It seems an end of the road for one of the major crypto mining and blockchain companies, Giga Watt which has now reportedly closed the supply of power and access to its facilities. This information is revealed by a note the company had written to its clients which was reposted in Telegram on January 15, 2019. So that you know, Giga Watt had already filed for bankruptcy in November last year and it has now reportedly informed its clients that any cryptocurrency in their customer wallets is available for withdrawal via the company’s dashboard until March. As far as the issue of mining equipment is concerned, Giga Watt has written to its users that they will receive a notification from the company about the details of data to track their shipment within a period of next two weeks. However, the US-based company also warned that in case a user doesn’t receive the email notification, it means the equipment of the user is locked in the facility and no further information will be shared due to the ongoing legal proceedings against the company. Also, it is only the legal proceedings, and the framework will decide what kind of information the company can disclose to its users and customers.
Laying off employees
According to the Telegram group, there are only a handful of the employees working for the organization to help customers settle their accounts by making withdrawals, conducting verification of know your customer and carrying out important tasks in other related areas. The intensity of the crisis can be gauged by the fact that Giga Watt has not paid salaries to some of its employees since July 2018. The reposted note concludes by assuring the customers that the company will extend full support and inform the customers in case of any additional information or any new changes mandated by the ongoing legal proceedings. The officials of Douglas county – a place in Washington – have already started looking for ways to use the mining facilities of the company for different application purposes like artificial intelligence, data analytics, etc. Giga Watt owes more than $300,000 to the Douglas County in terms of the unpaid utility bills.
Bitmain and Huobi
Along the lines of Giga Watt, we have recently witnessed the downfall of Chinese crypto mining major Bitmain which had already halted its operations in Texas. Bitmain had fired almost its entire staff except for the director of its human relations department and two engineers who are overseeing what is left in terms of remaining operations. Even the crypto exchange Huobi had decided to lay off its personnel in late 2018. Some of the activists in China reported that Bitmain had dissolved the team involved in the operations of Bitcoin Cash (BCH). Further, Bitmain announced in December last year that due to the ongoing bear market, the company had decided to shut down its development and innovation center in Israel, resulting in laying off the local staff working in the facility.