Opinion: Bitmain problems will put pressure on Bitcoin Cash and Litecoin
Managing partner of the American investment fund Multicoin Capital, Kyle Samani, is confident that the financial problems of the Chinese mining giant Bitmain are likely to put pressure on the prices of Litecoin (LTC) and Bitcoin Cash (BCH) cryptocurrency.
This is extremely bearish for BCH and LTC
Whats the reason to make it out?
Meanwhile, they still have 1 BCH and 1M LTC on their balance sheet. To keep the lights on https://t.co/kneSRcK2li
– Kyle Samani (@KyleSamani) 26 shes, 2018 r.
Samani believes that reducing 50% of Bitmain employees is an obvious sign that the company is in serious financial trouble. According to him, the mining giant has significant reserves of BCH and LTC in reserves. Consequently, the coins are likely to be sold out to keep the company afloat.
According to Blockstream operational director Samson Mou, Bitmain plans to cut not 50, but 85 percent of the staff, getting rid of secondary business lines. In particular, the initiatives related to artificial intelligence are curtailed.
Reports in China are now 85%, not 50%. All non-essential business units are cut. Teams working on AI initiatives are decimated. #BitmainIPO https://t.co/wOrfUYukpg
– Samson Mow (@Excellion) 26 December 201 p.
Recall, according to some data, Bitmain losses in the third quarter could reach $ 740 million .
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