In the world of cryptocurrency, few companies have shaped the landscape as profoundly as Bitmain. From mining hardware to global算力 dominance, this Beijing-born firm has quietly built an empire that powers much of the Bitcoin network. Today, seven out of every ten Bitcoin miners worldwide run on Bitmain’s Antminer devices, and over half of all newly mined bitcoins emerge from its affiliated mining pools. In less than a decade, Bitmain transformed from a startup into a cornerstone of the blockchain economy.
👉 Discover how Bitmain dominates the future of decentralized computing.
The Rise of Wu Jihan: From Bitcoin Evangelist to Industry Titan
Wu Jihan, often dubbed the "Valiant Villain" by CoinDesk, was once known not for power plays, but for enlightenment. As one of the earliest voices in China's crypto community, he translated Satoshi Nakamoto’s whitepaper into Chinese and co-founded the influential forum 8btc (Babai). His motivation? A deep belief in Bitcoin’s economic promise.
“Mainstream Chinese discourse viewed Bitcoin pessimistically—often as a pyramid scheme. Someone had to explain its value and technology. We felt a responsibility to speak up.”
That sense of mission was personal. In 2011, Wu invested his entire savings into Bitcoin when it traded for less than $0.30. By 2013, its price surged to $750—a 2,500x return. This windfall gave him both capital and conviction to dive fully into the space.
His journey into hardware began with frustration. After suffering losses due to delayed shipments from early miner manufacturer ASICMiner (aka "Friedcat"), Wu saw an opportunity: build better ASIC chips, faster.
The Fall of Friedcat and the Birth of Antminer
Friedcat’s rise and fall was a cautionary tale of volatility in crypto’s early days. Once dominant with its FPGA-to-ASIC transition, it raised funds via a Bitcoin-based IPO in 2012 at 0.01 BTC per share. A year later, dividends reached 0.038 BTC weekly per share, and its market cap ballooned.
But technical setbacks and new competition—especially Bitmain’s Antminer and Canaan’s Avalon—eroded its算力 share. Then came the ultimate mystery: Friedcat vanished in 2015.
Yet the story didn’t end there. In July 2017, a dormant wallet linked to Friedcat moved 17,360 BTC—worth around $170 million today—just before Bitcoin’s first hard fork. The timing suggests preparation to claim Bitcoin Cash (BCH), sparking speculation about who backed the split.
The answer points directly to Bitmain.
Building a Mining Monopoly: Technology Meets Timing
Co-founded in 2013 with semiconductor expert Jiang Keju, Bitmain had one goal: develop high-efficiency ASIC chips faster than anyone else. Jiang, a Tsinghua and CAS alumnus, assembled a team with low-power chip design expertise—perfect for mining hardware.
Their first chip, BM1380 (55nm), debuted in November 2013 with the Antminer S1. But it was the 28nm BM1382 and subsequent S3, S5, and S7 models that changed everything.
While competitors collapsed during Bitcoin’s 2014–2015 bear market—Mt. Gox fell, Butterfly Labs faced FTC action, KnCMiner went bankrupt—Bitmain kept innovating.
By late 2015, when prices recovered, miners returned to find a transformed market: Antminer dominated.
“Bitcoin is still emerging. The freeze isn’t death—it’s opportunity.”
—Early Bitmain employee on Quora, 2015
The Antminer S7 alone generated ¥400 million in sales within two months. It marked a turning point: Bitmain had achieved算力 supremacy.
Expanding the Empire: Mining Pools and Financial Engineering
Wu didn’t stop at hardware. Understanding that control over mining infrastructure equates to influence over Bitcoin itself, he expanded vertically.
In 2014, Bitmain acquired Snowball.io, rebranding it HASHNEST—launching cloud mining services that converted算力 into tradable products. Then came Antpool (2014), BTC.com (2016), and investments in ViaBTC and BTC.TOP.
Today, over 60% of global Bitcoin算力 flows through pools linked to Bitmain. What was meant to be a decentralized system now hinges on centralized算力 hubs.
Even more innovative was PACMIC—an early算力-backed financial product offering 10%+ annual returns with principal protection. Launched in 2015, it sold out instantly, raising millions and recycling capital into physical mine expansions across Xinjiang, Inner Mongolia, and宁夏.
This shift—from selling miners to leasing算力—mirrored a move from real estate developers to REITs: sustainable, scalable, cash-rich.
👉 See how算力 innovation is reshaping digital asset economies today.
FAQ: Understanding Bitmain’s Role in Crypto
Q: What makes Bitmain so powerful in Bitcoin mining?
A: Bitmain controls both hardware (Antminer) and software (Antpool, BTC.com), giving it unmatched influence over network算力 and mining economics.
Q: Why did Bitmain support Bitcoin Cash (BCH)?
A: BCH allows larger block sizes, aligning with Bitmain’s interest in transaction-heavy chains where miners earn more fees—a contrast to Bitcoin Core’s on-chain scaling limits.
Q: Is Bitcoin still decentralized with Bitmain’s dominance?
A: While nodes remain distributed,算力 centralization poses risks. Bitmain’s control over ~60% of mining pools gives it de facto veto power over protocol changes.
Q: How did PACMIC work?
A: It offered investors算力 contracts with guaranteed returns, blending cloud mining with structured finance—an early model of tokenized asset yield.
Q: What happened to Friedcat’s missing Bitcoins?
A: The 2017 transfer remains unconfirmed in identity, but many believe it was orchestrated by parties preparing for BCH’s fork—possibly including Wu Jihan or allies.
Q: Does Bitmain still operate in China?
A: While domestic mining operations have largely moved overseas since 2021 regulations, Bitmain continues R&D and sales globally.
The AI Pivot and Geopolitical Strategy
Anticipating regulatory headwinds, Wu pursued dual strategies: global expansion and technological diversification.
From 2015 onward, Bitmain opened R&D centers in Silicon Valley, Israel, and the Netherlands. By 2018, it accelerated with offices in Switzerland’s “Crypto Valley” and a regional HQ in Singapore. Reports also emerged of planned mines in Quebec—tapping cheap hydroelectric power.
Simultaneously, Bitmain launched Sophon, its AI division, unveiling the BM1680 TPU chip in 2017—positioning itself against Nvidia and Google in edge computing.
Sophon’s first real-world use? Smart surveillance systems deployed in Xinjiang—where Bitmain also operated major mining farms.
The convergence of算力 infrastructure and state-aligned AI applications raised eyebrows—and questions about tech dual-use ethics.
The Legacy of a Crypto Visionary
Wu Jihan began as a believer in decentralization. Yet his actions—backing BCH via hard fork despite community opposition—revealed a different philosophy: pragmatic control over ideological purity.
When criticized online, he famously retorted on Twitter: “Fxxk your mother if you want fxxk.” Harsh? Yes. But telling. He no longer sought approval—he wielded influence.
In a 2018 interview with Caijing, he clarified:
“Bitcoin Cash is independent. It shares history with Bitcoin, but now follows its own path.”
That statement wasn’t just about forks—it was about legacy.
Bitmain’s journey reflects crypto’s broader evolution: from idealistic roots to industrial-scale reality. Whether viewed as visionary or villainous, Wu Jihan built an invisible empire—one powered not by hype, but by silicon,算力, and strategic foresight.
As blockchain infrastructure matures, companies like Bitmain remind us: whoever controls the means of production shapes the future of money.
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