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Company ‘abandons’ Bitcoin mining and starts buying BTC: ‘much more profitable’
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Cathedra Bitcoin, a leading cryptocurrency mining company, has announced a significant shift in its corporate strategy.

In an unexpected move, the company has declared that Bitcoin (BTC) mining is “not a reliable way” to increase its holdings of the cryptocurrency. The decision marks a shift toward directly purchasing BTC on the open market rather than investing in expanding its mining operations.

This new strategy follows in the footsteps of the giant MicroStrategy, known for its massive Bitcoin acquisitions, led by Michael Saylor. Cathedra justified its change by highlighting that, among the ten largest publicly traded mining companies, nine have reduced the amount of BTC per share in the last three years.

“Cathedra fared no better,” the company said in a statement, revealing that it had accumulated just 43 BTC so far.

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Bitcoin Accumulation

According to Cathedra, the mining model, which requires continuous investment in infrastructure and electricity, is increasingly under pressure due to market volatility and shareholder pressure.

The company now plans to use the cash flows generated by its data center hosting operations to acquire more Bitcoin directly from the market. In addition, the company is considering issuing equity and debt securities to finance these acquisitions.

However, Cathedra clarified that it will not completely abandon Bitcoin mining.

“We will continue to hold BTC produced by our existing proprietary mining operations,” the company assured. The focus, however, will be on accumulating BTC in a more consistent and predictable manner, based on open market purchases.

Cathedra’s shift in strategy reflects a growing trend among companies in the sector. Marathon Digital Holdings, another mining giant, bought $250 million worth of Bitcoin last month.

This approach is gaining traction, especially after the success of MicroStrategy, which currently has around 244,800 BTC under custody, making it one of the largest corporate holders of Bitcoin in the world.