Canaan Gets $43 Million to Compete Against Big Bitcoin Mining Names
In a move bound to increase competition in the Bitcoin ASIC space, Canaan Creative has raised RMB300 million ($43m USD) in a Series A round.
DealStreetAsia reported the investors include Chinese hotel operator Jin Jiang International Group Co., Ltd, investment firms Baopu Asset Management Co. Ltd. and Tunlan Investment.
Canaan Creative Now Worth $480 Million
Hangzhou-based Canaan Creative was founded in 2013 and has been in the Bitcoin/blockchain space since the FPGA days. The Series A round brings its current valuation to RMB3.3 billion ($480m USD).
The deal also marks Canaan’s territory as a serious competitor to the other big players in ASIC design and manufacture. Bitmain and BitFury have long been the first names off the tongue. The Bitcoin community, which frequently criticizes the mining industry’s consolidation, will no doubt welcome the news.
Canaan’s best-known products today carry the Avalon brand. Avalon, which began in 2012, is known mainly as the first Bitcoin mining ASIC producer — but it struggled after 2013 and the departure of founder Yifu Guo. Canaan took over the Avalon Project and brand name in 2014.
‘Very Bullish About the Future’
Steven Mosher, Canaan’s head of global sales and marketing, told Bitsonline the company was “very bullish about the future”. He detailed some of the company’s upcoming plans:
“Our AvalonMiner 741 continues to sell out and our roadmap for Proof of Work hardware looks very strong. In addition, we are currently planning on releasing a KPU, or Knowledge Processing Unit, this year. Our experience in building power efficient ASICS gives us a unique approach to designing and building hardware to accelerate AI processing.”
The 741 is Canaan’s current flagship product. It is an updated version of the Avalon 721 with similar specs, including improved airflow and cooling design. Testing the unit, Bitsonline found several efficiency improvements and average hashing speed of around 7.8TH/s
What sort of competition would you like to see in Bitcoin mining? Let us know in the comments.
Images via Canaan Creative, Scott Fargo