Local bitcoin mirrors
But its financials and local bitcoin mirrors look as volatile as the cryptocurrency itself. The Hangzhou-based company, which sells equipment used to solve complex puzzles to uncover, or mine cryptocurrency, has had several recent false starts.
It tried and failed to list in China through a reverse merger and allowed its application to debut in Hong Kong to lapse. In an effort to pay down debt and fund research, Canaan is now trying its luck stateside with Nasdaq even as the bourse tightens restrictions on the IPOs of small Chinese companies. Similarly, the bottom line, total comprehensive income, swung local bitcoin mirrors a profit to a loss of million yuan over the same period.
That meant Canaan had to sell its mining hardware at a loss. A price rebound would lift demand.
It all gives the IPO a whiff of desperation: Bitmain is in a similar position and has also now filed for a U. The latter has already, wisely, tempered its expectations, having earlier targeted a much larger mooted offer.
The prospect of striking rich look fraught but mining was always about blood, sweat and tears.
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