Bitmain Technologies Chooses Hong Kong for its IPO

The world’s largest designer of products that are used for mining cryptocurrencies, Bitmain Technologies, has chosen the market where it wants to debut. The company has said it will be bringing its IPO to Hong Kong.

Bitmain is the third, and largest, Chinese maker of bitcoin miners. It had 85 percent share of the cryptocurrency mining rig market in 2017 according to Bernstein research.

Bitmain’s prospectus was filed late on Wednesday and showed that the company had made a profit of $742 million for the first six months of this year. Most of the company’s revenue came from selling hardware to mine cryptocurrencies according to the filing.

Bitmain intends to use proceeds from the IPO to invest in research and development and expand its production output.

Bitcoin has fallen 65% since hitting its highest price last December of almost $20,000. Today bitcoin is trading around $6,500.

Bitmain’s IPO is expected to be the city’s third largest tech float after Chinese smartphone marker Xiaomi Corp’s 1810.HK IPO of $5.4 billion, and Meituan Dianping, an online food delivery-to-ticketing services platfrom that raised $4.2 billion earlier this month.