MARA Holdings, Inc.

Good day, ladies and gentlemen. Welcome to Marathon Digital Holdings' second quarter earnings webcast and conference call. I would now like to turn the call over to your host, Chris Brenler, Vice President of Investor Relations. Please go ahead.

Thank you, Daryl. Good afternoon, and welcome to Marathon Digital Holdings' second quarter 2023 earnings call. Thank you for joining us for our call today. With me on today's call are Chairman and Chief Executive Officer Fred Thiel and our Chief Financial Officer Before we get started, I'd like to remind everyone that our prepared remarks may contain forward-looking statements, which are subject to risks and uncertainties, and that we may make additional forward-looking statements during the question and answer session. These forward-looking statements are subject to risks and uncertainties, and actual results may differ materially. When used in this call, the words anticipate, could, enable, estimate, intend, expect, believe, potential, will, should, project, and similar expressions as they relate to Marathon digital holdings are, as such, a forward-looking statement. Please refer to our earnings release for a full recitation of our forward-looking statements. Investors are cautioned that all forward-looking statements involve risks and uncertainties, which may cause actual results to differ materially from those anticipated by Marathon at this time. In addition, other risks are more fully described in Marathon's public findings with the U.S. Securities and Exchange Commission, which can be viewed at www.sec.gov and ir.mera.com. Finally, please note that on today's call, we will refer to certain non-GAAP financial vendors in which Marathon excludes certain items from its GAAP financial results. Please refer to our company's periodic reports on Form 10-K and 10-Q and to our website for full reconciliation of these non-GAAP performance protocols. to the most comparable GAAP financial measures. We will begin today's call with a pair of remarks from Fred and Salman. After their comments, we will be going through some of the more popular questions from investors before transferring to a live Q&A with our covering analysts. And with that out of the way, I'm going to turn the call over to Fred to kick things off. Fred?

Thank you, Chris. After a solid start to the year, we continued to make progress towards our primary 2023 goals. which include energizing our fleet to reach our 23 exahash target, while at the same time increasing our operational efficiency. As our recent results demonstrate, we're near to completing our first goal, and we're making consistent progress on the second. During Q2, we increased our operational hash rate 54% from 11.5 exahashes on April 1st to 17.7 exahashes on June 30th. Those of you who saw the July production report we published last week, will have noticed that our operational hash rate is now approximately 19x hashes. In 2023 alone, the team at Marathon has more than doubled our operational hash rate and positioned us as the largest publicly traded self-miner on an installed hash rate basis. We've grown hash rate this year by successfully working with our various hosting partners to energize new facilities. During the quarter, the facility at Ellendale, North Dakota was energized and officially became our largest operational Bitcoin mining site. While growing hash rate has been our primary goal, it has been important for us at Marathon that we do so in a sustainable manner. Since I became CEO, we have made a concerted effort to transition Marathon to more sustainable sources of power, and I'm pleased to report that we have been successful in that endeavor. In less than two years, we've evolved from a company that relied on a coal plant for its energy to one that is mostly powered by renewable energy. During the first six months of this year, approximately 58% of the energy our miners consumed It was generated by renewable and sustainable sources. While we expect this mix to fluctuate depending on wind conditions, curtailment, and other factors, we remain committed to 100% carbon neutrality in 2023 with the balance offset by renewable energy credits or similar instruments. Operationally, we hit another milestone this week. As of today, we have officially installed 23 exahashes of miners. and energization of the final tranche to reach 23 exahash of operating capacity appears to be imminent. I'm pleased to report that the final tie-in to the substation in Garden City is complete. Therefore, barring any unforeseen delays, energizing this site and reaching 23 exahashes of operational capacity should be imminent. Because we've been growing our hash rate faster than the rest of the network and simultaneously improving our uptime, we have continued to increase our Bitcoin production. We produced a record 2,926 Bitcoin during the second quarter, which is a 33% increase from Q1 of this year. And last month, we won a record 179 blocks, which is a record for Marathon and indicates that our improvements have continued into the third quarter. In a few minutes, I'll provide an update on our expanding capabilities and evolving growth strategy. But first, I'm going to turn the call over to Salman to discuss our financial results for the second quarter. As a reminder, Salman joined us as CFO in June and he has quickly become a valuable member of our team. He brings a wealth of valuable experience from several industries that are directly pertinent to Marathon, including technology, renewable energy, oil and gas, and big four public accounting and consulting. With that, please join me in welcoming Salman to his first earnings call with Marathon. Salman?