Bitmain Delays Antminer Shipments Citing Management Chaos

The co-founders are battling to take control of the hardware giant.

Bitmain, the leading Bitcoin mining hardware manufacturer, is delaying its shipments by three months as the power tussle between its co-founders, Jihan Wu and Micree Zhan Ketuan, is heating up.

In its official WeChat account, the Beijing-headquartered company posted that the customers, who were about to receive a shipment of their orders in June and July, will have to wait until September and October.

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The announcement highlighted that the delay is a result of “external interference over the company’s management.”

Bitmain’s WeChat account is currently in control of Wu’s team.

Notably, Bitmain usually takes pre-orders for its latest Antminers and starts shipping the orders after two to three months. Therefore, the orders that were due for shipment in June and July might have been placed as early as March or April.

The miner manufacturer, however, is also offering two options to its affected customers: they can either send a speed up request letter to Bitmain, and if they do not receive their shipment within 60 days of the notice, they can cancel their order; or they can wait until the company processes the orders. 

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In the second case, the customers will receive theoretical mining revenue for the delayed period in the form of cash coupons, which can be utilized in future purchases.

However, Bitmain customers cannot take advantage of the two offers simultaneously.

The Battle between the Co-Founders

Though both Wu and Zhan co-led the miner manufacturer giant for years, Zhan was ousted from the company as of last year, when his business partner took full control. The power tussle got ugly as both of them fought on legal fronts and were also engaged in a weird power show-off.

Earlier this year, the court partially ruled in favor of Zhan over the legal representation of the company. Additionally, he was reported entering the Bitmain headquarters with personal guards, showing his dominance.

Currently, he holds 37 percent of the company shares and is its largest stakeholder.

Whatever the outcome of this power-tussle, the effect on the orders might give an advantage to Bitmain competitors.

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