It's the second subpoena Marathon Digital has received from the SEC in two years.
Marathon Digital, a Bitcoin (BTC) miner, finds itself under the SEC's microscope over its 100-megawatt data center in Hardin, Montana.
The subpoena, which the company disclosed in its recent quarterly report, lands hot on the heels of a similar one issued in late 2021.
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According to the report, Marathon received the subpoena on April 10th. The SEC probe revolves around particular "transactions with related parties" during the data center's establishment in Montana.
Regarding the matter, Marathon Digital stated:
We acknowledge the SEC's interest in determining if there were any potential breaches of federal securities law. We're fully cooperating.
In 2021, the SEC asked Marathon to submit various documents and communication records. This makes the current subpoena the second one focusing on the same facility.
When asked for comments, the spokesperson for Marathon Digital declined to provide any insights regarding the matter.
Just a day earlier, Marathon had some more pleasant news to share. The company revealed its collaboration with Zero Two, a digital assets infrastructure enterprise, to construct a massive Bitcoin mining facility in Abu Dhabi.
This new facility is set to house two mining units boasting a combined 250-megawatt capacity. Despite the harsh Abu Dhabi climate, which normally would pose a significant challenge to mining operations, Marathon seemed confident in its "custom-built immersion solution."
Interestingly, the announcement came just eight weeks after the Biden administration floated a proposal for a new crypto-mining tax. The proposed policy would slap a tax equivalent to 30% of the electricity costs incurred during crypto mining on US-based miners.
On May 10th, Marathon Digital CEO appeared at the Financial Times' Crypto and Digital Assets Summit, claiming that crypto winter removed “unsavory operators” from the industry.
