Bitcoin mining company Marathon Digital Holdings has reported mining $16 million worth of Kaspa (KAS) tokens since September 2023.
In a June 26 press release, Adam Swick, Marathon’s Chief Growth Officer, explained the strategy used to accomplish this milestone:
By mining Kaspa, we are able to create a stream of revenue that is diversified from Bitcoin, and that is directly tied to our core competencies in digital asset compute
Moreover, the company has invested in approximately 60 petahashes of KS3, KS5, and KS5 Pro ASICs for Kaspa mining, with half currently operational and the remainder slated for installation in the third quarter.
This move into Kaspa mining allows Marathon to leverage the higher profit margins associated with KAS, which have reached up to 95% in some cases.
Despite the success of this initiative, Marathon emphasizes that this does not represent a shift away from its primary focus on Bitcoin. Robert Samuels, Vice President of Investor Relations, stated, “Kaspa will represent just 1% of our energy capacity once fully deployed,” clarifying that the company is not pivoting from its core Bitcoin mining operations.
Since Marathon began mining Kaspa, KAS tokens have appreciated by 420%, outpacing Bitcoin’s 135% increase over the same period The token is currently trading at $0.1819, a 13% surge in the last 24 hours.
Furthermore, the company has mined 93 million KAS tokens to date while also producing 9,761 Bitcoin valued at $594.9 million during the same timeframe.
Kaspa, designed to address Bitcoin’s scalability issues, utilizes a BlockDAG architecture that allows for faster transaction processing. However, it still lags significantly behind Bitcoin in terms of network activity and adoption.
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