Bitmain, Bitcoin ASIC Manufacturer, Suspends Employee Salary Payments
Bitmain, a leading manufacturer of application-specific integrated circuits (ASICs) for Bitcoin mining, has announced the suspension of employee salary payments for September and the following months.
Salary Cuts and Payment Delays
According to reports from local sources, several Bitmain employees have revealed that the company has cut all “bonuses and incentives” for its staff and has yet to pay their salaries since last month. Additionally, employees are now facing a 50% reduction in their base salary. A purported message from Bitmain states:
“For the month of September, the company has not achieved a positive net cash flow, especially in new ASIC orders. The executive management team has therefore decided to pause and review salary payments for September after October 7th, following the holidays.”
A Leading Bitcoin ASIC Manufacturer
Founded in Beijing, China, in 2013, Bitmain is one of the largest manufacturers of Bitcoin mining ASICs in the world, with an estimated market share of 70% at its peak. The company’s Antminer series of ASICs currently leads the industry in terms of hash rate calculations for Bitcoin mining.
Conclusion
Bitmain’s decision to suspend employee salary payments highlights the challenges faced by the company due to a lack of positive cash flow. As one of the major players in the Bitcoin mining industry, Bitmain’s actions may have significant implications for the market as a whole.
