Chinese Bitcoin (BTC) mining giant Canaan Artistic's depositary shares accept seen a forty pct drop in value since November initial public offering (IPO).

Canaan was the first Bitcoin mining giant to go public on a major Us stock substitution, and successfully navigate an IPO. However, the mining giant's stock has taken a severe chirapsia since its IPO on November. 21. The company's stock cost value went equally high as $13 per share on the day of the launch, only to have a painful nosedive to today'southward value of $5.25, representing a 40% price crash.

Afterwards failing to secure an IPO in Hong Kong concluding year, Canaan looked to the Usa, hoping to raise $400 million. However, the company was only able to raise $90 million, less than 25% of their planned amount.

Canaan endured a setback when it became clear that its biggest backer, Credit Suisse, decided to pull out a week before the IPO. According to people familiar with the affair, Credit Suisse was concerned whether the offering could secure sufficient orders.

Canaan'south competitor besides files for IPO with SEC

Bitmain, Canaan'south largest competitor, quietly filed an awarding for an IPO with the U.S. Securities and Substitution Committee (SEC) at the stop of Oct.

Anonymous sources said at the fourth dimension that the German multinational Deutsche Bank is sponsoring the application. Although no fund targets take been fabricated public, reports previously forecasted that the amount could be betwixt $300 1000000 and $500 million.

With Canaan's biggest competitor animate down its neck, the possibility of Canaan losing its market position could shortly become a reality. Especially now that Bitmain co-founder and tech billionaire Wu Jihan has resurfaced at the helm of the company while announcing new sales initiatives to attract new clients.a