Fury At Bitmain Due To Disclosure Of Disastrous Results
According to a tweet by BTCKING555(@btcking555), Bitmain executive Johan is mad at the firm’s Chief Finance Officer for putting a clause where financial disclosure is after 60 days rather than 90 days. Consequently, the company’s disastrous results for 2018 Q2 have to be disclosed now which won’t look good considering its upcoming ICO.
The crypto market has been bearish for most of 2018 and there’s speculation that some firms are doctoring their financial reports to reflect positive trading results.
However, one of the followers on the thread stated that it would be considered fraud for one to report doctored figures. So in essence the CFO was smart to put that clause of 60-day disclosure.
Bitmain insider says Jihan is furious that CFO put information disclosure at 60 days after quarter end vs 9! Meaning disastrous Q2 results (apr-june) have to be disclosed NOW. @IDGCapital @jimihendrixlive @sequoia @sinovationvc And new 2018 revised profit is NEGATIVE #BitmainIPO
— BTCKING555 (@btcking555) September 8, 2018
As one of the world’s leading Bitcoin mining forces, Bitmain has been doing well on the crypto space. So much so that it intends to go public soon through an ICO. Its pre-ICO stage is reported to have raised $400 million.
Following the tweet, some followers were of the opinion that Bitmain should just go ahead and issue a token on Ethereum smart contract rather than go through government regulations. Others came out giving their views of how decentralization was disastrous for proof-of-stake firms.
All in all, it will be interesting to see whether the disastrous results will be made public. If so, then how will these results affect Bitmain’s ICO later this year.