Bitmain Technology, the world’s largest crypto mining equipment manufacturing firm, has suspended all of its operations in Texas, where the company was supposed to build the largest mining operation in the country.
The future of what was billed as the biggest cryptocurrency mine in the country just a few months ago is now uncertain.
Steve Young, a Milam County Judge, issued a statement reporting that all Bitmain employees, two engineers and the director of human relations had been laid off, and all operations had been suspended. And also a new CEO would be named to replace co-founders Wu Jihan and Zhan Ketuan.
Bitmain announced the launch of its Rockdale data center back in summer 2018. Estimates were the new facility would bring about 400 local jobs to Rockdale in the first two years. Many in the roughly 5,800-person strong city were interested and excited to see what Bitmain could bring to the area.
Commenting on the news, Steve Young, the Milam County Judge said:
I’m really disappointed because we had advertised this. We had waited for this and had wanted this. We had welcomed this. This was huge. We need some positive news here and some jobs here. We need a tax base here, and this was a step in the right direction.
Bitmain has seen its company go through dramatic shifts in an effort to adjust to a prolonged cryptocurrency bear market. As a bitcoin mining company, it was doing reasonably well when the crypto market was bullish.
The bear market is wreaking havoc on Bitmain and its market share, with the bearish year causing some lasting damage to the mining company.