Bitcoin mining colossus Bitmain has rejiggered its sales strategy to reverse a decline in market share following the return of co-founder Jihan Wu to the company's helm.
Bitmain is betting big that bitcoin's price will jump next year amid the scheduled halving of mining rewards, which will reduce new supply created with each block of transactions.
While the event was exclusive for customers, screenshots of the firm's presentation deck seen and verified by CoinDesk show that Bitmain has rolled out three main tactics to appeal to mining investors.
To begin with, it appears Bitmain has replaced its previous sales strategy, wherein customers had to pay the full amount upfront for mining equipment due for future shipment, with a tired down payment structure.
A second tactic that Bitmain plans to roll out targets those who own mining farms with power resources but do not yet have enough equipment to run at full capacity.
Bitmain would cover the year-round electricity cost at 0.35 yuan per kilowatt-hour while mining farm operators remain responsible for maintenance.
In return, Bitmain will retain 75 percent of the mining profits and farm operators will take the remaining 25 percent.
Further, Bitmain now seeks to ease mining investors' concerns regarding bitcoin's price volatility by giving out a put option to those who make product orders in large quantities.
For users who purchase 1,000 units of AntMiner S17 Pro, worth about $1.5 million, the firm will give away 62 put options, worth in total one percent of the miner order amount.
Competition among major miner makers in China is still racing nonstop ahead of bitcoin's halving next year with Shenzhen-based WhatsMiner manufacturer MicroBT launching its flagship M30 series of miners.
Bitmain Shifts Miner Sales Tactics, Betting Big on Bitcoin Halving Pump
gepubliceerd op Dec 10, 2019
by Coindesk | gepubliceerd op Coinage
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