The Marathon Patent Group is buying $ 150 million worth of Bitcoin as token dips

The cryptocurrency miner Marathon Patent Group announced Monday that it had purchased $ 150 million worth of Bitcoin after the cryptocurrency fell from historic highs of over $ 40,000.

The company bought 4,812.66 BTC at an implied average price of $ 31,167.79 per coin as part of the transaction made possible by NYDIG, a leading bitcoin technology and financial services company.

“By purchasing $ 150 million worth of Bitcoin, we have accelerated the process of building Marathon into what we believe to be a real investment choice for individuals and institutions seeking exposure to this new asset class,” said Merrick Okamoto, chairman by Marathon & CEO.

“We also believe that holding some of our treasury reserves in Bitcoin is a better long-term strategy than holding US dollars, much like other forward-thinking companies like MicroStrategy.”

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MicroStrategy, a business intelligence, mobile software, and cloud-based services company, has been a leader in bitcoin for some time. The company announced on Monday another purchase of around 314 bitcoins for $ 10 million.

With this purchase, MicroStrategy had a total inventory of 70,784 bitcoins valued at approximately $ 2.38 billion at current prices. The company has now pulled more than $ 1 billion from its Bitcoin investments after buying the currency at an average price of $ 16,035 per coin.

Continue reading: Michael Saylor has invested over $ 1 billion in MicroStrategy funds in Bitcoin. He explains why he relies so heavily on the digital asset.

While Marathon doesn’t have the same bitcoin fortune yet, the company is currently tasked with purchasing 103,060 bitcoin miners that will be operational by the end of the first quarter of fiscal 2022.

Given today’s bitcoin mining difficulty, that would mean Marathon could potentially produce 55-60 bitcoins per day.

This news comes after Bitcoin climbed to a record high of nearly $ 42,000 per coin by early January, before profit-taking and bearish news dragged prices down.

The cryptocurrency struggled last week after a BitMEX research report suggested a bug that allowed “double spending” to allow a user to spend the same bitcoin twice.

Treasury Secretary-designate Janet Yellen’s comment also hurt Bitcoin’s momentum. On Wednesday the former

Federal Reserve
The chairman said the government should consider regulating cryptocurrencies to prevent their use in illegal funding.

According to JPMorgan strategists led by Nikolaos Panigirtzoglou, the pace of inflows into the Grayscale Bitcoin Trust also appears to have “peaked”.

“At the moment, the institutional flow behind the Grayscale Bitcoin Trust is not strong enough for Bitcoin to break above $ 40,000. The short-term balance of risks is still on the downside,” JPMorgan strategists told Bloomberg.

Continue reading: Cathie Woods ARK Invest runs 5 active ETFs that have more than doubled in 2020. She and her analysts share their outlook for the economy, Bitcoin and Tesla for 2021.

Despite JPMorgan’s bearish tone and falling Bitcoin prices, Marathon, MicroStrategy and others stay on course on the cryptocurrency and buy up reserves when they can.

Marathon Patent’s shares fell 2.13% at 3:27 p.m. EST Monday, giving the crypto miner a market cap of $ 1.68 billion.

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