MARA Holdings has committed 18,750 Bitcoin as collateral to secure two Bitcoin-backed term loans with a combined principal of $750 million, according to its quarterly SEC filing and details highlighted by Coinbase Institutional. The arrangements finalized on August 4, 2026, provide roughly $600 million in additional borrowing capacity while also refinancing an existing $150 million credit line. The Coinbase Credit facility supplies $300 million of fresh capital and consolidates the prior line, while Two Prime Lending provides another $300 million; both have been fully drawn and mature in early August 2028.
Collateral and terms: The 18,750 BTC pledged carried a fair value of about $1.2 billion at closing, more than half of MARA’s reported treasury of 35,577 BTC as of June 30, 2026. Coinbase Institutional noted the $450 million facility ranks among the largest crypto-collateralized loans originated to date. The Coinbase facility bears floating interest based on the midpoint of the Federal Reserve’s target range plus 3.875%, while the Two Prime facility carries a fixed 7.65% rate, with a weighted average cost around 7.56%. At prevailing rates, annual interest expense would approximate $56.7 million. Lenders require daily mark-to-market valuations and specific collateral ratios; a Bitcoin price decline could trigger margin calls or potential liquidation of pledged coins.
Use of proceeds and strategy: The financing supports general corporate purposes, particularly the cash portion of MARA’s pending acquisition of Long Ridge Energy & Power LLC, an approximately $1.5 billion enterprise value deal. The Hannibal, Ohio site includes a highly efficient natural gas combined-cycle plant expected to reach 505 megawatts and more than 1,600 acres of industrially permitted land. MARA plans to expand power generation, continue Bitcoin mining, and develop potential AI and high-performance computing data center campuses. Coinbase Prime Vaults custody the Bitcoin collateral under institutional lending standards with overcollateralization and specialized risk oversight.
The move enables MARA to raise non-dilutive capital while retaining upside exposure to its remaining Bitcoin reserves, highlighting the maturing market for crypto-collateralized corporate financing and the convergence of Bitcoin mining, energy infrastructure, and artificial intelligence.
