Climate Change Data

MARA HOLDINGS, INC.

Climate Impact & Sustainability Data (2023, 2024-07-01 to 2024-09-30)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:55%
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed

ESG Focus Areas

  • Carbon Neutrality
  • Renewable Energy

Environmental Achievements

  • Increased use of renewable energy sources to 55% of the fleet’s power usage by December 31, 2023.

Social Achievements

  • Increased headcount from 30 employees as of December 31, 2022 to approximately 60 employees as of December 31, 2023.
  • Adopted an equity incentive plan to align employee interests with long-term company success.

Governance Achievements

  • Not disclosed

Climate Goals & Targets

Long-term Goals:
  • Not disclosed
Medium-term Goals:
  • Reach 50 exahashes per second in operational hash rate by December 31, 2025.
Short-term Goals:
  • Increase operational hash rate to approximately 35 to 37 exahashes per second in 2024.

Environmental Challenges

  • High volatility in the price of Bitcoin impacting profitability and growth plans.
  • Need to grow hash rate to remain competitive.
  • Significant disruptions in crypto asset markets causing material impairment of asset value.
  • Geopolitical or economic crises impacting digital asset values.
  • Bitcoin halving events reducing mining rewards.
  • Security threats to digital assets.
  • Reliance on third-party hosting.
  • Material weaknesses in internal control over financial reporting.
  • Unresolved Staff comments from the SEC.
  • Increased scrutiny and changing expectations regarding ESG practices and climate change.
  • Risks associated with international expansion and political instability.
Mitigation Strategies
  • Shifted strategy from asset-light to diversified portfolio approach.
  • Secured contracts with price protection clauses for efficient ASICs.
  • Acquired two operational bitcoin mining sites (390 megawatts).
  • Strengthened liquidity position (nearly $1 billion in cash and bitcoin reserves).
  • Developed new immersion-cooling systems, hardware, and software solutions.
  • Exploring novel sources of underutilized energy.
  • Implementing measures to remediate material weaknesses in internal controls.
  • Cooperating with the SEC to address unresolved Staff comments.
  • Diversified cash holdings across multiple FDIC-insured institutions.
  • Purchasing short-term U.S. treasury bills for risk mitigation.
  • Implementing a policy of selling bitcoin periodically to generate cash for operations.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement
  • Not disclosed

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
Transition Risks
  • Regulatory changes
  • Market shifts
Opportunities
  • Development of energy-efficient products

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Not disclosed

Not disclosed

Sustainable Products & Innovation

  • Immersion-cooling systems
  • Hardware and software solutions

Awards & Recognition

  • Not disclosed

Reporting Period: 2024-07-01 to 2024-09-30

Environmental Metrics

ESG Focus Areas

  • Climate Change
  • Energy Efficiency
  • Sustainable Growth
  • Social Responsibility
  • Governance

Environmental Achievements

  • Launched a 25 MW micro data center operation using excess flared gas, reducing methane emissions.
  • Developed two-phase immersion cooling (2PIC) technology, reducing water usage and improving energy efficiency.
  • Became the first publicly traded digital asset mining company to submit a climate-related disclosure report to the Climate Disclosure Project (CDP).

Social Achievements

  • Welcomed two new board members with expertise in AI, data centers, and energy.
  • Actively engaged with communities where they operate, focusing on social responsibility.
  • Advocated for pro-crypto candidates, contributing to the election of 253 pro-crypto candidates to the House of Representatives and 16 to the Senate.

Governance Achievements

  • Improved BTC per share yield by 29%.

Climate Goals & Targets

Medium-term Goals:
  • Have 50% of business come from outside the United States by 2028.
Short-term Goals:
  • Fully energize 372 MW of capacity in Ohio by the end of 2025.
  • Reach 50 EH/s hash rate by mid- to late December 2024.

Environmental Challenges

  • Increased global hash rate and resultant network difficulty impacting BTC production.
  • Operational challenges at third-party sites (remediated early in Q3).
Mitigation Strategies
  • Site upgrades and renovations.
  • Expanded hash rate capacity.
  • Focus on maximizing efficiency across mining sites.
  • Shifting to owned and operated sites to reduce operating costs.

Supply Chain Management

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products and services.

Reporting Standards

Frameworks Used: CDP

Sustainable Products & Innovation

  • 2PIC immersion cooling technology

Awards & Recognition

  • Finalist for World Energy Council's Energy Technology of the Year