Marathon Digital reports $142M cash deposits at Signature Bank

Marathon Digital Holdings (MARA) announced that based on the information made publicly available on Sunday, March 12, 2023 by the Treasury, Federal Reserve, and Federal Deposit Insurance Corporation, the Company’s deposits that were held at Signature Bank (SBNY), New York, NY are secure and available for use as of Monday, March 13, 2023. On March 12, 2023, Signature Bank, New York, NY was closed by its state chartering authority. The same evening, a joint statement was issued by the Department of the Treasury, the Federal Reserve, and the FDIC announcing a systemic risk exception for Signature Bank, New York, NY, indicating, "All depositors of this institution will be made whole." In a follow up release, it was announced that the New York State Department of Financial Services had appointed the FDIC as receiver, and that, "the FDIC transferred all the deposits and substantially all of the assets of Signature Bank to Signature Bridge Bank, N.A., a full-service bank that will be operated by the FDIC as it markets the institution to potential bidders… Banking activities will resume Monday, March 13, 2023, including on-line banking. Depositors and borrowers will automatically become customers of Signature Bridge Bank, N.A. and will continue to have uninterrupted customer service and access to their funds by ATM, debit cards, and writing checks in the same manner as before." Marathon currently holds approximately $142 million cash deposits at Signature Bridge Bank, N.A. The Company has access to its funds for treasury management purposes and is paying all invoices in the normal course of business. Additionally, Marathon continues to hold over 11,000 bitcoin, which the Company believes provides it financial optionality that extends beyond the traditional banking system. Separately, Marathon confirmed that it had no direct business relationship with Silicon Valley Bank (SIVB).