Miners are cold in China, Bitmain expands to Switzerland

Rage Commentary : After the news of the closure of cryptocurrency mines in China, Chinese Bitcoin mining giant Bitmain established a new subsidiary in Zug, Switzerland's "Crypto Valley". The company said that this move is the first step in investing in European business, because it can take advantage of the policy advantages here and work closely with the government.

Translation: Annie_Xu

China-based bitcoin mining giant Bitmain has established a new subsidiary in Switzerland.

Swiss news Handelszeitung reports that the subsidiary, Bitmain Switzerland, is based in Zug, a region that is home to “Crypto Valley,” “a region that is home to a large number of cryptocurrency and blockchain startups thanks to a relaxed regulatory environment.”

The move comes as the Chinese government seeks to slowly and steadily crack down on the domestic mining ecosystem, with sources saying the approach will be to cut off tax incentives and access to land and public facilities needed to run energy-intensive Bitcoin mines.

Handelszeitung reports that Bitmain sees the Zug office as a way to expand beyond its domestic base and into Europe.

Bitmain said:

“Bitmain Switzerland will play a key role in our global expansion.”

The company further said it plans to expand its Swiss operations in the coming months, recruit new staff and work with authorities, including the Swiss Financial Market Supervisory Authority (FINMA).