A put up on Twitter means that Bitmain co-founder Michly “James” Zhang Ketuan may very well be dealing with billions of {dollars} in fines, doable detention, and an entire falling out with enterprise associate Jihan Wu.
Conflicting stories have the crypto neighborhood scrambling to seek out out the small print of one of many business’s most high-profile crises.
Bitmain co-founder on the heart of rising hypothesis and uncertainty
Bitmain is a pioneer in Bitcoin mining {hardware}, controlling gear that powers over 74% of the world’s Bitcoin hash price. Additionally it is answerable for the chips utilized in AI knowledge facilities operating the Nvidia H100.
The corporate at present stands on the intersection of geopolitics, authorized oversight, and inner battle.
On December 21, 2025, crypto business veteran Chandler Guo sparked hypothesis with a cryptic social media put up referencing the ordeal of “deep-sea fishing” by business colleagues. The time period is used to seek advice from secret detention in China, which is value billions of {dollars} over a six-month interval.
Guo mentioned the individual emerged unscathed, however discovered a tough lesson: You may’t belief even your greatest supporters. After they fall, their companions undergo as properly.
“Beside me, I’ve an outdated buddy in cryptocurrency circles who has simply skilled deep-sea fishing. Billions of US {dollars} are mentioned to be concerned, and he has been coping with this concern for half a 12 months. Luckily, he has already come out of it safely… He relied on the connections of his benefactors to defeat his enemies, however he was additionally bitten again by the benefactors’ personal enemies,” Guo wrote.
Observers shortly linked Mr. Guo’s account to Mr. Zhang. Rumors circulating within the crypto business counsel a nice of between $1 billion and $10 billion, however nothing has been formally confirmed.
Some stories say Zang paid a $1 billion nice, however others say he fled to Indonesia two months in the past and continues to be lacking. Leaders of the favored Chinese language neighborhood in X acknowledged two necessary developments.
- Current turmoil in mining operations in Xinjiang and
- Inner battle between Bitmain’s co-founders intensifies.
Twin CEO system collapses resulting from battle between founders
Bitmain’s twin CEO construction, which allowed each Zhang and Wu to guide the corporate, fully collapsed in 2025. Mr. Wu, a graduate of Peking College, reportedly used his political connections to problem Mr. Zhang, a graduate of the Chinese language Academy of Sciences who centered on chip design and manufacturing.
The rift between the 2 firms displays broader business dangers and factors to the hazards of enterprise entanglement with influential backers.
This alleged inner upheaval comes as Bitmain faces rising exterior strain. Mr. Zhan has centered on technical operations, whereas Mr. Wu has led strategic partnerships and enterprise improvement.
The absence of both founder might create an operational hole as Bitmain continues to be the middle of Bitcoin mining all over the world. The corporate is already dealing with a lawsuit from Previous Const. for violating its internet hosting settlement and trying to recall mining {hardware} with out trigger.
Geopolitical dangers and infrastructure vulnerabilities
Past the company dispute, Bitmain faces elevated scrutiny from U.S. authorities over potential {hardware} safety threats. In June, Bitmain and two different firms moved to the USA to keep away from new tariffs and optimize their provide chains.
However nationwide safety issues enhance the chance, as the corporate’s mining infrastructure is embedded in each cryptocurrency and AI knowledge facilities.
Any breach might have ripple results on the worldwide Bitcoin community, highlighting the cryptocurrency’s continued vulnerability to geopolitical tensions.
A latest crackdown on mining farms in Xinjiang, coupled with Mr. Zhang’s alleged detention, has fueled hypothesis of a concerted regulatory push.
The crypto sector stays vigilant as this example might influence the mining {hardware} market, provide chain, and aggressive dynamics.
This put up stories Spark questions on Bitmain’s management and inner conflicts and first appeared on BeInCrypto.
