Bitmain Employees Looking to Launch a Spinoff Startup Called Matrix

Former employees of Bitmain Technologies and its subsidiaries like Copernicus are planning to launch a spinoff startup of their own which might be named Matrix. it is still undecided on what services would the new venture offer, but the rumor mill seems to suggest that the spinoff might offer crypto lending services and custody solutions.

Bitmain made a name for itself as the largest mining rig producer and saw its profit surge into billions when the markets were green and crypto mining was a rage. However, the bearish market trends combined with some bad business decisions have made the largest mining instrument manufacturers to cut down its workforce significantly.

A recent report also suggested that the founder and CEO Jihan Wu might have been demoted from his CEO position in the light of companies downfall from the top. The reports back then suggested that Jihan might leave the company to start a new venture, and now those reports seem to take some shape with the speculation of MAtrix being formed by the former employees.

Chinese News Outlet AWT Suggest Jiahn Wu Might be Onboard

Chinese news outlet All Weather Tmt (AWT) details that the new venture Matrix might be lead by former members of Copernicus and Jihan Wu is on-board working on the project.

The local publication also suggests that the new venture is currently confused about whether to move forward with Blockchain Technology or Artificial Intelligence. Bitmain was involved with both the technologies, while Jihan looked after the blockchain sector helping the firm with blockchain projects, mining equipment and BCH business, while the co-founder Micree Zhan looked after the Artificial Intelligence side of the business.

Another local publication suggests that the new venture is looking at the crypto lending services and crypto hedge fund kind of services could be the way to move forward for the off-shoot venture of Bitmain.

AWT also suggested that the reports of Jihan Wu leaving Bitmain is false and he is still an important part of the venture. The local publication also suggested that Jiahn would be monitoring the project from the sidelines.

Final Thoughts

The reports of an off-shoot venture with a speculated name Matrix has created quite a buzz in the crypto space, as the Bitmain which saw its profit sore to $4 billion during 2017 price high slid from the top position as fast as it rose towards it.

Jihan Wu who was the real architect behind the success was also blamed for the fall and the rumors suggested that he might be leaving the company for his new venture. However contradictory reports have resurfaced claiming that Jihan is still an integral part of the company and the offshoot venture would only see his help from the sidelines.