MARA CEO Suggests Retail Investors ‘Hodl’ Bitcoin Long-Term 

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Veronika Rinecker

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Veronika Rinecker

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Veronika Rinecker is based in Germany and studied international journalism and media management. She specializes in reporting on topics such as politics and regulation, energy, blockchain, and...

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January 2, 2025

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The CEO of Bitcoin mining firm MARA Holdings, Fred Thiel, has recommended retail investors to embrace a “buy and hold” strategy when investing in Bitcoin (BTC).

In a Jan. 2 interview with FOX Business, Thiel noted Bitcoin’s robust long-term price performance. He said that Bitcoin has only experienced annual declines in three of the past 14 years, with one of these declines occurring during the global market downturn caused by the COVID-19 pandemic.

“On average, Bitcoin has appreciated between 29% and 50% annually,” Thiel observed, suggesting a simple approach for retail investors: consistently invest a small portion of their funds in Bitcoin each month and then allow their investment to appreciate over time:

“My recommendation to my kids, for example, is to put just a little bit away every month in Bitcoin and forget about it.”

Bitcoin’s Bullish Catalysts

Thiel’s confidence in Bitcoin’s future is solidified by several key factors. The increasing accessibility of Bitcoin for both retail and institutional investors is a significant development, with major financial institutions such as E-Trade, Fidelity, and Vanguard now offering crypto trading services.

Furthermore, Thiel believes the establishment of a Bitcoin reserve in the United States could significantly boost Bitcoin’s price. He also anticipates a more favorable regulatory environment under the incoming Trump administration, potentially driven by the appointment of crypto advocate David Sacks to an influential role within the administration.

MARA Expands Bitcoin Holdings, Boosts Hash Rate

MARA (formerly known as Marathon Digital) itself is an example of this long-term investment approach. The company’s total Bitcoin holdings reached 44,893 BTC, valued at nearly $4.4 billion at the time of writing.

In 2024, MARA acquired 22,065 BTC at an average price of $87,205 and mined an additional 9,457 BTC, according to the company’s December 2024 report released on Jan. 3. The company’s year-end BTC yield per diluted share was 62.7%.

Additionally, the company reported a 15% surge in energized hash rate to 53.2 exahashes per second (EH/s), exceeding its year-end target of 50 EH/s. While Bitcoin production dipped slightly by 2% to 890 BTC due to a minor decrease in luck, MARA showed consistent progress in expanding its mining operations:

“In December, we surpassed our year-end hash rate target of 50 EH/s while improving our fleet efficiency to 20 J/TH,” said Thiel in the company’s report.

Thiel further emphasized the strong performance of MARAPool, the company’s proprietary mining pool, which achieved an annual hash rate growth of 168% in 2024, outpacing the Bitcoin network’s growth rate of 49%.

“As a miner that mines and buys Bitcoin, the hybrid approach provides us significant flexibility to acquire Bitcoin at attractive prices,” Thiel said. “It further allows us to capitalize on market conditions by buying BTC during price declines, optimizing our acquisition cost.”

Beyond Bitcoin: MARA’s Green Energy Focus

MARA is also expanding its reach beyond Bitcoin mining and acquisition.

By deploying its near zero-cost energy strategy, the company acquired a wind farm to reduce grid congestion and extend the life of miners.

Additionally, MARA is capturing stranded and flare gas from oil fields to power mining operations, and recycling and selling heat to warm approximately 80,000 homes in Finland, effectively subsidizing mining operations.