Micree Zhan’s Legal Battle for Control at Bitmain: Drama, Dismissals, and Downsizing

Enter the Legal Arena

Micree Zhan Ketuan has thrown down the gauntlet by initiating legal proceedings against Bitmain’s shareholders. He’s aiming to regain his voting power within the company that has often been dubbed the heavyweight champion of crypto mining. A recent report from BNN Bloomberg revealed that Zhan has petitioned a Cayman Islands court, seeking to overturn a shareholder decision that dramatically altered the voting rights attached to Bitmain’s Class B shares. Once a powerhouse at ten votes per share, they have now been downgraded to a measly one vote. Talk about a drop in the pecking order!

The Backstory: Betrayal and Dismissal

This saga isn’t a simple tale of business disputes; it’s more like a reality show, minus the camera crew. The conflict dates back to October 2019 when co-founder Jihan Wu seemingly pulled a fast one, announcing via email that Zhan was out of the company. “Effective immediately,” Wu declared Zhan had been relieved of all duties. Zhan, understandably rattled, likened his dismissal to the ultimate betrayal—like getting stabbed in the back by trusted “brothers”. If only there were a TV screen to capture the drama!

Rallying the Forces: Zhan’s Resolve

In response to his ousting, Zhan didn’t sulk in a corner; instead, he prepared for a legal showdown. “I will fight for her till the end with legal weapons,” he proclaimed, referencing Bitmain as his child. Cue the inspirational movie music because if this were a film, we’d be seeing Zhan rallying his forces, ready for battle. And he’s not just blustering—he’s set on thwarting what he sees as a conspiracy against Bitmain.

Wu’s Warning: The Corporate No-Contact Order

Taking a play out of the corporate dictatorial handbook, Wu issued stern warnings to all Bitmain employees to steer clear of Zhan, stating that engaging with him could lead to serious consequences, including termination. “No meetings or directions from Zhan!” Sounds like something straight from a mafia movie, right? When the boss man sends out such proclamations, it definitely adds a little more spice to the office atmosphere.

The Fallout: Downsizing and Asset Freezes

And if you thought the drama ended with Zhan and Wu, think again! This ongoing feud has real-world implications. Recently, plans surfaced about Bitmain potentially slashing its workforce by 50%. It’s a “personnel optimization plan,” they call it — fancy terminology for layoffs. Rumor has it, the cuts are related to the upcoming Bitcoin halving, a significant event for miners that could drastically affect their operations.

Adding salt to the wounds, a Chinese court froze approximately $676,000 in assets belonging to Bitmain’s subsidiary, Shenzhen Century Cloud Core, following a dispute over electronic component manufacturing services. It’s like the company is starring in its own chaotic series of unfortunate events.