Negosyante News

January 7, 2025 10:28 am

MARA CEO Encourages Retail Investors to ‘Hodl’ Bitcoin Long-Term

Fred Thiel, CEO of Bitcoin mining firm MARA Holdings, advocates a “buy and hold” strategy for retail investors looking to invest in Bitcoin (BTC), emphasizing its robust long-term performance.

Bitcoin’s Long-Term Appeal

In a recent FOX Business interview, Thiel noted Bitcoin’s annual growth has averaged between 29% and 50% in most years, with only three annual declines in its 14-year history.

“My recommendation to my kids is to put a little bit away every month in Bitcoin and forget about it,” Thiel advised, encouraging consistency over speculation.

Bullish Catalysts for Bitcoin

Thiel highlighted key factors driving Bitcoin’s future growth:

  1. Increased Accessibility: Major institutions like E-Trade, Fidelity, and Vanguard now offer crypto trading, broadening Bitcoin’s reach.
  2. Potential US Bitcoin Reserve: Establishing a national Bitcoin reserve could boost its value.
  3. Favorable Regulations: The incoming Trump administration, with crypto advocate David Sacks expected to play a significant role, may create a more supportive regulatory environment.

MARA’s Strategic Growth

MARA Holdings exemplifies the long-term approach Thiel advocates, with its Bitcoin holdings reaching 44,893 BTC—valued at $4.4 billion as of January 2025.

Key Achievements in 2024:

  • Bitcoin Acquisitions: MARA acquired 22,065 BTC at an average price of $87,205 and mined 9,457 BTC.
  • Hash Rate Expansion: Surpassed its year-end target with a 15% increase in energized hash rate to 53.2 EH/s.
  • Mining Pool Growth: MARAPool achieved a 168% annual hash rate growth, outpacing Bitcoin’s network growth of 49%.

Thiel highlighted the firm’s hybrid strategy of mining and purchasing Bitcoin, allowing for flexibility and cost optimization during price dips.

Focus on Green Energy

Beyond Bitcoin mining, MARA is embracing sustainability through:

  1. Wind Farms: Reducing grid congestion and extending miners’ operational life.
  2. Flare Gas Utilization: Capturing stranded gas from oil fields to power operations.
  3. Heat Recycling: Heating 80,000 homes in Finland by repurposing heat from mining.

Thiel emphasized that these initiatives align with MARA’s goal of improving operational efficiency while minimizing environmental impact.

Outlook for Retail Investors

With increasing institutional adoption, favorable policies, and MARA’s continued innovations, Thiel’s message is clear: retail investors should adopt a patient, long-term approach to Bitcoin investment, leveraging its historical growth and resilience.

 

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