Marathon Digital Holdings Quarterly report pursuant to Section 13 or 15(d)

Debt, Commitments and Contingencies (Tables)

9 Months Ended

Sep. 30, 2019

Debt consists of the following:

	Maturity	Interest			September 30,			December 31,
	Date	Rate			2019			2018
Convertible Note	12/31/2019		5	%	$	999,106		$	999,106
Less: debt discount	and 12/31/2019					-			-
Total Convertible notes, net of discount					$	999,106		$	999,106

Total					$	999,106		$	999,106
Less: current portion						(999,106	)		(999,106	)
Total, net of current portion					$	-		$	-

The Company’s total lease expense is comprised of the following:

	For the Three Months Ended September 30, 2019		For the Nine Months Ended September 30, 2019
Operating leases
Operating lease cost	$	26,693	$	80,004
Operating lease expense		26,693		80,004
Short-term lease rent expense		6,465		16,413
Total rent expense	$	33,158	$	96,417

Additional information regarding the Company’s leasing activities as a lessee is as follow:

	For the Three Months Ended September 30, 2019			For the Nine Months Ended September 30, 2019
Operating cash flows from operating leases	$	26,870		$	79,184
Weighted-average remaining lease term – operating leases		1.7			1.7
Weighted-average discount rate – operating leases		6.5	%		6.5	%

As of September 30, 2019, contractual minimal lease payments are as follows:

2019	$	17,768
2020		97,724
2021		97,724
2022		26,652
Total		239,868
Less present value discount		(19,232	)
Operating lease liabilities	$	220,636