With the recent surge in the price of Bitcoin, the previous layout of Bitcoin mining companies has also been examined by the market. Mining giant Marathon Digital announced its fourth quarter and full-year revenue report for 2023 yesterday (28). Marathon CEO Fred Thiel stated in the report that 2023 was a record-breaking year for the company.
Marathon Digital, a major Bitcoin mining company in the United States, announced its fourth quarter and full-year revenue report for 2023 on February 28, showing impressive results. The report revealed that Marathon’s annual revenue in 2023 reached $387.5 million, an increase of 229% compared to 2022, a remarkable growth rate.
In the fourth quarter, Marathon also showed outstanding performance in terms of revenue, reaching $156.8 million, a significant increase of 452% compared to the same period last year’s $28.4 million. This figure also exceeded the market analysts’ original estimate of $148.8 million.
CEO Fred Thiel stated in the report that 2023 was a record-breaking year for the company. Marathon Digital achieved its main goal of providing power and optimizing performance for the previously purchased mining machines during this year, which played a key role in the revenue growth. The report pointed out that Bitcoin production increased by 172% annually, and the average price of Bitcoin also doubled during the same period, which together drove the significant growth of the company’s revenue.
On the other hand, the report indicated that the company’s adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) changed significantly from a loss of $374 million in the fourth quarter of 2022 to a positive $260 million in the fourth quarter of 2023. This change not only reflects Marathon Digital’s improved profitability but also demonstrates the enhancement of its operational efficiency.
Marathon Digital achieved significant accomplishments in 2023, with a record-breaking Bitcoin production of 12,852 BTC. At the same time, the company’s hash rate (the number of hashes processed per second) increased from 7.0 EH/s in the previous year to 24.7 EH/s, a growth rate of 253%. Regarding future prospects, Marathon’s CFO Salman Khan stated:
“Expanding into the Bitcoin scalability field”
In addition to the growth in its core business, Marathon Digital has recently been actively expanding into the Bitcoin scalability field. According to a blog post released on February 28, Marathon has started incubating a multi-chain Layer2 network called Anduro. This initiative aims to accelerate the development and adoption of Bitcoin and enhance its influence in the cryptocurrency market.
Anduro is designed to be an application layer that encourages innovation within the Bitcoin ecosystem by supporting the creation of multiple sidechains. Marathon stated that this composable second-layer platform will focus on “systematically integrating decentralized governance” and strives to become a developer-centric Bitcoin scalability solution.
Apart from Anduro, Marathon is currently dedicated to the development of the first two sidechains on Cooperative and Alys. Coordination will provide an economically efficient UTXO stack for the Ordinals community, while Alys is an Ethereum-compatible sidechain primarily used for tokenizing institutional assets.
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