Is This Chinese Firm Defying Crypto Ban With its Latest Bitcoin Mining Partnership?

By Palak Malhotra
Published October 4, 2021 Updated October 4, 2021
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Is This Chinese Firm Defying Crypto Ban With its Latest Bitcoin Mining Partnership?

By Palak Malhotra
Published October 4, 2021 Updated October 4, 2021

Sino-Global Shipping America, Ltd. has announced that it will be entering a Bitcoin mining machine joint-venture with Highsharp, a blockchain technology firm. Furthermore, Sino-Global has also revealed that it will make a $10 million initial investment to fund the BTC mining rigs’ Joint Venture operations, in the upcoming month. The partnership aims to create their Bitcoin mining machine under the name, Thor. Sino-Global is Headquartered in several corners of the world, including the territory with an absolute anti-crypto regime of Mainland China.

Mr. Lei Cao, Chief Executive Officer of Sino-Global, commented, “This is a major strategic development for Sino-Global with the potential for significant long-term financial benefit. The name we chose underscores our JV’s considerable combined resources, market knowledge, and capacity to address unmet demand for high-quality, reliable digital mining machines. Recent crypto policy changes combined with ongoing global component shortages have served to remove valuable digital mining production capacity. We intend to fill that vacuum and plan to move aggressively as we build greater value for Sino-Global and all shareholders.”

Sino-Global could be the next victim of Chinese Crypto crackdown

The firm was founded in the United States and plans to invest an estimated $50 million over the next few years to support work performed in the U.S. itself, yet its headquarters in Mainland China could be affected by this latest partnership. Amid the ongoing and ever-expanding crypto crackdown under the authoritarian rule of the Chinese Government, Sino-Global could see potential closure instead of its exclusive Bitcoin Mining Rigs project.

The authoritarian government in China started with cracking down on Bitcoin Mining farms in metropolitans first, and further moving down to the smaller provinces, which in turn caused the great mining migration. The Chinese government has successfully shut down hundreds of mining farms, and exchanges, and left individual retailers at the brink of bankruptcy by levying crypto trading and mining in China as illegal. Crypto giants like Huobi and Binance suspended their services in the arena after facing the Chinese regulators’ wrath. Sino-Global is also speculated to bear the burn on China’s crypto crackdown fire.

 

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Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
Palak Malhotra
308 Articles
Journalism & Mass Comm. ‘21 graduate, Palak is a GenZ journalist with background in Lifestyle journalism & PR. At CoinGape, Palak is a junior crypto journalist preparing for Web 3.0

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