Media: Former Head of Bitmain Launches Matrix Cryptocurrency Platform

Several sources close to Chinese business circles reported that the co-founder and former director of mining giant Bitmain Jihan Wu was preparing to launch a new company called Matrix.

Interestingly, the main client of Matrix will be Wu's former brainchild - Bitmain. Of course, now the new business is negotiating with other companies around the world. Matrix expected to offer custody and credit services, so the choice of Bitmain as a key client is quite reasonable. The mining giant generates a large amount of cryptocurrency that needs to be stored somewhere.

In addition, Matrix expected to launch an over-the-counter marketplace using, among other things, Bitmain coins. This will give great liquidity. In addition, the Asian market is loyal to local businesses.

"Put it this way, they will be the biggest OTC desk and asset-manager [in the world] overnight," one source noted.

Note that currently cryptocurrency trading prohibited in China, therefore, most likely, Matrix will operate under a different jurisdiction. However, some sources believe that the new project of Jihan Wu could become a natural monopoly if the government decides to regulate the industry more closely.

Information correlates with rumors that appeared in March. Then it was reported that the former Bitmain employees, engaged in the development of the company for the Bitcoin Cash protocol, intend to open a startup for the provision of crypto-financial services. 

SOURCE