Sports lottery service provider is expanding its dominance in the cryptocurrency industry.
On February 16, the Chinese online sports lottery company, 500.com Limited (WBAI), confirmed the acquisition of the cryptocurrency mining pool BTC.com, operated by Jihan Wu’s BitDeer Technologies. This transaction also includes the domain name and the digital wallet. The company has recently intended to direct its business towards the world of cryptocurrencies and the blockchain, considering this decision as to the most critical goal among others.
As reported by 500.com itself in a statement through its website, the purchase happened as part of a share exchange deal with Blockchain Alliance Technologies Holding Company of the Cayman Islands. Such agreement intends to execute the transfer of the entire mining operation from BTC.com to 500.com on April 15, 2021.
Bitdeer Technologies Holding Company is the company that operates BTC.com, one of the largest mining pools. The company came to light in 2016 and had a mining service for various cryptocurrencies such as BTC, BCH, ETH, and LTC with a hash rate of around 15.07 EH / s, an amount that represents 10% of the total of the BItcoin network.
The company offers a complete service for its users. They have exclusive access to essential data and information with statistics on blockchain in real-time through its website and deal with their mining business right there. Also, there are possibilities of saving earnings in the BTC.com wallet.
500.com is a company that uses to offer online sports lottery services. A week ago, the price of its shares skyrocketed exponentially right after the publication of its financial results for 2020.
However, this case does not seem to play a relevant role in such increases in said shares’ price. But some details in the information state that the purchase of 5,900 Bitcoin mining machines reflects the company’s total commitment to look for better opportunities regarding the cryptocurrency and blockchain industry. With this new acquisition, the shares of the company rise again.
With more companies such as 500.com in the Bitcoin mining industry, China could consolidate its global leadership. However, other countries, especially the United States and Canada, are more than willing to challenge said position. Companies like Riot Blockchain, Compute North, and Bitfarms inject large amounts of money to scale their infrastructure with many mining machines and thus increase their hash rate significantly.
BitDeer’s most prominent beneficiary owner is Jihan Wu, the company’s chairman and former leader of Bitmain. BTC.com was under Bitdeer’s control.
Meanwhile, the crypto mining pool space has begun to experience a series of mergers and acquisitions. This month, the Chinese bitcoin mining pool Poolin acquired a North America-based competitor (NovaBlock). The main intention is to set an expansion over the American continent.
By: Jenson Nuñez