In an email to Cointelegraph, a representative from the Hong Kong Stock Exchange (HKEX) calls the alleged qualms surrounding Bitmain’s impending IPO as rumors, declines to comment on the firm’s IPO status
The steep drop in the cryptocurrency market is a challenging time for the mining industry with some firms shutting down. The downward trajectory caused some miners in China to put their equipment up for sale by the kilo. Citing volatile circumstances, sources from another crypto news outlet supposed that HKEX is showing signs of hesitations in listing Bitmain’s IPO. The source further said, ‘There’s a real risk that they could just not exist anymore in a year or two.’
The Impact of Market Conditions on Cryptocurrency Mining
Aside from the consequences stated above, mining pool founder, Mao Shixing, calculates that Bitmain’s Antminer S7 would break-even when Bitcoin is priced at $11,581 and its Antminer T9 model will break-even at $5,376. Bitcoin is currently trading in the periphery of $3,500.
Bitmain also closed its development base in Israel and laid off some of its employees.
Other Issues Surrounding Bitmain
In November, Gor Gevorkyan, a Los Angeles resident, sued the mining firm for allegedly formatting its mining rigs to mine cryptocurrencies for the firm instead of for equipment owners. Gevorkyan is suing for $5 million.