MARA Holdings, the largest publicly traded crypto mining company in the U.S., has expanded its partnership with SEC-registered investment advisor Two Prime by allocating 500 BTC to Two Prime-managed yield strategies. This move transitions their previous bitcoin-backed loan arrangement into a broader capital management collaboration aimed at increasing returns while maintaining transparency, risk awareness, and capital efficiency.
MARA, holding one of the world's largest institutional Bitcoin treasuries with over 48,137 BTC and a market valuation of around $5.7 billion, seeks to actively invest its Bitcoin assets to boost shareholder value. Despite generating $214 million in Q1 2024 revenue, the company reported a net loss of $533 million and recently announced plans to raise up to $2 billion through share sales to grow its Bitcoin reserves.
Two Prime, managing access to $2.5 billion in capital and developing proprietary Bitcoin derivatives for institutions, views this expanded partnership as a model for responsible, risk-conscious digital asset management. MARA shares have recently lagged behind Bitcoin's price gains, having lost about 8% year-to-date while Bitcoin surged over 11.5%, reaching new highs above $110,000.
The deal reflects a strategic effort by MARA to optimize its Bitcoin holdings' profitability amid an industry trend where public miners sold more Bitcoin than they produced in recent months, underscoring challenges in balancing production and liquidity.