Chinese Mining Firm Canaan Inc Doubles Revenue Despite Bitcoin Ban

Canaan Inc, a Chinese language cryptocurrency mining big and computing useful resource supplier, has reported a greater than anticipated income, regardless of the ban on crypto mining and transaction actions in China.

As introduced by the corporate, its complete revenues got here in at RMB1,652.7 million ($246.7 million), a determine that represented a rise of 21.9% from the RMB1,356.1 million it reported within the first quarter of 2022. This spectacular income additionally is available in as a 52.8% improve from the RMB1,081.8 million recorded in the identical interval of 2021.


What was most hanging about Canaan Inc’s income is the truth that its computing energy plunged decrease within the second quarter. Per the figures printed, the overall computing energy offered was 5.5 million Thash/s, representing a rise of 27.5% from 4.3 million Thash/s within the first quarter of 2022 and a lower of seven.7% from 5.9 million Thash/s in the identical interval of 2021.


Although it’s buying and selling publicly on the Nasdaq World Choose Market, Canaan Inc is a Chinese language firm with its headquarters in Beijing. The agency’s Q2 efficiency has not likely proven any type of dearth in operations and income regardless of the hostility of the Chinese language authorities in direction of crypto actions in addition to the general impression of the crypto winter.


“The stable topline efficiency primarily resulted from the sequentially elevated computing energy offered and comparatively excessive common promoting value we secured with contract gross sales from earlier quarters the place the Bitcoin value was at a better stage. Because the Bitcoin value additional decreased within the second quarter, we responsively lowered our product value for spot gross sales to shoulder the stress with our shoppers,” mentioned James Jin Cheng, Chief Monetary Officer of Canaan.


Whereas Canaan’s financials present it’s money circulation optimistic, the scenario was notably completely different for different key stakeholders within the crypto mining ecosystem like Core Scientific, which offered extra of its mined BTC to offset a few of its money owed and liabilities.

Picture supply: Shutterstock

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