The Block: Bitmain co-founder and executive director Micree Zhan is out abruptly

Cryptocurrency miner manufacturing giant Bitmain has gone through a corporate restructuring exercise and its co-founder and executive director Micree Ketuan Zhan is out.

Chinese news outlet Sina Finance reported the news Tuesday, saying that Jihan Wu, another co-founder of Bitmain, has taken over Zhan’s responsibilities.

Wu, reportedly sent an email to Bitmain staff, stating:

“Bitmain’s co-founder, chairman, legal representative and executive director Jihan Wu has decided to dissolve all roles of Ketuan Zhan, effective immediately. Any Bitmain staff shall no longer take any direction from Zhan, or participate in any meeting organized by Zhan. Bitmain may, based on the situation, consider terminating employment contracts of those who violate this note.”

It is unclear why Bitmain decided to oust Zhan, as he was still a major shareholder of the company with a 36% equity stake, according to a Sept. 2018 initial public offering (IPO) filing by Bitmain. Wu, on the other hand, held about a 20% stake, per the filing.

The Block has reached out to Bitmain and will update this story if a reply is received.

Bitmain was looking to launch an IPO in Hong Kong, but its application lapsed earlier this year. There were reports that the company, a unicorn with a valuation of $12 billion, was planning an IPO in the U.S. Bitmain rival Canaan Creative, on the other hand, publicly filed for a U.S. IPO yesterday, aiming to raise $400 million.