One of the world’s leading cryptocurrency mining equipment makers, Hangzhou-based Canaan Inc has let its application for a Hong Kong IPO of at least $400 million lapse, according to the report of Reuters.
It is expected that the situation with Canaan Inc will cast serious doubt on the prospects for other Chinese makers of bitcoin mining gear such as Bitmain Technologies and Ebang that currently also have IPO applications pending with the Hong Kong stock exchange
As it was stated by Reuters, Canaan’s application lapsed six months after it was filed, the Hong Kong stock exchange’s website showed, amid optimism in the sector despite regulatory uncertainty and a slumping bitcoin price.
Sources close to the process of Canaan’s IPO application claimed that the ock exchange and regulators have a lot of questions related to the sustainability of the company’s business model and its prospects. For now, Canaan could refile its IPO application with updated financial information if it planned to resume the process.
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