As Bloomberg last reported Thursday, the Chinese company Bitmain the IPO. According to a statement by the Executive Director, Jihan Wu, it was in the previous year, a turnover of 2.5 billion U.S. dollars to achieve. The two founders of Wu, and Micree Zhan currently hold around 60 per cent of the shares. The company is known by the development of the ASIC Chips and Antminer.
The 32-year-old Jihan Wu, the CEO of Bitmain Technologies, Ltd. The company has in the production of Hardware for crypto-mining, with a market share of around 75 percent. We strive to maintain this edge, said Wu to Bloomberg. He estimated the value of his company to its current level of 12 billion dollars. The IPO would follow the example of the competitor Canaan, which announced its IPO last month. The Canaan Creative CO., LTD is hoping for additional funds in the amount of one billion US dollars. In this case, the also China-based companies in 2017 was able to achieve with your Avalon miners compared to Bitmain only one-twelfth the revenue.
Bitmain: conversion to AG provides for more transparency and seriousness
With the IPO in Hong Kong or any other stock Exchange Overseas Bitmain wants to pay off the venture capital firms Sequoia Capital and IDG Capital invested at the beginning of their business activity in the company. Wu also said in an Interview, the real challenge lies in the fact that its own technology to develop so that they will be even more powerful. Analysts assume that, to deal with the Bitmain management in the future, especially with the question of sustainability.
The thought of the IPO in connection with a conversion into a joint stock company would, however, have the consequence that Bitmain has to lay his books open. Such a deep insight into the internals are the present form of society is not possible and probably not desirable. According to analysts, the planned move is to be welcomed. The additional transparency would be the investors for more integrity and greater trustworthiness. Compared to Bloomberg, Wu said that the potential buyer of its stock would benefit from the fact that there are very few companies like his.
But Bitmain is not only the world’s leading manufacturer for crypto-Hardware. The market power of Bitmain is a little reminiscent of the former dominance of Nokia until the iPhone has turned the mobile phone market. The industry giant also controlled the two largest Mining Pools BTC.com and Antpool. Together, they have the Mining Pools and thus a market share of more than 40 percent. According to critically, the company is considered to be within the Community. An example of this attitude is the Act of Monero. After it became known that Bitmain has developed ASICs, which are optimized for the Mining of Monero, Monero performed a Hard Fork.