Bitmain confrontation ruins supply of ASIC miners to clients

by in Blockchain News


After taking over Beijing's Bitmain office, the removed CEO Mikri Zhang regained control of it and even blocked the supply of ASIC miners from the Shenzhen plant.

According to the Chinese publication BlockBeats, Zhang has issued an order that prohibits employees from sending products to Bitmain customers.

Zhang seems to have regained his legal rights to a Bitmain subsidiary in mainland China, which is formally owned by a Hong Kong holding company and supposedly remains under the control of Jihan Wu.

Jihan Wu’s June 9 statement says he is in control. Wu said that everything is being resolved legally and mentioned the damage caused by Zhang’s actions.

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In a statement, Wu also assures employees that all losses that they may incur will be compensated; and encourages them to "work together to protect the company."

This statement reflects the long-standing confrontation between Zhang and Wu, who, at every opportunity, seek to enlist the support of staff.

The confrontation between the co-founders of the company began in October 2019, when Wu ousted Zhang and announced that he would “save the ship” alone.

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Zhang then stated that it was illegal, and began the struggle to regain his leadership role in the company, initiating lawsuits. There was also an episode in which Wu people tried to take away company documents from Zhang.

At the end of May, Cihan Wu also made a statement stating that Zhang cannot be the legal representative of the company and issue orders for employees.