Bitmain raises $1 billion in pre-IPO funding round

Bitmain concludes its pre-IPO round

As reported by the QQ browser, Bitmain, the largest Bitcoin mining company and ASIC chip maker has concluded its pre-IPO round. In the process, the organization has raised over $1 billion.

The conjecture of secret IPO and Tencent’s interest in the company has been doing its roundabouts in the cryptocurrency industry. The central leading investors of the pre-IPO are Tencent, a Chinese multi-national investment company, Softbank, a Japanese global company and a mining organization China Gold. Conjointly they have invested $1 billion in Bitmain, consequently setting the company’s valuation at $15 billion.

Following their plans, Bitmain is intending to direct its IPO in the following couple of days and is set to apply for the IPO through the Hong-Kong Stock Exchange in September. By the end of 2018 Bitmain is set to be a publicly traded company.

Jihan Wu, CEO of Bitmain, has apparently been working on being listed on the stock exchange platform for a while now. The mining company has benefited the endorsing administration of CICC (‘China International Capital Corporation’) one of the major investment banking firms in China, for similar reason.

Bitmain has been in the spotlight in 2018

During their Series B, Bitmain has received around $400 million in funding. For the Series A financing round the following have been listed as primary investors: Sequoia Capital China, a venture capital firm, Coatue, an American Hedge Fund and EDBI, an investment fund. The firm has raised over $50 million through their Series A financing round.

Over the past half year the mining company has seen a constant and continual rise in profits. Only during its first quarter Bitmain has made a profit of more than $1 billion. After the disclosure of first quarter profits, allegations of secret mining have resurfaced. Nonetheless, the company has as of late disclosed four new policies, one of which underlines the practice of zero-tolerance against secret mining, claiming and guaranteeing to abide by the policy now and even in the foreseeable future.