Breaking: Chinese Local Court freezes $500k Worth of Stake of Bitmain

As per court orders, Bitmain's stake would remain frozen for a period of three years Dec. 16, 2019, to Dec. 16, 2021. This is the second time when the mining giants stake in its subsidiary has been frozen. Before this, another local court froze almost $675,800 worth of company's stake on request of Dongguan Yongjiang Electronics Co. This makes the total frozen stake of Bitmain in excess of $1 million.

Although there are no clear reasons behind these freezings, speculation mill claims it is the rivalry between Micree Ketuan Zhan and Jihan Wu, the two founders of the firm. On October 29th Jihan Wu reportedly sent a mail to the Bitmain staffs stating that the board members have decided to dissolve all the roles of Zhan. The official mail read,

“Bitmain’s co-founder, chairman, legal representative and executive director Jihan Wu has decided to dissolve all roles of Ketuan Zhan, effective immediately. Any Bitmain staff shall no longer take any direction from Zhan, or participate in any meeting organized by Zhan. Bitmain may, based on the situation, consider terminating employment contracts of those who violate this note.”

There has been a constant blame game going on in Bitmain after the firm started to see a decline in its revenue especially after recking in almost a billion dollar in profit. Earlier it was speculated that Jihan Wu would leave the firm and start his own mining company.