• Marathon Digital plans to sell $250 million of convertible notes in a private placement to help fund bitcoin purchases.
• The miner already holds more than 20,800 bitcoins, more than twice the level of its nearest peer, Hut 8.

Bitcoin (BTC) miner Marathon Digital (MARA) said it plans to sell $250 million of convertible notes in a private placement to fund purchases of bitcoin and general corporate purposes.

The notes will pay interest every six months and mature Sept. 1, 2031. The rate of interest and conversion rate will be set during the pricing process, the Fort Lauderdale, Florida-based miner said in statement.

The company already holds more bitcoin than its peers, with a stash of more than 20,800 BTC valued at $1.2 billion at current prices, according to bitcointreasuries.com . That’s more than double the next biggest, Hut 8.

Marathon sold 51% of the bitcoin it mined in the second quarter to fund its operating costs. However, it recently announced that it bought $100 million worth of bitcoin in the open market and re-adopted a strategy to fully hold all BTC in its balance sheet.

The company's shares fell 3.2% in pre-market trading.