This article was first published in The Energy Mag. The original article can be read here. The Energy Mag (formerly The Miner Mag) provides news, data, and analysis on the intersection of energy, compute, and markets.
According to a quarterly report published on Thursday, August 4th, the Bitcoin mining company entered into two term loan agreements with Coinbase Credit and Two Prime Lending. At the time of the deals' closing, the pledged tokens were valued at approximately $1.2 billion.
The total principal amount of these credit facilities is $750 million, as the $450 million Coinbase loan includes the refinancing of an existing $150 million credit line. Coinbase provided an additional $300 million in funding, while Two Prime issued a separate $300 million loan. Both credit lines have been fully drawn.
The Coinbase loan carries a floating rate equal to the average of the Federal Reserve's target range plus 3.875 percentage points. With the current target range of 3.5% to 3.75%, which the Fed held on July 29th, this equates to a rate of 7.5%. The loan matures on August 4, 2028, with an automatic one-year extension unless terminated by either party.
The Two Prime loan has a fixed rate of 7.65% and is due on August 3, 2028. At current rates, these two credit lines would incur approximately $56.7 million in annual interest expense if their principal amounts remain unchanged.
At the time of the deal, the value of the collateral exceeded the combined loan principal by approximately 1.6 times. MARA is required to maintain required collateral levels and may be required to pledge additional Bitcoin in the event of a price drop for the token. According to filed documents, failure to meet a collateral call gives lenders the right to liquidate the pledged coins.
The 18,750 Bitcoins represent nearly 53% of the 35,577 tokens MARA owned as of June 30th. Prior to securing the new loans, the company had 4,528 Bitcoins pledged as collateral, including 4,253 securing the refinanced Coinbase credit line.
This financing underscores the growing use of MARA's digital asset holdings as a source of liquidity. In the first half of 2026, the company sold 23,093 Bitcoin for $1.6 billion, reducing its holdings from the 53,822 tokens it held at the end of December. The remaining Bitcoin balance as of June 30th was valued at approximately $2.1 billion.
MARA stated that the new proceeds will be used for general corporate purposes, including partially funding the planned acquisition of Long Ridge Energy & Power LLC from FTAI Infrastructure Inc.
Announced in April, the deal is valued at approximately $1.5 billion, including assumed debt. Long Ridge owns a gas-fired power plant in Hannibal, Ohio, with an estimated nameplate capacity of 505 megawatts and over 1,600 acres of industrial land parcels. MARA plans to use the site for power generation, Bitcoin mining, and potentially as a campus for artificial intelligence and high-performance computing.
As of the end of June, the company had $421.3 million in cash and approximately $2.4 billion in debt. Earlier this year, it reduced debt by repurchasing roughly $1 billion worth of convertible notes, partially using proceeds from Bitcoin sales.
MARA reported a net loss of $611.3 million in the second quarter compared to a profit of $808.2 million a year earlier, as a decline in Bitcoin prices led to $342.7 million in fair-value revaluation losses on its assets. Revenue fell 27% to $174.9 million.
This article first appeared in The Energy Mag. The original article can be read here. The Energy Mag (formerly The Miner Mag) publishes news, data, and analysis focused on the intersection of energy, compute, and markets.
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