MARA Holdings (NASDAQ: MARA) has obtained a $450 million lending arrangement backed by Bitcoin from Coinbase Prime. This facility forms part of a broader financing package designed in part to support the company’s planned purchase of Long Ridge Energy, a substantial power generation and digital infrastructure site.
The Long Ridge Energy campus features a natural gas-fired power plant with an expected capacity of 505 megawatts, along with more than 1,600 acres of industrially permitted land in Hannibal, Ohio.
MARA views the asset as a foundation for expanding into energy production, Bitcoin mining operations, and high-performance computing or artificial intelligence data center development.
The overall acquisition carries an enterprise value of approximately $1.5 billion, inclusive of assumed debt, and represents a strategic shift for the Bitcoin mining company toward owning and operating integrated power and digital infrastructure assets.
According to details highlighted by Coinbase Institutional, the $450 million facility ranks among the largest crypto-collateralized loans originated to date.
It adheres to established institutional lending standards, including overcollateralization with daily mark-to-market valuations, secure custody of the Bitcoin collateral within Coinbase Prime Vaults, thorough borrower evaluation, and oversight by risk specialists experienced across multiple market cycles.
These features underscore a disciplined approach to providing scalable Bitcoin-based financing for corporate purposes.
Complementing the Coinbase arrangement, MARA also secured additional funding from another lender, resulting in roughly $600 million of new borrowing capacity overall when accounting for the refinancing of an existing credit line.
The company pledged a substantial portion of its Bitcoin holdings—18,750 BTC, valued at about $1.2 billion at the time—as collateral across the facilities.
This amount represented more than half of MARA’s reported Bitcoin treasury as of the end of the second quarter. Both facilities carry maturities extending into 2028, with interest rates structured around prevailing market benchmarks plus a spread or fixed terms in the mid-7% range.
Proceeds from the lending are designated for general corporate uses, with a meaningful portion expected to cover cash components of the Long Ridge transaction.
This approach allows MARA to leverage its Bitcoin reserves as a productive balance-sheet asset rather than relying solely on equity issuances or outright sales of holdings, which the company has used in prior periods to manage capital needs.
By converting part of its digital asset position into flexible debt capacity, MARA gains liquidity while retaining economic exposure to Bitcoin’s potential appreciation, subject to the collateral management terms.
The transaction illustrates the growing maturity of institutional infrastructure for Bitcoin-backed lending.
Daily marking to market and robust custody arrangements help mitigate risks associated with the asset’s volatility, making larger-scale facilities more feasible for publicly traded companies.
For Bitcoin mining firms that have historically funded growth through dilutive equity raises during periods of depressed valuations, access to collateralized debt against an appreciating reserve asset marks a notable evolution in capital structure options.
As MARA advances its strategy of combining power generation with compute-intensive applications, this financing provides critical support for executing the Long Ridge acquisition and related development plans.
The deal highlights how Bitcoin can serve not only as a treasury holding but also as collateral enabling expansion into complementary energy and digital infrastructure businesses. Industry observers note that such arrangements could encourage further institutional adoption of crypto-collateralized financing as the necessary operational frameworks continue to mature.