China Crypto Roundup (Apr. 5-Apr. 11)：Ebang Launched Digital Asset Exchange, Meitu Bought Another 175 BTC
1. Ebang officially launched a digital assets exchange
On April 5, mining machine manufacturer Ebon International announced that its cryptocurrency exchange, EBONEX, was officially launched, allowing QFIs to register and trade. According to EBONEX’s website, the exchange already supports three businesses: cryptocurrency trading, leveraged trading and deposit-coin interest earning.
2. 500.com announced that it will acquire 7 nm mining machine manufacturer Bee Computing
On April 5, 500.com Limited announced the acquisition of a 7nm mining machine manufacturer and the issuance of new preferred shares.500.com has entered into a share replacement agreement with the shareholders of Bee Computing (Hong Kong) Limited. The Company will issue 45,825,530 Class A ordinary shares (valued at US $2.182 each) for consideration of US $100 million in exchange for the total issued share capital of Bee Computing (Hong Kong) Limited, representing approximately 8.18% of the total issued share capital of 500.com as at 31 March 2021.
3. Meitu bought another $10 million of bitcoin, and the cumulative profit may be more than 200% of last year’s net profit
Meitu Hong Kong, a wholly-owned subsidiary of Meitu, purchased a further 175.67798279 Bitcoin in open market trading on April 8, 2021, with a total consideration of about US $10 million, according to an official statement released by Meitu in the Hong Kong Stock Exchange. As of the date of this announcement, the Group has accumulated net purchases of approximately US $100 million worth of cryptocurrencies.
In addition, according to the calculation of CMC market data, if Meitu did not reduce its position in the whole process without considering the handling fee, the above investment has gained a floating profit of nearly 19 million US dollars, which is more than 200% of Meitu’s annual net profit in 2020 (Meitu’s 2020 financial report shows that its net profit is 60.9 million RMB).
4. Hainan aims to build “digital RMB consumption island”
On April 25, Hainan Branch of ICBC, together with Haikou Central Sub-branch of PBoC and Sansha Municipal Government, will hold a digital RMB consumption experience activity with the theme of “Digital RMB Tour in Sansha”. The activity is open to government staff of Sansha City, staff of enterprises and public institutions on the island, residents, etc. The activity is “reducing RMB 99 when 100 is reached” for digital RMB consumption.