Nasdaq-listed bitcoin mining machine maker Ebang (EBON) has announced it established a wholly-owned subsidiary in Singapore, in preparation for establishing a cryptocurrency exchange there.
According to an announcement the company published, it’s now trying to get the relevant governmental approval and a license to operate the cryptocurrency exchange. Dong Hu, Ebang’s chairman and CEO, was quoted as saying:
With our newly established subsidiary in Singapore, we expect to expand our industry chain layout from providing equipment to offering trading services.
Ebang cautioned its shareholders that there is no guarantee it will receive such approval “on commercially reasonable terms, or at all.” The China-based company went public in June on the Nasdaq exchange, and raised over $100 million offering its shares at $5.23 each. At press time, Ebang’s shares at trading around $5.4.
Last month, Ebang revealed it was looking to set up a cryptocurrency exchange. The firm has been suffering loss for two consecutive years now, losing $11.8 million in 2018, and $41.1 million last year. The company’s debut on the stock market came after that of Canaan, another cryptocurrency mining hardware manufacturer, which raised $90 million via its IPO.
It’s worth noting that Ebang rival Bitmain’s spin-off Matrixport has recently also launched a cryptocurrency derivatives trading platform, Bit.com. The exchange offers both cryptocurrency futures and options, allowing traders to use leverage for their positions.