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Background introduction: Bitcoin mining machine manufacturer MicroBT (Shenma) sold 60
There are more than 10,000 Bitcoin mining machines, accounting for nearly 30% of the entire network's computing power. According to price estimates, the US dollar revenue from the sales of Shenma mining machines in 2019 may be as high as 9 figures. This also means that Shenma Mining Machinery may now become one of the largest and fastest growing mining machine manufacturers in the world.

At the end of 2019, Yang Zuoxing himself was imprisoned.

According to Wu Shuo Blockchain news, Yang Zuoxing, the founder and CEO of Shenma Mining Machinery, was released on bail pending trial before the Spring Festival, and is expected to enter the court review stage. In addition, in addition to the crime of job embezzlement approved by the Shenzhen Nanshan Procuratorate, the crime of infringement of trade secrets under investigation in Beijing's Haidian District has not yet been concluded. This means that Yang Zuoxing may be involved in two criminal cases at the same time, which also makes the case extremely complicated.

It is reported that Yang Zuoxing was previously a Bitmain chip engineer. In 2016, he failed to negotiate with Bitmain founder Zhan Ketuan due to equity issues. Yang Zuoxing himself recalled, "At that time, Wu Jihan was willing to give 2% of the shares, while Ketuan Zhan was only willing to give 0.5% of the shares." Yang Zuoxing left Bitmain because of this, and then founded Microbit and launched the Shenma mining machine. Since its establishment, Shenma Mining Machinery has quickly jumped to second place in the industry at a rare speed. According to insiders, Shenma Mining Machinery is the mining machine giant second only to Bitmain, accounting for approximately 40% of the market share. Since then, Yang Zuoxing and Bitmain have been involved in case disputes.

July 27, 2017
On the same day, a case involving utility model rights infringement disputes between Bitmain, Suanfeng Technology (Beijing) Co., Ltd., Yang Zuoxing and others was filed in the Intermediate People’s Court of Urumqi, Xinjiang. The dispute revolves around a new utility patent called "Series Power Supply Circuit, Virtual Digital Currency Mining Machine and Computer Server", which was licensed by Suanfeng Technology Company to Beijing Bitmain Company in the form of a general implementation license. After the case was filed, Yang Zuoxing filed a request for invalidation with the Patent Reexamination Committee of the State Intellectual Property Office regarding the patent involved in the case claimed by Bitmain.

In April 2018, the Patent Reexamination Board issued the "Examination Decision on Request for Invalidation", declaring all utility model patent rights No. 201520533250.1 to be invalid. As a result, the “patent” had no basis to rely on, and Bitmain lost the lawsuit. Since then, Bitmain has appealed again against the civil ruling.
The case was filed on October 25, 2018, and an application was made to withdraw the appeal on November 15.

After studying the case, it was found that Bitmain lost the case not because Yang Zuoxing or his company had sufficient evidence, but because the "patent" claimed by Bitmain had not been passed. According to the ruling, Suanfeng Technology Company is the patentee of the utility model patent ZL201520533250.1 involved in the case. Suanfeng Technology Company licenses Beijing Bitmain to implement this patent in the form of a general implementation license. The defendant Yang Zuoxing once worked for an affiliated company of Beijing Bitmain and was familiar with the patents involved. After Yang Zuoxing established Shenzhen Bitmain Company, he began to manufacture and sell a large number of suspected infringing products "mining machines."

On November 8, 2019, multiple sources stated that Yang Zuoxing, the boss of Shenma Mining Machinery, had been taken away by the police for investigation, which may be related to the infringement of the trade secrets of a certain mining machine manufacturer.

On December 12, 2019, the Nanshan District Procuratorate of Shenzhen City disclosed information on the China Procuratorial Network: "Recently, our procuratorate approved the arrest of the criminal suspect Yang Mouxing for the crime of job embezzlement. Currently, the case is being further processed." After verification , Yang Mouxing in the article is Yang Zuoxing, the founder of Shenma Mining Machinery. This time, the Shenzhen police detained Yang Zuoxing on suspicion of embezzling 100,000 yuan for his job.

In response to this matter, Xiao Sa, director of the Bank of China Law Research Association, said, "This time Bitmain has chosen another way to resolve its dispute with Shenma Mining Machinery. It is obvious that the criminal approach seems to be better able to solve the problem."