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(T
Chinese Company Confession: Unable to Meet Increased Demand from Elon Musk After Trump! - Coin Bulletin
Chinese mining equipment provider Intchains Group admitted that it could not meet the increasing demand for Dogecoin after Donald Trump won the US elections
The Dogecoin price surged after the US elections in November 2024, causing challenges for the China-based mining equipment provider Intchains Group to meet the increasing demand.
Intchains announced its financial results for the year 2024, with the company's revenue reaching $38.6 million, while its adjusted net income was $8.3 million. This figure represents a 242.7% increase compared to the previous year.
The number of ASIC chips sold by the company in 2024 was 2,681,500, indicating an 84% annual increase. In particular, the number of chips sold in the fourth quarter reached 1,705,408, far surpassing the 423,040 level in the same period last year.
Company CEO Qiang Ding mentioned that the cryptocurrency market showed a strong performance in the fourth quarter of 2024 and especially highlighted a significant increase in Dogecoin price. As a company providing equipment for Dogecoin mining, Intchains achieved successful results operationally during this period.
The demand for Dogecoin mining devices has rapidly increased, especially after the US presidential elections were won by Donald Trump. Intchains initially underestimated this unexpected demand and struggled to meet the incoming orders. The company has $5.1 million contractual obligations in its year-end 2024 balance sheet, representing the devices that need to be delivered in the first quarter of 2025.
One of the most remarkable moves he made after winning the election was to appoint Elon Musk as the head of the State Efficiency Department (DOGE). This appointment became official as of January 20, 2025, considering the support Musk has given to Dogecoin, it is thought that this development could further increase demand in the mining sector.
According to CoinGecko data, DOGE, which has shown a 10.7% increase in the last 24 hours and at the time of writing this news, is trading around the $0.20 mark.