According to the Chinese Media, the ASIC mining giant Bitmain is right now trapped in a descending helix that could point to dreadful outcomes for the company. According to Odaily, a Chinese media outlet, Bitmain has been discharging more than 50% of its staff. The company is laying off numerous Bitcoin Cash developers. The report further elaborated that the two CEOs of Bitmain, Jihan Wu and Micree Zhan were leaving their job in the firm. The replacement would be a member surnamed Wang.
It is also shutting down a few of their mining processes. The report further stated that the current CEO Jihan Wu is anticipated to step down as a consequence of the turmoil. The company has not formally endorsed any of the media declarations yet. But sources inside the company have admitted that both Wu and Zhan are in dispute with each other over Bitmain’s dismissive economic achievement in preceding quarters. Sources told 8BTC:
This matter has not been settled yet, and it is currently in a transitional period,” said an insider close to Bitmain”
Many sources said that since 2015, Zhan has communicated suspicions about his administration knowledge, and now he has certainly taken a step for the better endurance of Bitmain. Odaily Planet Daily’s large sources and media stories observed that the Bitland Continental layoffs will include artificial intelligence (AI), mines, mining pools, abroad units, and the BCH Copernicus customer unit.
It seems as if Bitmain was densely depending on an IPO for a capital shot to manage the business commissioned, but after the Hong Kong Stock Exchange (HKEX) came out and said it won’t count any DLT based IPOs, Bitmain understood the situation. This IPO was Bitmain’s ultimate chance at obtaining adequate capital to expand its next creation of ASIC mining equipment and support the crypto markets ricocheted. Now, Bitmain is rumored to have extremely limited in the form of capital reserves and could escape from the crypto scene permanently in the months to come.
If the reports of Jihan Wu’s exit are correct, it could point blow for Bitmain. However, this will provide all miners a much higher portion of whole network hash rate. This could possibly support comprehensive mining equipment to tackle the Bitcoin network and take over as the greatest mining pool. While this is however yet to be recognized, we could notice an unusual battle for dominance over the Bitcoin network hash rate.
Bitmain is headquartered in Beijing, China that produces application-specific integrated circuit (ASIC) chips for bitcoin mining. It was established by Jihan Wu and Micree Zhan in 2013. Before Bitmain, Wu was a business analyst and single property fund supervisor and Zhan was operating DivaIP, a company that enabled users to stream video to a computer screen via a set-top box.
In the month of July, the company had disclosed its transparency policy. The company had said that the secret mining’ is a method whereby an ASIC operator may mine with recently improved apparatus earlier to trading or issuing such tools to customers. This had been criticized as presenting an irregular business success to ASIC manufacturers over specific association member miners.
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