Bitcoin Mining Markets Heat Up: Ebang’s $41M Deficit, Bitmain’s Alleged 2020 Revenue

The Chinese ASIC mining rig producer Bitmain apparently drew in $300 million in revenue throughout Q1 2020. Meanwhile, as Bitmain declares to be restoring market share, the company Ebang just recently used with the U.S. Securities and Exchange Commission (SEC) for going public (IPO) status. However, the prospectus sent out to SEC reveals that while Ebang made $109 million in 2015, the business also had a $41 million deficit in 2019.

Ebang’s IPO Prospectus Shows a $41 Million Deficit and Plans for an Exchange

Bitcoin mining is feverishly hot nowadays, particularly prior to the fantastic Bitcoin benefit halving that will happen on or around May 12, 2020. During the last 6 months, there’s just a handful of ASIC mining rig producers and all of them originate from China. This consists of business like Bitmain, Ebang, Strongu, Innosilicon, Microbt, and Canaan. There are a couple of other producers, however the companies are not almost as large as these 6 organisations. Just just recently, the business Ebang applied for a $100 million going public (IPO) in the U.S. and the business will wait for a choice from the SEC. Although, the company’s prospectus reveals that Ebang experienced some losses in 2019, and it might show the IPO’s preliminary raise.

Bitcoin Mining Markets Heat Up: Ebang's $41M Deficit, Bitmain's Alleged 2020 Revenue

Ebang’s prospectus reveals the company made over $109 million in 2019, however it also had a deficit of around $41 million. The prospectus reveals that the business’s roadmap also consists of more than simply ASIC production, as Ebang seeks to release a digital currency trading platform globally also. Last year, the ASIC producer Canaan quote it’s IPO with SEC for $400 million on the Nasdaq Global Market. But when the Chinese mining rig producer Canaan Inc. released its going public (IPO) sale on November 21, it just raised $90 million worth of shares. In March 2020 Canaan was taken legal action against and implicated of misguiding IPO financiers in a class-action suit. Ebang also has a variety of claims also and was apparently examined by the Beijing Police Bureau in December 2019.

Bitmain Allegedly Brings In $300 Million in Q1 2020

While Ebang applied for an IPO in the U.S., it was reported last October that Bitmain submitted in complete confidence for a U.S.-based IPO. At completion of February, Bitmain released 2 next-generation bitcoin miners with max accelerate to 110TH/s Per system. According to a local report found by 8btc on April 29 by means of Wemedia, Bitmain apparently made $300 million in revenue throughout the very first quarter of 2020. The report also revealed that Bitmain informed it’s workers this info and the business has actually increased it’s hashpower a lot also. Financial writer lylian Teng described that it doubts whether Bitmain is still benefiting after the marketplace recession in March.

“In Q1 of 2019, Bitmain’s overall revenue apparently stood at $1.082 billion however signed up a $310 million loss,” Teng composed.

Bitcoin Mining Markets Heat Up: Ebang's $41M Deficit, Bitmain's Alleged 2020 Revenue

While Ebang declare an IPO in the U.S. and Bitmain attempts to acquire more market share, other companies are racing towards ending up being ASIC producing giants also. Both Microbt and Innosilicon have actually increase sales rather a bit and have actually seen a lot more existence on secondary markets and ASIC mining rig evaluation websites. Meanwhile, as the bitcoin mining competitors grows very strong, the Bitcoin Halving will happen in a bit more than 2 days, which will slice every bitcoin miner’s revenue by 50%.

What do you consider Ebang’s prospectus and the alleged $300 million Bitmain made in 2020? Let us understand in the comments below.

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