Wednesday, June 29, 2022

ViaBTC Raises $2.9M, Will Launch New Exchange This Year

ViaBTC Raises $2.9M, Will Launch New Exchange This Year

ViaBTC, one of the 10 largest bitcoin mining pools and cloud provider, has raised ¥20 million CNY (USD$2.9m) in a Series A round. The company said it would use the money to expand its business globally and launch a new international bitcoin exchange.

Also read: Bitmain: AsicBoost Not a Covert Attack, Never Used on MainNet

Shenzhen, China-based ViaBTC also announced hardware maker Bitmain led the round, with a number of other independent investors. It has a staff of 16 and a user base of nearly 10,000, 80% of whom it says live outside China.

The company said its vision is to “cover the entire industry chain”. To this end, it plans to launch a CNY/BTC exchange in about two months’ time, and follow up with a USD exchange before the end of 2017. It also wants to move into the payments field.

According to Blockchain, ViaBTC mined 4.9% of all bitcoin blocks over the past few days, putting it at #9. It is often in the top five, and in September 2016 peaked at #2.

Tech-Focused Pool Working on Speed, Network Efficiency

ViaBTC was launched in 2016 by Yang Haipo, a mathematics graduate from China’s Northwestern Polytechnical University and former Tencent Weibo employee. Yang also led the R&D team at Scrypt mining hardware firm ZeusMiner before departing to form his own business.

ViaBTC logoViaBTC claims its rapid growth is partly due to being the first Chinese mining pool to pay shares of transaction fees to its members, using the pay-per-share+ (PPS+) method.

It has devoted considerable resources to R&D in the Bitcoin space, in an attempt to improve network speed and efficiency. It deployed a “transaction accelerator service” to help clear transaction backlogs at times when the network became congested.

The company also made history in October 2016 when it devoted 100% of its hashing power to the Bitcoin Unlimited protocol. ViaBTC was the first major pool after Roger Ver’s mining pool to embrace the rival Bitcoin protocol software. In doing so, it set the stage for other pools to follow suit.

Bitcoin mining pools have risen and fallen frequently in digital currency’s short history. Once major names have all but disappeared from the scene as miners switched to pools offering better deals or large operations launched pools to increase their influence.

ViaBTC will have to do everything it can to attracts users in the future. Diversifying into other areas of the ecosystem is one way to achieve greater longevity.

Are mining pools leaders in Bitcoin network improvement? Let’s hear your opinions.

Images via Pixabay, ViaBTC

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