Bitmain reports earnings of more than $ 300 million by 2020

A local point of sale reports that Bitcoin mining company Bitmain made a profit of more than $ 300 million in the first four months of 2020.

Local news agency Wu Blockchain reported the news on Wednesday, April 29 Bitmain announced its earnings internally before the Chinese holiday, which is celebrated on May 1st.

Bitmain’s artificial intelligence (AI) business has also grown in a hurry, according to the report. On the other hand, this is commented on The company has issued bonds of up to 70,000 yuan (approximately USD 9,900) for each employee for the Labor Day holidays, totaling a few “tenths of a million yuan”.

However, when asked by Bitmain to comment, the spokesman declined the request and announced that the company would not release details of the earnings.

Remarkably, the AI ​​business was at the center of the proven co-founder Micree Zhan, but his former co-founder Jihan Wu apparently shows that he wasn’t too passionate about it. Since last October, Wu said:

AI is a risky investment for Bitmain. Significant investments are still required. We still have to make money with our core business, the Bitcoin mining maker, to make the risky investment for AI. “
Jihan Wu. Co-founder of Bitmain

At that time, Wu called Zan’s idea of ​​doubling the AI ​​business “crazy”.

Bitmain Miner failures are increasing

Earlier this week there were reports that the Bitcoin miners from Bitmain, the S17 and T17 from Antminers machines, They had high failure rates, around 20% and 30% compared to 5% this is common. Wu apparently blamed Zhan for this failure. When asked about comments, the Bitmain spokesman acknowledged the problem with the Antminer team and told a media company:

“Antminer is paying close attention to the problem with 17 products in the series (…). We have started to negotiate solutions with customers who have encountered problems with the product.”
Jihan Wu. Co-founder of Bitmain

The case between Bitmain and Zhan is still ongoing. Zhan has filed two lawsuits to regain control of the company since he was abruptly expelled last October. However, a Chinese court recently sided with Zhan to freeze 36% of Bitmain’s stake in Fujian Zhanhua.

Bitmain criticized Zhan, however, saying, “Zhan ignored the common interests of the company and all employees and filed a malicious lawsuit during the coronavirus pandemic that affected the company’s normal operations and affected its growth.”

Bitmain also said at the time that the court’s decision was only “an order of procedural jurisdiction” and that the final judgment had not yet been announced.

Translated version of Yogita Khatri’s article published in The Block Crypto.