Marathon Digital has entered into a deal with Hut 8 to take operational control of Bitcoin mining sites in exchange for a termination fee of $13.5 million.
Marathon's control of mining sites in Granbury, Texas, and Kearney, Neb., scheduled to close by April 30, follows Marathon's Jan. 16 acquisition of the sites for $178.6 million. Hut 8 operated the operation under a $1.2 million-per-month contract inherited from a previous merger.
The transition aims to improve Marathon's operational efficiency and cost effectiveness in Bitcoin (BTC) mining at these locations.
“By operating the Granbury and Kearney locations ourselves, we can fully realize the operational and economic benefits of owning these assets,” said Marathon Digital CEO Fred Thiel, expressing optimism about leveraging the company’s expertise to greater advantage .
The agreement to shift control represents an important step for both companies in optimizing their operations and strategic positioning in the crypto mining sector. On the other hand, citizens in Granbury have raised concerns about noise pollution from mining activities, which could impact similar operations points to the community.
Asher Genoot, President of Hut 8, praised the efforts of the teams at both locations and expected a smooth handover. Despite stepping down as operator, the company will continue to offer managed services and self-mining activities.
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