Bitmain’s Holdings At Fujian-Based Subsidiary Frozen

Several weeks ago, a civil war saw a crypto billionaire, ZHAN Ketuan or Micree Zhan, ousted from Chinese Bitcoin mining giant Bitmain. Now the “victim” is taking legal weapons to fight for himself.
Citing the local report on Dec 17, the People’s Court of Changle City, Fujian Province, has frozen Bitmain’s 3.6 million yuan (about $514,315) worth of equity and other investment interests in Fujian-based Zhanhua Intelligent Technology co., ltd., a subsidiary of the mining giant, which will last two years from Dec 16, 2019 to Dec 16, 2021.
The sources disclosed that this is the fightback by ZHAN who is still in charge of more than 30 companies, six of which are located in his hometown — Fujian, a coastal province in East China. It’s worth noting that many subsidiaries of Bitmain have scratched ZHAN’s name off the list, and this move may protect his interests in other subsidiaries from being affected.
Zhanhua Intelligent Technology, with a registered capital of 10 million yuan, is a wholly-owned subsidiary of Bitmain. ZHAN, still serving as an executive director, has a 36% stake, and the frozen funds reach exactly 3.6 million yuan as mentioned above.
Bitmain, Canaan Creative, and Ebang are considered as China’s top three mining equipment manufacturers. It is known to all that Canaan Creative has listed its shares last month on Nasdaq under the symbol “CAN.” Reports also floated in the media that Bitmain and Ebang intend to file for an IPO with the U.S. SEC (Securities and Exchange Commission). Besides, the next Bitcoin (BTC) halving is likely to occur in May 2020, which could have a dramatic impact on the crypto’s price. As one of the largest Bitcoin mining giants, Bitmain certainly sees the halving as a golden opportunity to make great profits. While no one knows when or how the civil war will end, the battle between WU and ZHAN will possibly be a drag on the company’s development.