Bitmain Could Be Experiencing Financial Problems

Reading Time: < 1 minute

Journalist Colin Wu has reported that Bitmain, the largest manufacturer of mining equipment, did not fully pay salaries to its employees in September.

This was due to the company’s failure to turn a positive cash flow during the month. As of October 7, the company announced that it had paid off most of its debt, but only “some people” did not receive their full payout.

In September, Bitmain held the World Digital Mining Summit conference in Hong Kong and released its new flagship bitcoin mining device, the Antminer S21.

During the event, the company also announced an agreement to supply 27,000 Antminer S19j XP units to Core Scientific, a US-based mining company, for a total of $23.1 million in cash and common shares.

In October, it was revealed that Bitmain would sell 7,000 Antminer S21 devices to Iris Energy for $19.6 million.

The contract price for these miners was lower than the market price in terms of hashrate, according to the Hashrate Index.

It should be noted that in August, Bitmain offered buyers of S19j XP a protective mechanism that would provide financial compensation in case of a decrease in Bitcoin prices.