Chinese lottery service 500.com acquires Bitcoin mining pool BTC.com

Published at: Feb. 16, 2021

Chinese sports lottery service 500.com has acquired a major Bitcoin (BTC) mining pool, BTC.com.

500.com has entered into a share exchange agreement with Blockchain Alliance Technologies Holding Company in the Cayman Islands, according to a Tuesday announcement.

As part of the deal, 500.com will acquire the entire mining pool business of Bitdeer Technologies Holding Company, including the domain name and a cryptocurrency wallet. Both the domain name and the wallet are operating under BTC.com but belong to Bitdeer, which is the parent company of Blockchain Alliance.

According to the announcement, the first transaction under the share exchange agreement is expected to occur on or before April 15.

500.com and Blockchain Alliance have also made certain agreements related to net operating profits. If BTC.com records a net operating profit in the fiscal year ending in December, 500.com will have to issue additional shares to the Blockchain Alliance. Assuming that the minimum amount of the net operating profit is $20 million, a maximum of 22 million additional Class A ordinary shares can be issued.

In contrast, if the BTC.com mining pool business records a net operating loss during the same period, 500.com will be entitled to repurchase certain Class A ordinary shares held by the Blockchain Alliance.

500.com is a New York Stock Exchange-listed company (WBAI) offering a range of online lottery services. The company has been moving into the crypto industry recently. In early February, 500.com purchased 5,900 Bitcoin mining devices at $8.5 million. In January, 500.com announced that its private placement subscription price will be settled both in the U.S. dollar and Bitcoin.

Tags
Bitcoin
Business
China
Cryptocurrencies
Mining
Sport
Related Posts
Bitmain reportedly suspends Bitcoin miner orders amid booming secondhand supply
Chinese mining giant Bitmain is reportedly scrambling to respond to market conditions amid a major crackdown on crypto mining activity by local authorities. According to a Wednesday report by Chinese news agency Sina Finance, Bitmain has halted global spot sales for its new Bitcoin (BTC) mining devices in order to avoid losses by customers amid massive selling on the secondary market. By postponing the sales, Bitmain intends to help miners exiting the industry get better prices for mining equipment and protect the firm from further price declines over the longer term, Bloomberg reported. A Bitmain spokesperson said that the company …
Bitcoin / June 23, 2021
Miami mayor offers city's clean nuclear power to Chinese Bitcoin miners
With Bitcoin (BTC) mining concentration expanding in North America, Miami mayor Francis Suarez is looking to position his city as a hub for crypto mining activity. Speaking to CNBC on Thursday, Mayor Suarez said he is inviting foreign mining companies to consider establishing data centers in the city. According to Suarez, Miami’s ample nuclear electricity supply should attract Bitcoin miners looking to adopt clean energy sources for their operations, especially amid the current spotlight on the supposed carbon footprint of crypto mining. Mayor Suarez has previously weighed in on the issue claiming back in March that 90% of Bitcoin mining …
Adoption / June 18, 2021
Four North American Bitcoin miners that could benefit from the East-West shift
Even before China finally wielded the ban hammer on crypto mining, Bitcoin (BTC) miners in North America had been building up their capacity amid efforts to gain a larger share of the global hash rate distribution. From building bigger data centers to acquiring hardware inventories, these establishments have been making concert efforts to balance the hash-power dichotomy between the Eastern and Western hemispheres. North American Bitcoin miners often have to contend with energy usage concerns as well and some have been keen to partner with oil and gas firms, becoming buyers of last resort for flared gas. Indeed, American oil …
Bitcoin / July 18, 2021
Bitcoin miner firm Ebang launches Ebonex crypto exchange
Ebang, a publicly listed company providing mining hardware for cryptocurrencies like Bitcoin (BTC), has officially announced the launch of its own crypto exchange. According to an announcement on Monday, qualified investors will be soon able to register and trade on Ebang’s cryptocurrency exchange dubbed Ebonex. Ebang CEO and chairman Dong Hu said: “In recent years, we have made a considerable investment in R&D talent recruiting, as well as product innovation and iteration. The launch of our cryptocurrency exchange business will not only expand the revenue sources from our cryptocurrency business but also optimize the development of our blockchain industry chain.” …
Bitcoin / April 5, 2021
Canaan expects minor revenue drop in 2022 despite crypto mining crisis
Cryptocurrency mining giant Canaan continues to generate significant revenues from crypto operations despite the ongoing crypto mining crisis. Canaan’s total revenue for the first nine months of 2022 was roughly 4 billion Chinese yuan (RMB), or about $573 million, a spokesperson for Canaan told Cointelegraph. As the firm expects to generate another 310 million RMB ($46 million) in Q4, the total annual revenues is expected to amount to 4.3 billion RMB ($619 million). The amount is down around 14% from Canaan’s RMB-denominated revenue of 4.9 billion RMB last year. In USD, the total revenues were down about 21% from $783 …
Bitcoin / Dec. 28, 2022