In the midst of all the rumours surrounding Bitmain’s alleged IPO hesitation, a spokesperson for the Hong Kong Stock Exchange (HKEX) has come forth and said that any such talk in regards to the matter should be set aside as “fake news”.
Over the course of the past few months, there have been many rumours that claim Bitmain has been “hesitant” to host its IPO since the current mining market is so volatile and thus there is a very real possibility that the sector as a whole could be wiped out completely within the coming 2-4 years.
The Numbers Don't Lie
The slump that has gripped the crypto market all though 2018 has been extremely harsh on the mining market, with a majority of companies struggling to even stay afloat in such bearish conditions.To make matters worse, in recent weeks there have been many reports that have claimed that a whole host of mining firms are selling off their equipment in order to minimize their overall losses.
If that wasn't enough, recently some reports on the internet were also claiming that Singapore-based firm Temasek had committed to investing a whopping $560 million dollars in Bitmain’s IPO.
However, a representative for Temasek recently took to the internet and released the following statement:
“We've seen commentary about an IPO involving a cryptocurrency company, Bitmain. Temasek is not an investor in Bitmain, and has never had discussions with, or an investment in Bitmain. News reports about our involvement in their IPO are false.”
As many of our readers may be well aware of, earlier in August, Bitmain’s investor deck had used “misleading” language to promote their offering by claiming that DST Global had committed to investing in the firm's IPO. However, it has now come to light that DST Global has “never invested in Bitmain (or even intended on doing such a thing in the past).”
Lastly, earlier in November, BitcoinExchnageGuide had reported that Bitmain was currently facing a $5 million class-action lawsuit for “allegedly mining cryptocurrency in an unethical fashion”.
With all this information out there, it really appears as though the future of the upcoming Bitmain IPO could be in major financial jeopardy.