Bitmain’s Management Feud Is Finally Affecting Business Operations; AntMiners Shipments Delayed
- Bitmain’s top-level struggles cause a three-month delay in Antminer hardware.
- Two mutually exclusive solutions offered to customers.
The constant wrangling within the largest Bitcoin mining hardware producer – Bitmain – is taking a toll on its business and customer operations. According to a recent WeChat note sent on Thursday, the long-awaited hardware miners expected to be released in June and July will need to wait till September and October to be delivered.
Jihan Wu and Micree Zhan, the founding partners of Bitmain, have been in a long-standing battle over control of the multi-billion dollar company. Despite holding on as the largest crypto mining hardware producer since the ASIC-era, the company is finally feeling the pinch of the bull fight at the top.
The note states that the company’s flagship AntMiner products, slated to be shipped in June and July, will be delayed to September and October. Bitcoin mining hardware customers need to pre-order the machines three months before; in this case, the AntMiners will take more than six months before being delivered. The note states the delay is being caused by “external interference over the company's management”.
#BitmainDrama hampers its normal business finally
Bitmain pre-sales team just post an announcement today saying "due to external interference on company operation .." their June/July orders have to postpone to Sep/Oct the earliest
imagine you are Bitmain pre-IPO investor now pic.twitter.com/siQRniHDd3
— Dovey 以德服人 Wan 🪐🦖 (@DoveyWan) August 6, 2020
Wu is currently in charge of the Antminer WeChat group that sent the note. He successfully ousted Micree Zhan from the position of CEO, but Zhan recently took over. However, the leadership of the company remains shaky as Zhan and Wu control different parts of the manufacturing process for the hardware.
Late last month, Jihan Wu proposed a hard fork of the company in order to split the supply chain and manufacturing processes of Bitmain. Zhan, however, voiced a different opinion, suggesting a share buyback of the company at a $4 billion dollar valuation.
In an effort to fulfill their obligations to customers, the note from Wu’s camp gives customers two mutually exclusive options on the way forward. First, customers can wait for 60 days for the shipping to be completed, which, if not achieved, the customer can write to Bitmain asking for a refund.
The second option dictates that after ten days, customers who have not received their hardware will be paid in theoretical mining rewards coupons. These coupons can be redeemed for future mining hardware purchases.