Matthew Sigel

In the last quarter, they've made a pivot on that.

And, you know, the headline which everyone caught on to this week was, oh, they sold like a third of their Bitcoin and retired a convertible bond, two convertible bonds at a discount.

So it was a very accretive transaction.

But I think even more importantly, they've changed the executive comp so that management now is not so much paid on how many Bitcoins are produced, but they've added a new annual recurring revenue line that management needs to hit in order to get their restricted stock.

And they made an acquisition in France of a data center company that...

might be able to capture some of this sovereign AI outside of the US.

So we started adding to that position a couple of months ago, and then the convert retiring yesterday was a validation of that thesis.

I think that they've got religion that the market does not need to pay a premium for Bitcoin that it can buy itself.

And so they were sellers to willing buyers at the fair market price, which I think was the right thing to do.

And the stock looks really cheap if they can continue to attack that arbitrage.

So the miners that have been most aggressive on AI, HPC, like Cypher and TerraWolf, they're trading at like $15 million of market cap for each megawatt that they control.

Mara is like less than $2 million per megawatt.

So there is a huge valuation arbitrage if they can find a client.

And now they have a JV with Starwood, which is a large private equity firm with big data center platform.

It's going to help them market some of these data centers.

They'll still be a CapEx burden.

But I think when they sign that first lease, I don't know if it's in one quarter or three quarters, that'll really open a lot of people's eyes.

There's a lot of new competition.

There's also a lot of demand.

So it's not a riskless venture, but I think with the size of their footprint, they'll be able to do something.