Cryptocurrency

Mining Bitcoin: Ebang debuts on Nasdaq

The manufacturer of devices for mining Bitcoin of chinese origin, Ebang, announced this week that she debuted on the Nasdaq exchange. The firm starts with an Initial Public Offering (IPO) of $125 million, which it hopes to raise to regain strength in the market.

In this way, the firm engaged in the manufacture and export of ASICs, becomes the second of its kind to be listed on the stock exchange. The other company is also china Canaan Creatives.

The information of the impending debut of the manufacturer of machines for mining of Bitcoin, Ebang, on the New York stock exchange, was issued by the portal Blockbeats. Also, it was reported that the company will quote with the initials EBON.

Losses of $ 2.5 million

Recently, it was reported that this company dedicated to mining Bitcoin, had recognized losses of $ 2.5 million. In a report to the Securities and Enchange Commision (SEC), Ebang detailed the magnitude of the setback suffered during the first quarter of the year 2020.

It should be noted that, at that time, the company said that the amount of the IPO would be around $ 800 million. But, if it reached this number, it could be considered a success.

It is important to note that the economic losses during that same span of time, spread to all the equipment manufacturers of mining Bitcoin. In this way, the debut of Ebang seems to promise that the performance of this signature is different from that of Canaan.

The business of mining Bitcoin is gaining ground in the U.s. market

The mining Bitcoin continues to show great potential to enter with force in the U.s. market. Despite the problems recently reported Canaan Creatives in the bag, it is a booming business in which more and more investors show interest.

According to reports from the Centre of Alternative financing of the University of Cambridge, the epicentre of the mining industry of Bitcoin is moving towards EE. UU.. Although China still occupies a large percentage of the hash, the same has significantly decreased. While in north America, the increase has been evident.

The chinese company of mining equipment Bitcoin, Ebang, debuts this Friday on Nasdaq. Source: CryptoNewsPoint

So we profiled the debut of this manufacturer of hardware for mining Bitcoin

The objective of the mining equipment manufacturer Bitcoin, Ebang, after his debut, is to raise funds. To do this, will be sold 19.3 million shares for between $4,50 and $6,50. This amounts to 125 million dollars.

However, as already pointed out, reaching 800 billion, could be considered a success, taking into account that this was the figure projected in its first intention on the part of the company.

The crisis caused by the pandemic COVID-19, has been a factor that has beaten the sales of the equipment manufacturers of mining Bitcoin. In that sense, Ebang reported significant losses in its report to the SEC.

However, you can not lose sight that the sales in 2019 showed income of $109 million. While in 2018, that figure was $319 million, which translates into a fall of 66%, in a stalemate that goes beyond the consequences of the recent pandemic.

The other manufacturer of computers mining Bitcoin is traded on Nasdaq, Canaan, also has the sales reports are very encouraging. In fact, only MicroBT can boast of not having gone back on the sales market.

Behaviour of Canaan Creatives

Canaan, the second publicly traded company on Nasdaq and operates from the end of 2019, was offered 10,000,000 shares worth $9. However, their actions began to plummet from the 14 of may, to be placed in less than $2,09 in its closing last Monday.

The other major manufacturer of hardware for mining Bitcoin, Bitmain, introduced in 2019 with the SEC for a proposed IPO. The same would have been supported by the Deutsche Bank. However, until present there are no known details.

Some data to take into consideration

Last Friday, the shares of Canaan Creatives closed at $1.92 years, recovering slightly to $2,09 this Monday.The loss of Ebang during the first quarter were above $ 2.5 million.China occupies 65% of all the power of the Hash of Bitcoin. At the end of last year, the same was of 75%. At the same time, the united States rose from 4% to almost 8%.The first intention of IPO Ebang was announced in April 2020.

Reliable sources

The information of this content has been taken from reliable sources which are detailed below:
1 – professional Management of content by the authors of CriptoTendencia.
2 – external Sources: cbeci.org, theblockbeats, Cryptonewspoint.com and investing.com.

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About the author

Belinda Carey

Belinda Carey

A finance girl by education, Belinda has been drawn to cryptocurrencies ever since Bitcoin first emerged in the 2009. Nearly a decade later, Belinda is actively working to spread awareness about cryptocurrencies as well as their impact on the traditional currencies.

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