Bitmain, the dominant cryptocurrency mining leader, is filing for an initial public offering (IPO) potentially for as much as $18 billion this September at a market capitalization of $40 to $50 billion. It will be listed on the Hong Kong Stock Exchange in late in 2018 or early in 2019.
Bitmain closed a $1 billion pre-IPO financing round on July 23 at a $15 billion valuation. This was nearly double the $8 billion valuation for Coinbase.
Sequoia Capital China had led Bitmain’s $50 million Series A and $400 million Series B rounds with the help of San Francisco’s IDG Capital, Menlo Park’s Coatue Management and Singapore’s EDBI and GIC.
Bitmain has over $2 billion in profits and made over $10 billion from bitcoin holdings
Bitmain had profits of
$100 million in 2016
$1 billion in 2017
$2-2.5 billion estimated profits in 2018
In 2017, Bitmain machines accounted for 66.6% of the total mining volume and Bitmain-run cryptocurrency mining pools covered 40% of the total mining network.
The 2018 IPO prospectus indicates, BTC.com, the largest mining pool in the world, counted over 560,000 machines that mined approximately 11,200 out of 36,000 total bitcoin blocks. The second largest mining pool AntPool served more than 440,000 machines for bitcoin and alternative cryptocurrencies.
Bitmain has made $1 billion, $11 billion and $10 billion from its 2016, 2017 and 2018 Q1 from its bitcoin holdings.
Bitmain is a leader in advanced lithography chips
As of December 2017, Bitmain matched Huawei HiSilicon in 16 nanometer chip sales. Taiwan Semiconductor supplied Bitmain with more 10 nanometer chips than for Huawei HiSilicon. Bitmain has a new unreleased 10-nanometer chip and will have new class of 7 nanometer and 12 nanometer chips later this year.
Bitmain plans to shift its business to Artificial Intelligence
Bitmain plans to get 40% of its revenue from Artificial Intelligence by 2023.
Brian Wang is a Futurist Thought Leader and a popular Science blogger with 1 million readers per month. His blog Nextbigfuture.com is ranked #1 Science News Blog. It covers many disruptive technology and trends including Space, Robotics, Artificial Intelligence, Medicine, Anti-aging Biotechnology, and Nanotechnology.
Known for identifying cutting edge technologies, he is currently a Co-Founder of a startup and fundraiser for high potential early-stage companies. He is the Head of Research for Allocations for deep technology investments and an Angel Investor at Space Angels.
A frequent speaker at corporations, he has been a TEDx speaker, a Singularity University speaker and guest at numerous interviews for radio and podcasts. He is open to public speaking and advising engagements.
If I understand correctly. you’re saying that certifying databases with the block chain has become more efficient lately. That’s great. I understand BC is great for securing databases, I still can’t see any inherent value in cryptocurrencies, unless they are redeemable for something concrete, and almost none of them are. I wonder if they are not the tulip bulbs of our time.
If I understand correctly. you’re saying that certifying databases with the block chain has become more efficient lately. That’s great. I understand BC is great for securing databases I still can’t see any inherent value in cryptocurrencies unless they are redeemable for something concrete and almost none of them are. I wonder if they are not the tulip bulbs of our time.
There are more advantages on the macro scale. The database format itself (using Merkle Trees) is extremely efficient at transmitting proofs, which means that a proof (block header + aux data) generated 6 blocks ago (the general time required to stabilize a chain) is good enough to prove the entirety of the database at that point. If you expand that into other databases that would like to be shared (including private blockchain networks!) you end up with a topography which is extremely resilient to takeovers, still globally defined, with the proof transmission able to be performed in a decentralized way as well. All of the “Bridging” blockchains that came out of stealth in the last 2 years have methods of performing this. You can imagine that as these block headers are shared between different blockchains, each one reinforces the others, which makes it that much harder to change records even between different large organizations.
There are more advantages on the macro scale. The database format itself (using Merkle Trees) is extremely efficient at transmitting proofs which means that a proof (block header + aux data) generated 6 blocks ago (the general time required to stabilize a chain) is good enough to prove the entirety of the database at that point.If you expand that into other databases that would like to be shared (including private blockchain networks!) you end up with a topography which is extremely resilient to takeovers still globally defined with the proof transmission able to be performed in a decentralized way as well. All of the Bridging”” blockchains that came out of stealth in the last 2 years have methods of performing this.You can imagine that as these block headers are shared between different blockchains”” each one reinforces the others”” which makes it that much harder to change records even between different large organizations.”””
I understand how the widely distributed blocks of a blockchain can record transactions, and make it nearly impossible to fraudulently misrepresent transfers of ownership of whatever property is “titled” on the BC. In particular this precludes secretive rehypothecation of a single property, by selling it multiple times without delivery, or by using it multiple times as collateral for different loans. In particular, this is a problem for precious metals sold by bullion banks, and “stored” for the customer. This is provably the fact in the COMEX gold market, where “warehouse receipts” greatly outnumber the number of deliverable bars(lots) of bullion. I don’t see what makes bitcoins, or any other cryptocurrency which is not redeemable in some physical commodity valuable, other than scarcity, and the greater fool principle. Bitcoins are fiat currency not backed by some sovereign government. In essence, the only advantages bit coins have over US dollars, is that they are more difficult to create, you can create your own, and they are easier to transfer across international borders without seizure, or taxation. Do I misunderstand? If so, I would appreciate correction.
I understand how the widely distributed blocks of a blockchain can record transactions and make it nearly impossible to fraudulently misrepresent transfers of ownership of whatever property is titled”” on the BC. In particular this precludes secretive rehypothecation of a single property”” by selling it multiple times without delivery or by using it multiple times as collateral for different loans. In particular this is a problem for precious metals sold by bullion banks”” and “”””stored”””” for the customer. This is provably the fact in the COMEX gold market”””” where “”””warehouse receipts”””” greatly outnumber the number of deliverable bars(lots) of bullion.I don’t see what makes bitcoins”” or any other cryptocurrency which is not redeemable in some physical commodity valuable other than scarcity and the greater fool principle. Bitcoins are fiat currency not backed by some sovereign government. In essence the only advantages bit coins have over US dollars is that they are more difficult to create you can create your own and they are easier to transfer across international borders without seizure or taxation. Do I misunderstand? If so”” I would appreciate correction.”””
If I understand correctly. you’re saying that certifying databases with the block chain has become more efficient lately. That’s great. I understand BC is great for securing databases, I still can’t see any inherent value in cryptocurrencies, unless they are redeemable for something concrete, and almost none of them are. I wonder if they are not the tulip bulbs of our time.
There are more advantages on the macro scale. The database format itself (using Merkle Trees) is extremely efficient at transmitting proofs, which means that a proof (block header + aux data) generated 6 blocks ago (the general time required to stabilize a chain) is good enough to prove the entirety of the database at that point.
If you expand that into other databases that would like to be shared (including private blockchain networks!) you end up with a topography which is extremely resilient to takeovers, still globally defined, with the proof transmission able to be performed in a decentralized way as well. All of the “Bridging” blockchains that came out of stealth in the last 2 years have methods of performing this.
You can imagine that as these block headers are shared between different blockchains, each one reinforces the others, which makes it that much harder to change records even between different large organizations.
I understand how the widely distributed blocks of a blockchain can record transactions, and make it nearly impossible to fraudulently misrepresent transfers of ownership of whatever property is “titled” on the BC. In particular this precludes secretive rehypothecation of a single property, by selling it multiple times without delivery, or by using it multiple times as collateral for different loans. In particular, this is a problem for precious metals sold by bullion banks, and “stored” for the customer. This is provably the fact in the COMEX gold market, where “warehouse receipts” greatly outnumber the number of deliverable bars(lots) of bullion.
I don’t see what makes bitcoins, or any other cryptocurrency which is not redeemable in some physical commodity valuable, other than scarcity, and the greater fool principle. Bitcoins are fiat currency not backed by some sovereign government. In essence, the only advantages bit coins have over US dollars, is that they are more difficult to create, you can create your own, and they are easier to transfer across international borders without seizure, or taxation.
Do I misunderstand? If so, I would appreciate correction.