MARA Holdings, which is shifting its business from Bitcoin mining to AI infrastructure, appears to have transferred 996 BTC worth about $81 million to a wallet under the name Galaxy Digital. However, there is no on-chain evidence that the BTC was actually sold.
Key points
On October 8, MARA transferred 996 BTC (about $81.13 million) to a wallet labeled “Galaxy Digital.”
Blockchain records do not make it clear whether the BTC was sold, and the company has not yet issued an official explanation.
MARA’s Bitcoin holdings fell from 53,822 BTC in February to 35,577 BTC at the end of June.
MARA’s large Bitcoin transfer
On-chain analytics account Lookonchain said it spotted the transaction last Friday, citing data from Arkham Intelligence. According to the records, a total of 996.105 BTC, worth approximately $81.13 million, was transferred from a wallet labeled MARA to an address tagged Galaxy Digital.
The coins had actually been transferred several hours before the post went up, on Thursday, October 8. Lookonchain described the transaction as making it “look like” MARA was “dumping” bitcoin.
However, on-chain data alone cannot establish whether Galaxy Digital sold the bitcoin on MARA’s behalf, or whether the transfer was simply for custody or another purpose. That is why the transaction has been described as mysterious.
As of Friday morning, MARA had not issued an official comment on the transfer. However, the amount is equivalent to about 2.8% of the holdings the company reported at the end of June, prompting differing market interpretations about a possible shift in its financial strategy.
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Sigel vs. Lookonchain… A history of conflicting interpretations
Lookonchain’s analysis of MARA wallets has sparked controversy before. In June, it claimed MARA had newly purchased 1,000 bitcoin through FalconX, but **Matthew Sigel**, head of digital asset research at VanEck, publicly disputed the claim. Sigel explained that the coins were not a new purchase, but bitcoin that MARA had lent out and then received back.
This track record also affects how the latest transaction is interpreted. Some caution that it is premature to take it simply as a “sell signal.” Galaxy Digital offers a range of services, including institutional trading, asset management, and prime brokerage, so the transfer could have been for derivatives hedging or straightforward custody, among other possibilities.
The market reaction has been neutral so far. MARA shares rose about 2% in premarket trading to around $10, while Bitcoin recovered to the $82,000 level after a sharp drop that liquidated more than $1 billion in leveraged positions.
MARA pivots to AI infrastructure
This year, MARA has begun to focus its capital more heavily on power and data center infrastructure rather than mining. In February, it partnered with **Starwood Capital Group** and agreed to acquire **Long Ridge Energy & Power**, a gas-fired power plant and data center campus in Ohio, for approximately $1.5 billion. The facility is reportedly capable of supplying up to 505 megawatts of power and is expected to be used as an AI and high-performance computing (HPC) hub.
In August, MARA borrowed $600 million from **Coinbase Credit** and **Two Prime Lending**, using 18,750 bitcoin as collateral. A substantial portion of the funds is expected to go toward infrastructure expansion, including the Long Ridge acquisition.
Alongside this shift toward AI, the company’s Bitcoin reserves are shrinking rapidly. According to Bitcoin Treasuries, MARA reported holding 53,822 BTC on February 26, but its balance had fallen to 35,577 BTC as of June 30. It sold approximately 20,880 BTC in the first quarter alone, worth about $1.5 billion, with 15,133 BTC of that amount used to fund repurchases of convertible notes.
With the transfer of 996 BTC also open to various interpretations—including a short-term sale, hedging, collateralization, or a custody transfer—the market is likely to reassess MARA’s capital allocation strategy and the pace of its shift to AI infrastructure once the company makes a disclosure or offers an explanation.
Further reading: The controversy over OpenAI’s 719 AI math proofs… Did Navier–Stokes disappear in translation?