Bitcoin miner manufacturer Ebang establishes a subsidiary in Singapore. According to the announcement, the main purpose of establishing a subsidiary is to launch a cryptocurrency exchange in the future.
Ebang Seeks Approval from Government
Nasdaq-listed Ebang would seek approval from the regulatory authorities of Singapore, and then the company will introduce its own cryptocurrency exchange. “As our next step, we plan to seek the relevant governmental approval and license to operate the cryptocurrency exchange and related business,” Ebang said. However, ASIC producer also says that it is not certain that the government would allow the company to open exchange or not. According to the announcement:
“However, there is no guarantee that we will receive such approval and license on commercially reasonable terms, or at all, or that we will commence the purposed business as planned, or at all. Shareholders are cautioned not to place undue reliance on this press release.”
Mr. Dong Hu, Chairman and CEO of Ebang, stated:
“With our newly established subsidiary in Singapore, we expect to expand our industry chain layout from providing equipment to offering trading services. We plan to establish a robust risk control system and develop an optimal transaction system, with the support from our dedicated professional team and industry experts, in order to provide investors with safe, fast and stable digital asset transaction services through blockchain technology. We look forward to providing systematic support to the development of blockchain and maximizing the values for our shareholders.”
Recently, crypto financial firm Matrixport, a spin-off from Bitmain, has launched cryptocurrency exchanged called Bit.com. Bit.com is crypto derivatives exchange offering different products, such as futures and options.
The company raised $101 million at the time of its listing on Nasdaq in June. At that time, the price value of its one share was standing at $5.23, but now it is trading at $6.78.
The company also suffered losses in the past two years as Ebang losses $11.8 million in 2018 and $41.1 million in 2019.