Sustaining Bitmain Founders’ Decision-Making Power in the Alternate Executive Board

Last Modified:12 May 2020 17:12:26
Sustaining Bitmain Founders’ Decision-Making Power in the Alternate Executive Board

According to Hong Kong-based English-language news outlet South China Morning Post, SCMP, which was published on January 10, Jihan Wu and Micree Zhan Ketuan, Chinese Bitmain mining giant co-founders will be ousted from their position as the CEOs of this mining company; however, they will lead its vital decisions.

Bitmain technology company, one of the greatest manufacturers of cryptocurrency (encrypted currency which is known as electronic currency, virtual currency or currency crypto) mining equipment, is a privately-owned company located in China and designs integrated circuits chips with a specialized application for Bitcoin (a type of encrypted cryptocurrency on blockchain platform) mining. This company was established by Jihan Wu and Micree Zhan in 2018. Earlier than Bitmain establishment, Wu had been economic analyst and economic equity fund manager. Besides, he had been the director of DivalP startup which enabled users to connect what is on TV to a computer monitor via SetUp Box.

Bitcoin is an encrypted digital currency on Blockchain. The blockchain is a distributed and encrypted database. So, no one can manipulate transactions records, and they are available for the users transparently. One of the popular applications of Blockchain is the cryptocurrency which has been founded on this basis. This technology provides security on the encrypted currencies. The first cryptocurrency based on blockchain which came to the market was Bitcoin. This encrypted platform enjoys four major benefits:

• Not being controlled by any institution or person

• Impossible to face failure and cessation

• Recording transactions in a connected network of all users. Therefore, any change in a part of Blockchain should be preceded by a change in all users’ transactions in the network which is practically impossible.

• The necessity of manipulating the whole network in case of the need to manipulate Blockchain information;

Through referring to the unknown persons related to this subject, this outlet added that Wand Haichao, Bitmain engineering director, will probably be introduced as the executive manager of this company on an unspecified date. It looks as if Haicho had undertaken the duties related to this group before.

Bitmain organizational changes which have not yet officially been confirmed by this company have been following some rumors about alterations at the senior executive level.

This post remarked, albeit without quoting any specific source, that Wu and Zhan, current co-founders and executive managers of this company will be appointed as the authority of the company. One resource confirmed in a report that after designating Wang (current product engineering manager of Bitmain) as the executing management, Wu and Zhan would get away from Bitmain daily trading activities; however, they will shoulder the responsibility of final decisions of the company.

As Cointelegraph news website reported earlier, Chinese media published some rumors about Wu’s position change at the end of December; there were again some gossips last month implying that Wu has lost his decision-making authority as the executive manager of the company.

Bitmain confronts a period of important changes in 2019. After stopping Bitmain operations in Israel in the last month, it is expected for this company to lay off some of its employees in the near future.

The carried out programs to implement an IPO (Initial Public Offering) has faced uncertainty in Hong Kong, and the reason might be the legislators’ fear from continuous cryptocurrency (an encrypted currency which is known as electronic money, digital money, virtual currency or currency crypto) volatilities.