Bitmain Crypto Mining’s Co-Founders to Step Down to Co-Chairs, Plan to Add New CEO Soon as IPO Stalls
It has been recently revealed that Co-Founders of Bitmain, Jihan Wu and Micree Zhan are to step down from their roles as co-CEOs and to take on the position of co-chairs reports South China Morning Post (SCMP) (https://www.scmp.com/tech/policy/article/2181392/bitmains-two-founders-step-aside-chinese-cryptocurrency-giant-taps).
Further reporting noted that this decision has been in place as early as November or December given that the “transitioning period” commenced in December.
As for the potential, future CEO of Bitmain, SCMP noted that it is none other than the director of product engineering, Wang Haichao, as per unnamed sources. Wang supposedly has taken over some of the tasks between both current CEOs to ensure the transition is smooth, however, the exact timeframe in which Wang will officially become the CEO remains undecided.
Just because Jihan Wu and Micree Zhan will have to step down from a significantly high position, it doesn’t mean they have no say in the overall Bitmain operations. Although the duo no longer can take part in the “company’s day-to-day business activities,” they do play a role in the final decision making process.
News outlet, Tech Crunch has also reported on this matter and decided to reach out to Bitmain in getting a comment, however, the opportunity has since been denied (https://techcrunch.com/2019/01/09/bitmain-is-reportedly-getting-a-new-ceo/).
The need for changing leadership does not appear to be entirely clear, but one could assume it is namely because of Bitmain’s current stance. Given that Bitmain is the largest provider of crypto mining hardware, and the fall in cryptos, the firm is surely to have gotten hit. This has been reflected in an announcement made by Bitmain itself, in which the firm was considering laying off staff. As per CoinDesk, about 50% of staff have already been asked to resign last month alone (https://www.coindesk.com/bitmain-poised-to-appoint-tech-chief-as-new-ceo-says-report).
Moreover, their announcement on a potential initial public offering (IPO) has helped them gain some momentum in terms of revenue, however, the Hong Kong Stock Exchange (HKSE) does not seem to be in support of the endeavor because cryptocurrency and blockchain industry is doubted of due to its infancy and lack of maturity within the country.
Hopefully, Bitmain is able to overcome these struggles and maybe, a change in leadership is needed as it simply signifies a different outlook on operations and direction!