The power tussle in the largest Bitcoin miner maker, Bitmain, is now threatening to essentially hard fork its operations for the production of AntMiner equipment.
On July 16, one of Bitmain’s co-founder, Wu Jihan registered a new firm in Shenzhen, China. The new firm is known as Guiji Yanghang which is an offshoot of a recently registered firm called Beijing Guiyuan Dalu which Wu controls.
Wu engineered the ouster of Micree Zhan Ketuan, Bitmain’s co-founder, late last year after a protracted power tussle between the two. However Zhan managed to retake the control of the firm in June this year after the Chinese authorities sided with him.
According to a source privy to Wu’s plans, the new firm is meant to separate the supply chain from the production process in regards to AntiMiner equipment. This is seen as a counter move to Zhan’s taking over of the Beijing Bitmain Shenzhen factory following his return at the apex of the company last month.
Wu’s move is the most recent in a power tussle saga which could further confuse the firm’s international clients willing to buy the AntiMiner equipment. At the moment, for instance, it still remains unclear what faction will own the AntiMiner brand as well as its shipment logistics. It is also unclear which faction will provide post-sale services.
Last Friday, Wu in an internal letter explained that he had to come back to the firm and take over the leadership in order to save Bitmain from collapse following cash flow issues running into hundred million dollars, reportedly caused by Zhan.
The letter also explained that Wu has started a process of another supply chain to counter the Shenzhen factory’s role which affects the shipment of the AntiMiners.
In a notice published in the company’s WeChat account that is controlled by Wu, the firm apologized to its global clients saying that June shipments are likely to be delayed following external interference of the firm’s management process.
Having been ousted in October last year, Zhan, who is the largest shareholder in Bitmain, was granted control of the firm by the Chinese authorities on June 3.