MARA Holdings, the world’s largest Bitcoin mining company, is raising $850 million through a private offering of zero-coupon convertible senior notes due 2032. The Miami-based digital energy firm plans to use the funds to expand its Bitcoin treasury with an eye on accumulating more during price dips.

The company has also granted initial purchasers an option to buy an additional $150 million in notes, potentially increasing the total raise to $1 billion. Up to $50 million from the proceeds will be used to repurchase MARA’s existing 1.00% convertible senior notes due in 2026, while the remainder will go toward BTC purchases, capped call transactions to mitigate share dilution, and general corporate purposes.

A Strategic Move Amid Post-Halving Pressures

MARA’s decision to raise capital and buy more Bitcoin comes in response to heightened financial pressure following the April 2025 Bitcoin halving. The event halved block rewards for miners, increasing the cost burden on mining firms already grappling with rising energy and equipment expenses.

Despite a 30% increase in Q1 2025 revenue to $214 million, MARA posted a net loss of $533 million. CEO Fred Thiel remains confident in the company’s hybrid treasury approach, mining and buying Bitcoin as markets dictate. “The hybrid approach provides us significant flexibility to acquire Bitcoin at attractive prices,” Thiel explained in MARA’s 2024 year-end report.

This flexible strategy is especially relevant now, as crypto markets remain volatile and unpredictable. Thiel has also encouraged retail investors to adopt a “buy and hold” Bitcoin strategy, reinforcing his confidence in long-term BTC appreciation.

Convertible Notes Offer Strategic Flexibility

The zero-coupon notes issued by MARA come with several strategic features. They do not pay regular interest and will mature on 1 August 2032. Noteholders will have the option to convert the notes into cash, MARA stock, or a combination, at the company’s discretion.

Additionally, MARA retains the right to redeem notes for cash after 15 January 2030, while investors may opt to redeem early if the company’s share price falls below pre-agreed thresholds. To avoid shareholder dilution during conversions, MARA will enter capped call transactions with the initial note purchasers, a commonly used hedging method in such corporate offerings.

Corporate Crypto Strategies Continue to Diverge

MARA’s aggressive Bitcoin-centric approach sets it apart from other public companies, which are diversifying or abandoning Bitcoin in favour of alternative digital assets. As of July 2025, over 273 companies now hold Bitcoin in their treasuries, up from just 124 a year earlier, according to BitcoinTreasuries.

NYSE-listed Sequans Communications recently added 1,264 BTC for $150 million, raising its total holdings to 2,317 BTC, showing support for a similar accumulation strategy.

However, others are moving in a different direction. Bit Digital sold 280 BTC to build a 100,000 ETH treasury, focusing on Ethereum’s staking rewards. Meanwhile, BIT Mining is preparing to raise $200–$300 million to build a Solana-based treasury. Some firms are even exploring altcoin strategies involving XRP, ADA, and DeFi tokens, according to Animoca Brands Research.

These developments highlight an evolving debate in corporate circles: should companies adopt a long-term BTC accumulation strategy like MARA, or explore yield-generating assets in a fast-changing crypto landscape?

Rising Doubts Around Long-Term Crypto Treasuries

Despite growing corporate interest, scepticism remains about the long-term viability of Bitcoin-focused treasuries. James Check of Glassnode warned that “the Bitcoin treasury strategy has a far shorter lifespan than most expect.” VanEck’s Matthew Sigel echoed concerns, criticising at-the-market share issuance schemes that dilute shareholder value as stock prices near the net asset value of held Bitcoin.

Meanwhile, legal uncertainty also clouds the picture. MicroStrategy is currently facing class-action lawsuits alleging that the company misled investors about the financial viability of its crypto investments.

For MARA, however, the direction is clear. As the post-halving era reshapes mining economics, the company is doubling down on its belief in Bitcoin as both a strategic asset and a long-term value store. With a $1 billion war chest in sight, MARA is positioning itself as a leader not only in mining but in corporate Bitcoin accumulation.