Cryptocurrency Prices today, Charts And Market Capitalizations |Ty gia Coin logo Cryptocurrency Prices today, Charts And Market Capitalizations |Ty gia Coin logo
Seeking Alpha 2022-06-16 20:08:11

Riot Blockchain Vs. Marathon Digital In The Bitcoin 2022 Bear Market

MARA's outsized management stock compensation and high leverage motivated us to look elsewhere for investment opportunities such as RIOT.RIOT's management stock compensation plan is 24% and between 7% and 55% of revenue and total expenses since 2021Q1 while MARA's is 85% and between 26% and 95%.RIOT's debt is negligible where its debt is only 10% and 64% of total assets and liquid assets while MARA's is 50% and 222% of total assets and liquid assets.RIOT's total mining cost per BTC ($30,800) is similar to MARA's ($31,700) which provides RIOT with 3+10 quarters of runway compared to MARA's 6 under a worst-case scenario.Although RIOT is found to be more desirable and is 20% undervalued relative to MARA, we discourage investing in Bitcoin mining companies temporarily due to higher beta and additional risks.

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