Shares of bitcoin miner maker Ebang slide after trading begins on Nasdaq

Shares of bitcoin mining hardware maker Ebang began trading today on Nasdaq with an underwhelming initial performance. 

As part of the initial public offering (IPO), the China-based company is offering 19.3 million shares priced at $5.23.

THE SCOOP

Keep up with the latest news, trends, charts and views on crypto and DeFi with a new biweekly newsletter from The Block's Frank Chaparro

By signing-up you agree to our Terms of Service and Privacy Policy
By signing-up you agree to our Terms of Service and Privacy Policy

During the initial 15 minutes of trading, the stock's price continued to trend downwards and currently sit at around $4.12. 

Ebang filed its IPO prospectus in April, in which it stated that it had suffered losses and negative cash flows from operating activities in the past. In 2018 and 2019, respectively, the company had net losses of $11.8 million and $41.1 million. 

The company's debut on the U.S. stock market followed Canaan, another Chinese bitcoin miner maker. The latter raised $90 million via its IPO, but the price performance of its shares has remained tepid. The company itself is also entangled in legal controversies after an alleged investor sued the company of securities fraud.

About Author

Celia joined The Block as a reporter after earning her BA in the History of Science from the University of Chicago. Having spent years pondering over why 2+2 cannot equal 5, she is interested in the history and philosophy of mathematics, computation, and cryptography. She also had a very brief stint at Crunchbase News.