MARA Holdings (formerly Marathon Digital), the largest publicly traded crypto mining company in the United States, has taken another strategic step to evaluate institutional Bitcoin assets.
MARA Holdings Expands Partnership with Two Prime to Increase Yields on Bitcoin Assets
The company announced that it will expand its existing partnership with SEC-registered investment advisor Two Prime, allocating an initial 500 BTC to Two Prime-managed yield strategies.
Two Prime was already providing Bitcoin-backed loans to MARA. The new move aims to transform this collaboration into a more comprehensive capital management model.
“MARA holds one of the largest institutional Bitcoin treasuries in the world. It sets the standard for how institutional investors can responsibly unlock the value of Bitcoin,” said Alexander Blume, CEO of Two Prime.
“This partnership is not only about returns; we are also building a model based on transparency, risk awareness and capital efficiency.”
MARA Holdings is the second-largest Bitcoin holder among public companies after Strategy, with 48,137 BTC. The company’s market value is around $5.7 billion.
MARA, which generated $214 million in revenue in the first quarter of 2024, still reported a net loss of $533 million. In March, the company announced plans to sell up to $2 billion in shares in order to increase its Bitcoin reserves.
“More actively investing our Bitcoin assets is a smart and balanced strategy for our shareholders,” said Paul Giordano, Vice President of Digital Asset Management at MARA. “With this allocation to Two Prime’s strategies, we continue to prioritize flexibility and security while increasing our return targets.”
Two Prime operates with access to $2.5 billion in capital by developing proprietary Bitcoin derivative strategies for institutional investors.
On the other hand, MARA shares have lost about 8% of their value since the beginning of the year, while the bitcoin price has increased by 11.5%, reaching a new all-time high of over $110,000 recently.
*This is not investment advice.