MARA Doubles Down on BTC

CRYPTO
MARA Doubles Down on BTC

Bitcoin mining firm MARA Holdings is launching a $2 billion at-the-market (ATM) stock offering to raise capital, following a previous $1.4 billion raise. The company plans to use the proceeds for general corporate purposes, including acquiring more bitcoin. MARA has already boosted its BTC holdings from 13,726 to 46,376 BTC. According to a new SEC filing, investment banks including Barclays, BMO Capital Markets, and Cantor Fitzgerald will sell shares over time through this program.

MARA is continuing its strategy of raising funds through equity offerings to buy bitcoin in the open market, mirroring Michael Saylor’s approach. Despite being a miner, the firm prefers to buy bitcoin due to shrinking profit margins after the most recent halving event cut mining rewards in half. This strategy has made MARA the second-largest holder of bitcoin among publicly traded companies, behind only MicroStrategy’s 506,137 BTC. The move reflects MARA’s long-term commitment to its “Hodl” strategy.

FINANCE
Trump Eyes Sweeping New Tariffs

U.S. stock futures dropped Sunday night as investors prepared for more volatility, with President Trump reportedly considering sweeping new tariffs. The Wall Street Journal said Trump’s advisers are discussing a global tariff of up to 20% on nearly all trading partners, signaling a sharp escalation in the trade war. Dow futures fell 170 points, while S&P 500 and Nasdaq futures dropped 0.77% and 1.4%, respectively. The yield on the 10-year Treasury also slipped.

Trump is reportedly pushing for a broad, simple tariff plan, possibly replacing the more targeted “dirty 15” strategy. A flat 20% rate would mark the highest U.S. tariff level in 90 years. Reports suggest Trump wants to fundamentally reshape the U.S. economy through trade policy. Meanwhile, key economic data is expected this week, including job reports and manufacturing indexes, as markets brace for more fallout. Trump’s next round of tariffs is expected to be unveiled Wednesday, dubbed “Liberation Day.”

FINANCE
U.S. Credit Outlook Turns Negative

Moody’s has issued a fresh warning about the deteriorating state of U.S. finances, signaling the nation’s AAA credit rating could be at risk. The agency noted that America’s top rating increasingly depends on the dollar’s dominance and the Treasury market’s central role in global finance. However, rising debt, large deficits, and higher interest rates are undermining those strengths.

Moody’s highlighted how both the Biden and Trump administrations have contributed to worsening debt dynamics—through large deficits, unfunded tax cuts, and sustained tariffs. The report warns that by 2035, the U.S. could spend 30% of its revenue just on interest payments, with debt projected to hit 130% of GDP. Moody’s previously shifted its outlook on U.S. debt to “negative” in late 2023, often a precursor to a downgrade. If America fails to control spending and borrowing, it may face long-term pressure on its creditworthiness and borrowing costs, even without a sudden financial crisis.

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.