2019 International Digital Mining Summit Forum: Reconstructing Digital Mining, a Bright Future

International Digital Mining Summit (IDMS)

On December 20, the closed-door meeting of the "100P Computing Power Club" was held in a low-key manner, but the scene was extremely lively. The closed-door meeting was originally planned for less than 100 people, but under strict control, more than 200 people showed up in the end. Not only was the seat full, but some people even had to stand.

These people come from all over the world, including compatriots from the motherland and international friends. They have traveled thousands of miles to Shenzhen to attend the meeting because they are connected with "mining". They are mining machine manufacturers, mining pools, mine owners and miners.

At present, it is no longer a bear market, but a carnival of the bull market; it is no longer a closed-door meeting, but a family dinner. Brothers and sisters gathered here enthusiastically.

The on-site guest lineup was strong, bringing together almost all the heavyweights in the digital mining field at home and abroad. In a warm atmosphere, the meeting also successfully elected the chairman, vice chairman and directors of the "100P Computing Power Club".

In everyone's eyes, 100P is not a threshold, nor is it a synonym for vulgarity and danger, but a direction, a goal, and a driving force for moving forward. The "100P Hash Power Club" gathers the power of miners, promotes business integrity, and makes this winter no longer cold.

However, all this is just the beginning, the real show has just begun.

01

“Digital mining is the basic ecology of the blockchain industry”

On December 21, the banquet hall on the 3rd floor of Shenzhen Marriott Hotel Nanshan was bustling with people. The "Reshaping the Future 2019 International Digital Mining Summit Forum" co-organized by Lieyun Finance, Bitmain, Y2K, and Wayi had not yet begun, but the check-in desk, booths, corridors and other places were full of guests, and people were coming and going, making it quite lively.

International Digital Mining Summit (IDMS) check-in area

At 10 o'clock, the forum finally opened with great enthusiasm amidst everyone's anticipation.

At the beginning, Chen Jinsong, CEO of Lieyun Finance, delivered a speech on behalf of the organizer. He said that under the background of the rapid development of blockchain technology, blockchain technology has been applied in various fields such as finance, medical care, education, and transportation. Government officials, professors, entrepreneurs and even ordinary people are getting in touch with blockchain. Computing power is an important factor in the blockchain industry. Digital mining is the basic ecology of the blockchain industry, an indispensable part of the blockchain industry, and a new form and new growth point for social and economic development.

Fan Xiaojun, Sales Director of Bitmain Asia Pacific

Then, Fan Xiaojun, Sales Director of Bitmain Asia Pacific, delivered a keynote speech titled "Carrying Mining to the End". He said that mining is an option to invest in future digital assets, and the industry is now at a turning point. If you are ready, you can do it at any time, and it is never too late to enter the market.

He emphasized that if you are not willing to own a digital asset for ten years, then don’t even think about owning it for ten minutes. This is the first hurdle that so-called value investors must overcome when deciding to buy digital assets.

Jiang Zhuoer, founder of Litecoin Mining Pool and Bitcoin evangelist

While most people believe that the current market is a bear market, Jiang Zhuoer, the founder of Litecoin Mining Pool, firmly believes that this is a bull market and gave a keynote speech titled "How to Make Money by Mining in This Bull Market". He said that in the long run, we are still in a long bull market cycle, that is, in the four-year cycle, we are still in a bull market cycle. Although the price has fallen a lot now, this has happened in history.

“In the history of digital assets, there have been several declines. No bubble has remained intact after a long period of decline. Therefore, digital assets are not a bubble. Digital assets must have intrinsic value. And this value is that digital assets bring economic freedom through decentralization.”

02

“The halving period makes the digital asset market more unstable”

100P Computing Power Club Launch Ceremony

Immediately afterwards, the "100P Computing Power Club" was officially launched. A Kun (Yuan Yankun), partner of Lieyun Finance/Secretary General of the 100P Computing Power Club, introduced to everyone that the "100P Computing Power Club" was initiated by Lieyun Finance in conjunction with well-known mining machine manufacturers, mining pools, mining farms, and miners. It takes resource sharing and win-win cooperation as its core values, and its vision is to become the most influential leader organization in the global digital mining industry, and jointly promote the sustainable development of digital mining.

Regarding the development of digital mining in 2019, TokenInsight partner Zhao Wei brought us the "2019 Mining Annual Research Report". He said that the greatest value of blockchain technology in financial scenarios is to reduce transaction costs in economics. Mining does not consume as much energy as everyone imagines, and the process basically uses waste electricity, abandoned electricity and hydropower.

Peter, Vice President of Global Marketing at MineBest

At present, the digital mining industry is experiencing ups and downs. Peter, Vice President of Global Markets at MineBest, gave an answer to the future development of the digital mining industry in his keynote speech titled "The Future of Mining". He said that the halving period makes the digital asset market more uncertain, and the reduction in block rewards will force small miners with low profit margins to concentrate on the top mining capital to cope with the strong trend of BTC halving.

In his keynote speech, BTC.com CEO Zhuang Zhong also introduced the opportunities and challenges brought by the halving. At the same time, he also emphasized that after the halving of digital assets, miners and mining pools face four major challenges: first, the return on investment ratio is reduced; second, the available working capital is reduced; third, the risk tolerance is reduced; and fourth, low-computing-power mining machines are facing elimination.

03

“Bitcoin still has room to fall”

Afterwards, Roger Ver (Bitcoin Jesus) sent a video blessing to the forum. He was very willing to participate in this event, and expressed regret for not being able to be there, and looked forward to participating next year.

On-site Dialogue

In the "Dialogue" session, Peter, Vice President of Global Markets at MineBest, James Parker, Business Development Director at JGroup Aoi, and Ling Ziang, Managing Partner of Feiya Capital and Co-Dean of Zhike Business School, discussed mining from a global perspective.

Ling Ziang said that according to his Bitcoin valuation model paper under the equilibrium of the miner market, Bitcoin still has room to fall and is expected to fall to between US$5,200 and US$5,800. After that, as the output is halved, the price of Bitcoin will continue to rise steadily for a period of time unless there is a change in DCEP.

James Parker believes that as various compliant institutional investors enter the market, there is no doubt that the price of Bitcoin will rise in the future. This is the common view and voice of practitioners.

At the same time, Peter also predicted that Bitcoin will definitely rise. His reason is that more and more institutions will enter the market to allocate this alternative investment asset and avoid global financial risks.

04

“Mining will definitely be one of the best industries in the future”

Tian Xin, co-founder of Ant Pool

In the afternoon session of the forum, the first guest, Tian Xin, co-founder of Ant Pool, brought everyone the "Mining Guide". He said that the market is still unpredictable, but mining will definitely be one of the best industries in the future, because decentralization is the consensus of blockchain technology, and mining is the best way to understand blockchain technology.

In his opinion, mining will be more dependent on resources in the future. Resources are divided into two types: one is unlimited resources that can be obtained by anyone; the other is limited resources, and owning these will gain more dividends and a better position in the future.

Li Peicai, CEO of Shanghai Waiyi

Later, Shanghai Waiyi CEO Li Peicai introduced a new mining machine sales model, namely 0 yuan purchase. In addition, he also said that mining machines are a stock game. The more people buy mining machines, the worse it is for the miners in the front. But buying digital assets is a collective game. The more people buy, the higher the price of digital assets will be, which is good for everyone.

At the book launch of "A Brief History of Bitcoin Mining", the author, A Kun, partner of Lieyun Finance and secretary general of 100P Computing Club, introduced in detail the original intention of publishing the new book. He said that first, the industry is still in its early stages and its development is still relatively rough. There are not many industry standards, but there are many tricks. Second, there are many articles about Bitcoin mining, but there are no books that systematically write about the mining industry.

At the same time, he hopes that through this book, readers can understand Bitcoin mining, avoid mining pitfalls, and easily mine Bitcoin.

05

“The energy consumption ratio of mining machines has reached its limit at this stage.”

Roundtable of "A Year in Digital Mining"

In the roundtable session of "A Year in Digital Mining", A Kun took the stage again as the guest host. He mentioned that this roundtable is a special edition of Lieyun Finance's "Friends in the Mining Circle". In the future, "Friends in the Mining Circle" will be upgraded, and the activities will include tea exchanges in the afternoon and wine exchanges in the evening.

In the discussion on the current development, Wu Haoran, vice president of Hummingbird Miner, believes that the energy consumption ratio of mining machines has reached its extreme stage at this stage, and what everyone is competing for is comprehensive services.

Yu Kun, regional sales director of Bitmain, believes that digital assets have been around for more than 10 years since 2009. During this period, many outstanding talents from other fields and industries have helped build a more standardized and professional industry environment. This is a prerequisite for many funds and institutions to dare to enter the market.

Chen Lei, founder of BitBlue Whale, said that under the overall pressure of the industry, the most important thing for the mining industry chain service team is to consider the customer's risk expectations and return expectations, to flexibly change the past understanding and execution of the mining industry, and to have breakthroughs and innovations.

Regarding the impact of fierce competition in the market, Xu Haoyang, co-founder of Microbit Mining Pool, said that fierce competition will benefit consumers and prompt companies to work harder to improve product experience. Although each company may sacrifice part of its profit margin, it will also encourage them to make layouts with a stronger sense of mission.

In the opinion of Qingqing, CMO of Y2Pool, safety, stability and high returns are the three most critical factors of a mining pool. In addition, the product side must also consider the core competitiveness and differentiation of its own products and how to break through the competition with value-added services.

Li Chengcai, head of market operations at Huobi Wallet, believes that computing power itself has a direct relationship with the price of Bitcoin, and he is optimistic about the future growth of computing power.

06

“The fundamental need for mining revenue is innovation”

RRmine Global CEO Zou Yongcheng

Regarding computing power, RRmine Global CEO Zou Yongcheng also expressed his views in his keynote speech on "Decentralized Computing Power Asset Management, Building Trustworthy Computing Power Assets". He said that computing power is productivity, computing power is also an asset, and purchasing computing power is one of the safest channels to obtain digital assets.

Chen Yong, former co-founder of Cheetah Mobile and founder and CEO of BitUniverse

In the view of Chen Yong, former co-founder of Cheetah Mobile and founder and CEO of BitUniverse, there is a large amount of information and skills asymmetry in the trading industry, which makes users full of uncertainty and insecurity on the road to the entire transaction.

Chen Yong hopes to resolve the above-mentioned uncertainty and insecurity through transparency of "trading platforms", "quantitative tools" and "quantitative funds".

BFC COO Grubby

At the event, BFC COO Grubby delivered a keynote speech titled "Changing the Mining Ecosystem, New Domestic Public Chains". With the halving of digital assets, people believe that mining will not be profitable in the next year. Grubby believes that the most fundamental way to improve mining income is to make some innovations to reverse this situation. Only by changing the short-selling mining method to the long-selling mining method can there be another decade of mining.

07

“Digital mining creates huge value for social development”

Roundtable of "Talking about the New Chapter of Digital Mining"

In the last roundtable session of the forum, everyone discussed the evolution of the digital mining landscape, the development of overseas markets, and envisioned the future of digital mining.

Wang Xuejing, content director of Lieyun Finance, said that digital mining has undergone tremendous changes this year, both at home and abroad. On the one hand, the scale is getting bigger and bigger, and on the other hand, it is also developing in a more formal direction. Digital mining has experienced ups and downs and has created huge value for social development. I hope it will become better and better.

RRmine Global CEO Zou Yongcheng hopes that partners in the entire industry can continue to work positively, not go back, and develop this industry better.

HelloEOS founder/RenrenBit CMO Zi Cen said that we are now in the best period of time, there is no better time than this. First, the overall trend has been good, and second, it is still in the best layout stage. 2019 will be the best time in the next four years.

In the view of Kong Meng, founder of VeryHash, the differences between China's mining industry and overseas mining industries can be analyzed in three parts: power resources, infrastructure and manufacturing.

"Domestic electricity resources are moderately priced and abundant in reserves. Overseas low-priced electricity is scarce and unstable, and the construction cost is high, so there is no overall cost advantage. China is better at infrastructure such as road transportation and the Internet. China has a complete mid-range manufacturing industry, and the cost of repair and maintenance is lower."

Regarding the situation of domestic and foreign computing power, BTC.com CEO Zhuang Zhong said that he is more concerned about whether the holder of computing power is Chinese and the physical location of the mining machine. From the perspective of advantages, in the short term, the trend of domestic computing power being physically higher than overseas will continue.

Ma Rui, COO of Better Mining Pool, said that in the future, as the ecosystem gradually improves and industry leaders enter the industry, mining pools will create more new cooperation models and provide multiple types of value-added services, such as computing power hedging. At that time, while costs remain the same, mining pools can spread the profits evenly to every miner.

Li Peicai, CEO of Shanghai Waiyi, believes that in the mining segment, the cost and refined management of everyone are increasingly tested. Hedge and no hedge, high cost and low cost, good management and poor management will all determine whether you make money and how much money you can make. In the past, you could make money just by mining, but now you need a more professional attitude to do these things.

It is worth mentioning that this forum awarded a total of ten awards to commend those who have worked tirelessly in the field of digital mining and contributed to the development of digital mining.

Special thanks to this forum:

Co-organizers: Bitmain, F2Pool, and Shanghai Wayi;

Strategic partners: Antminer, BTC.com, AntPool, Hummingbird Miner, Matrixport, RRMine, Bitfree, BitUniverse;

Strategic support: Mcredit, VeryHash, ViaBTC, Better Mining Pool, Dialogue Blockchain, ArtCreation Era, Cobo Wallet, MineBest.