Apparently, consistency is a high-priced value of giants especially in the very competitive market of today, the most valuable cryptocurrency company in the world, Bitmain, has chosen to be consistent so as not to lose its position as the most dominant manufacturer of Bitcoin mining chips anytime soon. The multibillion-dollar company has taken a new turn with the launch of the 7nm chip.
The 7nm Chip Launch
The crypto giant based in China announced the development of a new 7nm application –specific integrated circuit (ASIC) mining chip on Friday. The mining chip is for the SHA256 algorithm used by bitcoin, bitcoin cash, and many other virtual currencies.
The existent of the new chip; the BM1391 was revealed by the CEO of Bitmain Jihan Wu at the Digital Mining Summit in Georgia. He added that it would be used in the company’s new era of mining rigs following up on the Antminer S9.
In June, a Japanese tech company based out of Tokyo, GMO Internet launched a 7nm chip. According to Wu, BM1391 has an energy consumption ratio of 42W/TH while the GMO’s B2/B3 miners consume 81W/TH at the peak which is relatively higher.
Bitmain and Bitfury in Healthy Competition
The Bitmain’s announcement came almost as a reaction to its competitor, Bitfury’s announcement of a SHA256 ASIC chip which occurred two days before the former’s announcement. The “Bitfury Clarke,” while much larger than the BM1391 at 14nm, offers “unparalleled efficiency.”
According to the institution, each chip has the capacity to achieve a hashrate of 120GH/s coupled with its power efficiency of 55nW/GH. Coincidentally, Bitfury’s mining farm is situated in Georgia which the same location where Jihan Wu announced the Bitmain’s new chip.
CEO of Bitfury, Valery Vavilov analyzed the plans of the firm in relation to the recent launch, stating that;
“Bitfury is looking at all factors, including silicon packaging, chip efficiency, optimal power distribution, cooling designs and speed of development when designing our mining hardware.”
He further stated the intention of the company for unveiling the new mining chip stating that;
“We think that this will lead to solutions that deliver the best ROI to our customers — regardless of ASIC size.”
This announcement also came amidst the ambiance of speculation about Bitmain’s Initial Public Offering (IPO) which is speculated to launch “very soon.”
It seems as though, the company responded to the rumor, but whatever the rationale behind the statement, it has sufficiently doused the rumors. The rumor amongst analyst that Bitmain was at risk of losing its dominant industry position ahead of its IPO due to obsolete technological development, the company’s ‘response’ was that this new 7nm launch will show the “strength” of Bitmain’s R&D and will also “further consolidates” the firm’s staggering 70 percent shares in the market.