landfill methane gas.⁵
On May 09, 2023, Marathon and Zero Two (Registered name FS Innovation), an emerging blockchain and digital assets infrastructure development company focused on accelerating the global digital economy while supporting the power grid of Abu Dhabi, announced details regarding the formation of a joint venture (JV) to establish the first large-scale immersion Bitcoin mining operations in the Middle East.⁶

Recent Financing Activities

On September 20, 2023, Marathon exchanged $417 million aggregate principal amount of the Privately Negotiated Convertible Notes for an aggregate 31.7 million newly issued shares of Marathon common stock to reduce its long-term convertible debt by approximately 56% and realize approximately $101 million in cash savings before transaction costs.⁷
On June 09, 2023, Marathon completed a private placement for the issuance and sale of 15,000 shares of Series A redeemable convertible preferred stock. Each share of Series A preferred stock had a purchase price of $952.38, representing an original issue discount of approximately 5% of the $1,000 stated value of each share. Total gross proceeds from the offering, before deducting the placement agent’s fees and other offering expenses, was approximately $14.25 million.⁸
On March 08, 2023, it repaid its term loan and terminated its credit facilities with Silvergate Bank, reducing Marathon’s debt by $50 million to increase the Company’s unrestricted bitcoin holdings by 3,132 BTC.⁹

Financial Performance Highlights

Q3 Performance Highlights

Net revenues for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, were $97.8 million, increased by 971% compared with the prior year's third quarter revenue, which amounted to $12.7 million. The net revenue increased by $85.1 million. Gross Loss for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, was $15.3 million, declined by 44% compared with the prior year's third quarter gross loss, which amounted to $27.4 million, resulting in a decline in gross loss by $12.1 million. Gross margin for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, was -15.66%, improved by 200.8% compared with the prior year's third quarter gross margin, which amounted to -215.74%, resulting in an improvement in profitability. Operating Loss for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, was $15.6 million, declined by 64% compared with the prior year's third quarter operating loss, which amounted to $44.0 million, resulting in a decline in operating profit by $28.4 million. Operating margin for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, was -15.98%, improved by 330.95% compared with the prior year's third quarter operating margin, which amounted to -346.93%, resulting in an improvement in profitability. Net Profit for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, was $64.1 million, which increased by 189% compared with the prior year's third quarter net profit, which amounted to $-72.5 million, resulting in an increase in net profit by $136.6 million. Net margin for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, was 65.5%, increased by 636.56% compared with the prior year's third quarter net margin, which amounted to -571.02%, resulting in an improvement in profitability. Earnings Per Share (EPS) for the third quarter of the 2023-24 fiscal year, as of 30 September 2023, was 0.36, an increase of 158% compared with the prior year's third quarter EPS, which amounted to -0.62, resulting in an increase in profitability from investment. The company did not pay any dividends. Revenues were $97.8 million for the quarter, significantly above third quarter 2022 revenues of $12.7 million, as a 467% increase in bitcoin production was amplified by 32% higher average bitcoin prices during the current year period. Gains on digital assets were $31.7 million in the quarter as the Company sold 66% of the bitcoin produced in the quarter to fund operating costs. Realized gains were partially offset by higher impairment in the carrying value of digital assets, $11.9 million versus $1.4 million in the prior-year period. This quarter also uniquely benefited from a $82.6 million gain from the extinguishment of debt, while the year-ago period included a $29.8 million gain on the sale of equipment, a $25.0 million legal reserve, and a $39.0 million impairment due to vendor bankruptcy, all of which did not reoccur in 2023.

Annual Performance Highlights

Net revenues for the year ended on 31 December 2022 were $117.8 million, declined by 26% compared with the prior year's revenue ended on 31 December 2021, which amounted to $159.1 million, resulting in a decrease in the net revenue by $41.3 million. The decrease in revenue was primarily driven by a $77.3 million decrease in revenue resulting from lower bitcoin prices in 2022, partially offset by increased revenues of $44.6 million related to a 30% increase in production year-over-year. Revenues also declined by $8.7 million in 2022 as the Company ceased operation of a mining pool that included third parties. Despite the overall increase in production for the year, the company experienced significant production downtime in the second and third quarters as a result of the aforementioned exit from Hardin and delays in energization at King Mountain. Production during the third quarter was down 50% from the prior year. Gross Loss for the year ended on 31 December 2022 was $33.7 million, increased by 129% compared with the prior year's gross profit ended on 31 December 2021, which amounted to $116.8 million, resulting in a decline in the gross profit by $150.5 million. The Gross Margin for the year ended on 31 December 2022 was -28.60%, which declined by 101.96% compared with the prior year's gross margin that ended on 31 December 2021, which amounted to 73.36%, resulting in a decline in profitability. Operating Loss for the year ended on 31 December 2022 was $663.9 million, an increase of 5143% compared with the prior year's operating loss ended on 31 December 2021, which amounted to $12.7 million, resulting in an increase in the operating loss by $651 million. The Operating Margin for the year ended on 31 December 2022 was -563.78%, which declined by 555.82% compared with the prior year's operating margin that ended on 31 December 2021, which amounted to 7.96%, resulting in a decline in profitability. Net Loss for the year ended on 31 December 2022 was $686.7 million, declined by 1751% compared with the prior year's net loss ended on 31 December 2021, which amounted to $37 million, resulting in an increase in the net loss by $649.6 million. The Net Margin for the year ended on 31 December 2022 was -583.20%, which declined by 559.90% compared with the prior year's net margin that ended on 31 December 2021, which amounted to -23.31%, resulting in a decline in profitability. Earnings Per Share (EPS) for the year ended on 31 December 2022 was -$6.05, a decline of 1535% compared with the prior year's EPS ended on 31 December 2021, which amounted to -$ 0.37 resulting in a decline in the EPS by $5.68. The company did not pay any dividends. The Company currently operates in the Digital Currency Blockchain segment and views its operations as one operating segment as the CODM reviews financial information on a consolidated basis in making decisions regarding resource allocations and assessing performance.

Cash flows from operating activities resulted in a use of funds of $176.4 million, primarily due to a $176.6 million use of cash from changes in operating assets and liabilities driven by bitcoin mining revenues and, to a lesser extent prepaid expenses associated with new hosting arrangements (a $48.9 million use of funds) and deposits associated with new hosting arrangements (a $24.5 million use of funds). These uses of funds were partially offset by a source of funds from changes in accounts payable and other accrued expenses. Cash flows from investing activities resulted in a use of funds of $390.2 million, primarily resulting from advances of $483.8 million to vendors related to orders of ASICs miners for future deployment, a $44.0 million use of funds for investment purposes (primarily an increased investment in Auradine) and capitalized costs of $41.10 million associated with purchases of equipment, partially offset by proceeds of $178.37 million from the sales of bitcoin mining rigs. Cash flows from financing activities resulted in a source of cash of $410.6 thousand, primarily from proceeds from the periodic issuance of common stock under the Company’s At-The-Market facility of $361.5 million and proceeds from borrowings outstanding under the term loan agreement of $49.2 million.

Business Overview

Marathon Digital Holdings, Inc. is a leading digital asset technology company focusing on the blockchain ecosystem and Bitcoin mining. They operate Bitcoin mining facilities, use advanced technologies to convert energy into economic value and maintain Bitcoin's ledger. As one of North America's largest Bitcoin holders, they invest in advanced technologies and maintain Bitcoin as a long-term investment.

The company was incorporated in Nevada in 2010 and changed its name to American Strategic Minerals Corporation in 2011. It focused on uranium and vanadium minerals, then moved to real estate and IP licensing. In 2018, it began mining bitcoin and changed its name to Marathon Digital Holdings, Inc. As of December 31, 2022, it is solely focused on Bitcoin mining.

The company operates in the Digital Currency (Bitcoin) Blockchain segment, consolidated by the CODM for resource allocation and performance assessment, utilizing financial information for decision-making.

Digital Currency (Bitcoin) Blockchain

The segment's main operation is Bitcoin Mining, a decentralized digital asset that operates on a peer-to-peer network. Bitcoin uses blockchain technology to create a public, transparent, and immutable record of transactions, allowing trustless, secure transactions without intermediaries. As of December 31, 2022, the company focuses solely on Bitcoin mining and ancillary opportunities within the Bitcoin ecosystem. Mining rigs use specialized computer hardware to win a lottery, adding new blocks to the blockchain and receiving rewards. Bitcoin mining verifies transactions, prevents fraud, decentralizes the network, and supports the infrastructure by providing computational power. It involves broadcasting user transactions to the "mempool" and competing in a lottery to add blocks to the blockchain. Mining rigs receive rewards for successful blocks. As more people participate, the network becomes more secure and efficient, ensuring fair and transparent supply control.

From its single segment, the performance of the company deteriorated. Marathon generated revenues of $117.8 million for the year ended December 31, 2022, compared with $159.1 million in 2021. The $41.4 million decrease in revenue was primarily driven by a $77.2 million decrease in revenue resulting from lower bitcoin prices in 2022, partially offset by increased revenues of $44.6 million related to a 30% increase in production year-over-year. Revenues also declined by $8.7 million in 2022 as the company ceased operation of a mining pool that included third parties. Despite the overall increase in production for the year, the company experienced significant production downtime in the second and third quarters as a result of the aforementioned exit from Hardin and delays in energization at King Mountain. Production during the third quarter was down 50% from the prior year. Marathon faced significant declines in bitcoin mining rig fair value in Q4 2022, leading to an impairment write-down of both fixed assets and advances to vendors. The total impairment was $332.9 million, with $173.2 million in impairments and $85.0 million in losses on digital assets. The profitability declined due to decreased bitcoin prices and scaling delays.

Considering business achivements, Marathon is the largest publicly traded bitcoin miner in North America, has a record 1,853 BTC in December 2023 and mined 179 blocks in July, collecting over 380 BTC in transaction fees. It partnered with Compute North, expanded to Abu Dhabi and Paraguay, and acquired two sites from Generate Capital to improve cost structure and growth potential.

Other Information

Marathon Digital Holdings Inc. is a company that focuses on Bitcoin mining and related services. For distribution and expansion, the company acquires operational Bitcoin mining sites that use renewable energy sources and have expansion opportunities. The company plans to transition from an asset-light organization to managing a diversified portfolio of Bitcoin mining operations. It will host clients at its acquired sites, providing infrastructure and expertise. The company plans to use available capacity for its own miners as existing clients leave. It uses Anchorage Digital Bank as a custodian to diversify risk and increase operational flexibility. The company purchases Bitcoin from the open market or through direct transactions with other Bitcoin holders.

The digital asset mining industry is a highly competitive and evolving industry, and new competitors and/or emerging technologies could enter the market and affect the company’s competitiveness in the future. The Bitcoin mining industry involves companies and individuals using computing power to solve cryptographic algorithms and record transactions on blockchain ledgers. The reward for verifying a block is 6.25 bitcoin. Miners range from enthusiasts to professionals with dedicated data centers. Companies may compete with those focusing on digital asset exchanges, blockchain programming, and mining activities. Information about these enterprises is not readily available due to lack of public or unreliable information.Several public companies (traded in the U.S. and Internationally), such as the following, may be considered to compete with Marathon: Riot Platforms, Inc., Cipher Mining Inc., Hut 8 Mining Corp., Hive Blockchain Technologies Ltd., Bitfarms, Ltd., Cleanspark, Inc., Iris Energy Limited, Bit Digital, Inc., Argo Blockchain plc, TeraWulf Inc., Greenidge Generation Holdings Inc., Core Scientific, Inc., Stronghold Digital Mining, Inc.

The performance of the company deteriorated and profitability declined due to several factors. Firstly, In 2022, the crypto sector faced challenges due to macroeconomic conditions, including higher inflation and rising interest rates, weaker equity markets, and a "risk off" sentiment. Unexpected events like the de-pegging of $LUNA, digital asset sector bankruptcies, and FTX collapse negatively impacted the sector's operating results, assets, and stock price. Secondly, the fair value of Bitcoin declined. Bitcoin's fair value decreased 64% from $46.3 million in December 2021 to $16.5 million. The Company held 7,816 unrestricted bitcoins at $1129.3 million. Bitcoin prices hit a new yearly low on November 9, 2022. Thirdly, the company provided an additional 1,669 bitcoins as collateral for outstanding borrowings under its Term Loan and revolving line of credit facilities with Silvergate Bank, resulting in a total collateral balance of 9,490 bitcoins. As of November 9, 2022, the Company had 11,440 bitcoins, with 1,950 unrestricted. However, in November and December 2022, the Company repaid $50 million in RLOC borrowings, reducing its collateral to 4,416 bitcoin.

Marathon business overview

In 2023, the reputational risk and credit risk of the Crypto Market increased. The reason is Silvergate Bank's financial troubles, including doubts about its ability to continue as a going concern and a decline in client deposits, led to a postponement of its Annual Report on Form 10-K with the SEC. This negatively impacted Marathon's performance, as Silvergate Bank served as the lender for the Term Loan and RLOC facilities, allowing Marathon to borrow up to $200 million. This led to leading crypto business clients leaving the bank, creating a credit void and reputational risk. As Silvergate announced its intention to wind down operations and voluntarily liquidate the bank on March 8, 2023, the company provided Silvergate Bank with a 30-day notice to prepay the outstanding balance on its term loan facility and terminate it, subsequently ending the RLOC facility.

Company History

In June 2012, the Company discontinued the minerals business and began to invest in real estate properties in Southern California. In October 2012, the Company discontinued its real estate business and commenced IP licensing operations, at which time the Company’s name was changed to Marathon Patent Group, Inc. The Company commenced mining bitcoin in 2018 and changed its name to Marathon Digital Holdings, Inc. on March 1, 2021. As of December 31, 2022, the Company is solely focused on the mining of Bitcoin and ancillary opportunities within the Bitcoin ecosystem under the name Marathon Digital Holdings, Inc.

On February 20, 2013, Marathon Patent (OTCBB: MARA) announced the results of their shareholder meeting held on February 15, 2013. A majority of the Company's Shareholders approved the name change to Marathon Patent Group, Inc. As a result of the name change, FINRA approved a change of the Company's stock ticker symbol. The Company's common stock commenced trading on the OTC under the symbol MARA. On Feb 27, 2013, Marathon Patent Group (OTCQB: MARA) entered into a strategic relationship with industry-leading patent monetization company IPNav. IPNav would source and execute monetization opportunities on behalf of MPG. On 23 July 2014, its shares of common stock were approved for uplisting to The NASDAQ Stock Market LLC. On 15 May 2015, its wholly-owned subsidiary IP Liquidity Ventures, LLC entered into a patent purchase agreement pursuant to which it acquired 43 patents related to Tire Pressure Monitoring Systems (TPMS). On August 14, 2015, Marathon Patent Group, Inc. (NASDAQ: MARA) and Uniloc Luxembourg SA entered into a definitive agreement under which the companies would be combined in an all-stock merger of equals intended to qualify as a tax-free reorganization. The new company was called Marathon Group SA.

marathon digital holdings symbolic photo

On 28 March 2016, Marathon Patent Group, Inc. announced the formation of a new IP commercialization subsidiary, 3D Nanocolor Corp. ("3D Nanocolor"). Marathon has provided an initial round of seed capital and has commitments from outside investors for development and growth capital. Under the terms of the license, 3D Nanocolor has been acquired from HP Inc. worldwide rights, with an option to acquire issued patents and associated proprietary technology to technology called Electro-kinetic Film. On 24 May 2016, Marathon Patent Group, Inc. authorized the repurchase of up to $2 million of Marathon's common stock. Purchases may be made over a 12-month period ending May 30, 2017. On 15 August 2016, Marathon Patent Group, Inc. (NASDAQ: MARA) acquired 307 worldwide patents from Siemens AG and certain of its affiliates, a global technology powerhouse and one of the world's preeminent engineering companies. On November 02, 2017, Marathon entered into a definitive purchase agreement to acquire 100% ownership of Global Bit Ventures Inc. (“GBV”), a digital asset technology company that mines cryptocurrencies. GBV has a robust infrastructure in place with significant capability for expansion. The closing of the transaction is subject to obtaining requisite approvals. On April 04, 2018, the company amended the terms of the pending acquisition of Global Bit Ventures Inc., a digital asset technology company that mines cryptocurrencies (“GBV”).

On January 12, 2018, Marathon and GBV have entered into a definitive purchase agreement whereby Marathon was acquiring 100% ownership of GBV. On February 8, 2018, the Company announced it had purchased 1,400 Bitmain Antminer S9 miners (“Antminer S9s”), and on February 15, 2018, the company announced it had leased 26,700 square feet of data center space in Quebec, Canada. The company completed its installation and the commencement of operations, which were expected to utilize approximately 2.0 MW and deliver approximately 19 Ph/s of ASIC mining capacity. The Antminer S9s were mining Bitcoin but are able to mine other digital assets/cryptocurrencies using the SHA256 algorithm. On 18 January 2018, Marathon entered into a purchase agreement to acquire four patents related to the transmission and exchange of cryptocurrencies between buyers and sellers. On 15 February 2018, Marathon Crypto Mining, Inc. executed a lease for 26,700 square feet of a 48,600 square foot purpose-built facility in Quebec. As the operations grew, the company had the option to lease the entire building. On March 12, 2018, Marathon commenced bitcoin mining at its new facility in Quebec. On October 13, 2020, Marathon announced the formation of a new joint venture with Beowulf Energy LLC (“Beowulf”) focused on delivering low-cost power to Marathon’s Bitcoin mining operations. In connection with the joint venture, Marathon has entered into agreements with Beowulf to co-locate its Bitcoin Mining Data Center (the “Data Center”) at the Big Horn Data Hub, which comprises 20 acres of land adjacent to Beowulf’s Hardin Generating Station, a 105 MW power facility located in Hardin, Montana. Beowulf will provide power from the Hardin plant to the Data Center at a production cost of $0.028/kWh.

On January 25, 2021, Marathon purchased 4,812.66 BTC in an aggregate purchase price of $150 million. As a result, the Company has strengthened its position as one of the only Nasdaq-listed, pure-play investment options for individuals and institutions seeking exposure to Bitcoin. On February 26, 2021, Marathon Patent Group, Inc. (NASDAQ:MARA) has changed its name to Marathon Digital Holdings, effective March 1, 2021. On March 30, 2021, Marathon announced that the Company will be launching the first Bitcoin mining pool based in North America that is fully compliant with U.S. regulations, including anti-money laundering (AML) and the Office of Foreign Asset Control’s (OFAC’s) standards. On September 09, 2021, Marathon announced that DMG Blockchain, (TSX-V: DMGI) (OTCQB: DMGGF) (FRANKFURT: 6AX), a vertically integrated blockchain and cryptocurrency technology company, will become the first North American Bitcoin miner, excluding Marathon, to join Marathon’s mining pool, MaraPool. On May 09, 2023, Marathon and Zero Two (Registered name FS Innovation), an emerging blockchain and digital assets infrastructure development company focused on accelerating the global digital economy while supporting the power grid of Abu Dhabi, announced details regarding the formation of a joint venture (JV) to establish the first large-scale immersion Bitcoin mining operations in the Middle East. On November 02, 2023, Marathon entered into an agreement with Nodal Power. This company develops and operates renewable energy assets, specifically in the biogas space, to launch a 280 kW Bitcoin mining pilot project in Utah that is exclusively powered by landfill methane gas. On November 07, 2023, Marathon launched its second international deployment with a 27-megawatt Bitcoin mining project in Paraguay that is completely powered by renewable hydro energy. On December 19, 2023, Marathon entered into a definitive purchase agreement to acquire two currently operational Bitcoin mining sites, totaling 390 megawatts of capacity, from subsidiaries of Generate Capital, PBC for a total of $178.6 million, or $458,000 per megawatt, to be paid in cash. On December 21, 2023, Marathon added Anchorage Digital Bank National Association (“Anchorage Digital Bank”), a leading secure custodian and the only federally chartered crypto bank, as a bitcoin custodian, increasing the number of Marathon’s bitcoin custodians from two to three.