Marathon Digital Mines $15M in Kaspa Tokens for Revenue Diversification

Marathon Digital Holdings, a global cryptocurrency-focused platform, announced that its Kaspa mining operation has yielded nearly $15 million worth of KAS since it began last September.

The company states that the decision to mine Kasba was part of its strategy to diversify its mining operations.

Capsa Mining Marathon

In the statement Marathon Digital, in a statement issued on Wednesday, said that since the dawn of Kaspa’s mining operations, it had already mined about 93 million KAS worth about $15 million by June 25.

The company highlighted that Kaspa is currently the fifth largest Proof-of-Work (PoW) crypto asset, with a market capitalization of US$3.9 billion and trading volume of US$64.8 million. The blockchain’s circulating supply is 24 billion KAS, and users receive a reward of about 103.83 KAS for each block mined, with the terminal supply set at 28.7 billion.

Caspa is similar to Bitcoin in terms of its decentralization and open source. However, they differ in terms of the use of BlockDAG, which allows simultaneous processing of multiple blocks, unlike Bitcoin which relies on one block every 10 minutes. This provides workers with more opportunities to earn rewards.

According to the press release, Marathon purchased “60 petahashes of KS3, KS5, and KS5 Pro ASICs, each capable of generating 95% margins at current network difficulty. Marathon already operates 30 petahashes of Kaspa mining ASICs in Texas, with more coming in the quarter.” 3rd of 2024.

Diversification of mining activities

In the statement, Marathon said it began looking into Kaspa in May 2023 to diversify its revenue. However, the global computing giant only deployed its first batch of ASICs from Kaspa in September and began scaling up.

When talking about Kaspa mining, Adam Swick, Chief Growth Officer at Marathon Digital said:

“By mining Kaspa, we are able to create a diversified revenue stream from Bitcoin, which is directly linked to our core competency in digital asset computing.”

According to Marathon’s CEO, Marathon is well-positioned to prospect Kaspa due to its “unique relationships with device manufacturers, our strong balance sheet, and the experience of our team.” Marathon’s Chief Digital Officer pledges commitment to supporting innovation in proof-of-work ecosystems and expanding its position as a leader in the mining business.

After the massive drop in the price of Bitcoin starting in 2022, miners have started looking for ways to diversify their revenue. Some have chosen to use their own infrastructure to meet their AI and computing needs, while others have opted to mine other cryptocurrencies.