In the previous episode, we explored how two pioneering figures—Zhang Nangeng, known as "Pumpkin Zhang," and Jiang Xinyu, famously called "Fried Cat"—helped open the door to capitalization and commercialization in the cryptocurrency mining world. While they laid the foundation for what would become a golden era of mining, it was someone else who truly propelled this industry to its peak: Wu Jihan.
Wu Jihan stands out as a model of elite entrepreneurship in the early days of blockchain innovation. After graduating from Peking University, he entered the investment banking sector and climbed the ranks rapidly—within just two years, he advanced from an investment analyst to an investment manager. By all accounts, his career path seemed far removed from the gritty world of crypto mining. But fate intervened in 2011 when Wu encountered Bitcoin on a BBS forum—and instantly fell in love with it.
He once said that reading Satoshi Nakamoto’s Bitcoin whitepaper felt like discovering a guiding light. In fact, he wrote at the time:
“Bitcoin was a beacon for me then. I knew my life would change because of it. I expected it to rewrite my destiny. I would break free from all my limitations to achieve my true ideals and future.”
Little did he know that this personal reflection would one day come true. Bitcoin didn’t just influence his thinking—it reshaped his entire life trajectory.
From Investor to Industry Leader
By 2013, the mining industry was heating up. It was the dawn of the ASIC miner race, drawing waves of talent and capital into the space. But Wu Jihan had already taken steps ahead of the curve.
As early as 2012, he connected with Fried Cat (Jiang Xinyu), who had returned to China to launch his startup. Recognizing both the potential of Bitcoin and his own financial expertise, Wu made a bold move: he invested in Fried Cat’s venture when few others understood its value. Just six months later, with the mass production of ASIC miners, Fried Cat emerged as Bitcoin’s first major “mining tycoon”—and Wu reaped nearly a thousandfold return on his investment.
But Wu wasn’t content being just an investor. He was also a visionary. Notably, he became the first person in China to translate the Bitcoin Whitepaper into Chinese, earning him recognition as one of the country’s earliest blockchain evangelists.
Driven by deep conviction in the technology’s future, Wu decided to enter the mining hardware game himself. He reached out to Micree Zhan (Zhan Ketai), a former classmate working in semiconductor research, via an email detailing his vision for Bitcoin and the future of mining. After careful consideration, Zhan agreed to join forces with Wu—and together, they founded Bitmain.
The Birth of Antminer and Market Dominance
After six months of intensive R&D, Bitmain launched its first product: the Antminer S1. Thanks to its low power consumption and high efficiency, the device quickly gained traction in a fiercely competitive market.
But challenges loomed. In 2014, external pressures began mounting. Regulatory uncertainty and the infamous collapse of Mt. Gox—the largest cryptocurrency exchange at the time—triggered Bitcoin’s first major bear market. Prices plummeted, and the mining industry faced widespread turmoil. Factories shut down, projects halted, and confidence waned.
Two key players from the earlier era faded from view: Pumpkin Zhang stepped back from operations to focus on chip development, while Fried Cat mysteriously disappeared from the scene—his fate becoming one of crypto’s enduring mysteries, second only to Satoshi Nakamoto himself.
Yet amid the downturn, Wu Jihan chose resilience over retreat. While others abandoned ship, Bitmain doubled down on innovation—developing next-generation miners and capturing market share left behind by collapsing competitors.
This strategic patience paid off. After two grueling years of decline, the market began to recover—and Bitmain was perfectly positioned to lead the rebound.
Bitmain’s Golden Era
By 2016–2017, Bitmain had solidified its dominance. Through relentless R&D and scalable manufacturing, it captured a majority share of the global mining hardware market. The release of the Antminer S9 marked a turning point: highly efficient and widely adopted, it became the gold standard in mining equipment.
At its peak, Bitmain controlled nearly 50% of the global Bitcoin network’s hash rate through its dual mining pools—Antpool and BTC.com. This level of influence gave Wu Jihan unprecedented control over transaction validation and network security dynamics.
Wu earned the title of the new “Mining King,” succeeding Fried Cat’s legacy and ushering in a new age of industrial-scale crypto mining.
👉 See how powerful mining infrastructure shapes blockchain security and decentralization today.
Why Bitmain’s Story Matters
The rise of Bitmain illustrates several critical themes in blockchain evolution:
- Technology meets business acumen: Wu combined deep technical understanding with financial savvy.
- Timing and resilience matter: Success wasn’t instant—it came after surviving a brutal bear market.
- Infrastructure drives adoption: Reliable, scalable mining equipment made Bitcoin more secure and accessible.
Bitmain didn’t just sell machines; it built the backbone of Bitcoin’s decentralized consensus mechanism during a pivotal growth phase.
Frequently Asked Questions
Q: Who is Wu Jihan?
A: Wu Jihan is a Chinese entrepreneur and co-founder of Bitmain, one of the world’s largest cryptocurrency mining companies. He played a key role in scaling industrial Bitcoin mining and promoting blockchain awareness in China.
Q: What made Bitmain successful?
A: Bitmain succeeded due to early entry into ASIC development, continuous innovation (like the Antminer S9), strategic expansion of mining pools (Antpool and BTC.com), and strong supply chain management.
Q: How did Wu Jihan contribute to Bitcoin beyond mining?
A: He translated the Bitcoin whitepaper into Chinese, helping spread knowledge across non-English-speaking communities. He also invested early in key blockchain startups and advocated for decentralized technologies.
Q: Is Bitmain still influential today?
A: Yes. Although facing increased competition and regulatory scrutiny, Bitmain remains a major player in mining hardware and pool services, especially in regions with favorable energy costs.
Q: What happened to Fried Cat and Pumpkin Zhang?
A: Pumpkin Zhang shifted focus to chip design after exiting active mining. Fried Cat vanished after 2014 amid financial difficulties tied to the bear market—his disappearance remains unsolved.
Q: Can individuals still profit from mining today?
A: While large-scale operations dominate, individual miners can still participate through cloud mining or joining pools—but profitability depends heavily on electricity costs and hardware efficiency.
The story of Bitmain is more than a corporate success tale—it's a testament to how vision, timing, and perseverance can shape technological revolutions. As Bitcoin continues evolving, understanding the foundations laid by pioneers like Wu Jihan helps us appreciate the infrastructure powering today’s decentralized networks.
👉 Learn how you can get started with digital assets safely and securely—start your crypto journey now.