Bitpay Partners With Bitmain in a 'Multi-Million Dollar Agreement'

On May 2 the blockchain service provider and bitcoin payment processor Bitpay announced a strategic partnership with the mining device manufacturer Bitmain.

Also read: Bitcoin Exchanges Multiply in Japan as Demand from Institutional Investors Rises

Bitpay Enters the Untapped Market of Mining Companies

The Atlanta-based bitcoin company Bitpay has revealed it has entered a “multi-million dollar development agreement” with the China-based mining hardware firm Bitmain Technologies. Bitpay says the company has partnered with Bitmain for a multi-year plan to create advanced open source software for miners, mining pools, and full node operators.

Bitpay details the company will be utilizing its six years of experience building peer-to-peer payment technology. The firm says that it also has helped service “the most significant companies in blockchain mining hardware.”

“At BitPay, we recognize that there is an untapped market of mining companies that require more advanced platforms for their businesses than are available today,” said BitPay CEO Stephen Pair

We value having Bitmain as a customer, and we believe that miners and mining technology providers like Bitmain play a vital role in the security and ongoing success of the Bitcoin blockchain.

Bitmain Believes Bitpay is a Leader in Open Source Development

Bitpay has recently been involved in helping the developers of Bcoin with ‘Extension Block’ testing alongside improving its feature service wallet this month. Alongside this, the startup has been developing its open source Bitcore software for over a year now.

The Beijing-based Bitmain says they recognize Bitpay’s leading role in the bitcoin industry and look forward to working with the startup. Bitmain Technologies founder and CEO Jihan Wu say he’s pleased with the partnership between the two bitcoin-focused companies.

“Bitpay has established itself as a leader in open source development for the Bitcoin blockchain,” said Bitmain CEO Jihan Wu. “We believe that together we can make real improvements in how we secure blockchain transactions and grow the impact of blockchain technology in digital payments.”

The Announcement Stirs Scaling Drama Once Again

Of course the recent partnership has caused many discussions among bitcoin proponents across forums as people have been recently debating the Asicboost and the Antbleed topics. Some believe the business move would be good for Bitmain to work on open sourcing their mining software and hardware with Bitpay. Others who’ve been completely disgruntled with the Chinese mining company said they weren’t a fan of the news at all.

What do you think about Bitpay and Bitmain partnering? Let us know in the comments below.

Images courtesy of Shutterstock, Bitmain, and Bitpay.

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