Summary Bgin Blockchain Limited faces significant revenue pressure due to declining cryptocurrency markets and falling KAS coin prices. BGIN's core operations include mining smaller coins and developing mining machines, with expansion plans into bitcoin and Dogecoin mining by 1H26. Despite a low price/sales multiple, BGIN's revenue is forecasted to decline 62% in eFY25, driven by weak demand and market headwinds. I recommend a Sell rating on BGIN, targeting $2.93/share, as continued market challenges may further impact revenue and shareholder value. Bgin Blockchain Limited ( BGIN ) is a cryptocurrency miner and mining machine developer that primarily focuses on smaller coins like the Kaspa coin. The company came into the public markets at the end of October 2025 through an IPO during a period of significant declines across the cryptocurrency markets. With reported 1h25 sales experiencing a large decline in machine sales and mining pool revenue, Bgin may be facing significant pressure for the coming quarters if the cryptocurrency market continues to decline. Given the challenges faced in the market, I believe shares should be trading at 2.93/share at 1.52x eFY27 price/sales; I am recommending BGIN shares with a Sell rating. Bgin Blockchain Limited Operations Bgin, a Cayman Islands-based company, came to the public markets on October 22, 2025 through an initial public offering, issuing 5mm Class A ordinary shares at an IPO price of $6.00/share. Bgin raised roughly $30mm from the offering that is expected to be used to purchase and/or construct mining farms as well as invest in research and development of proprietary chips designed for cryptocurrency mining machines. Bgin’s lockup period expires 6 months following the IPO, which should land in April 2026. Corporate Filings Bgin is a holding company operating under Bgin HK, Bgin Trading, Bgin Trade HK, Bgin Singapore, Bgin SG, Bgin Infrastructure US, and Bgin Management. Bgin, through its subsidiaries, conducts operations in the US, Singapore, and Hong Kong. Primary operations include mining cryptocurrency and selling mining machines equipped with its 8nm or 12nm ASIC chips designed to mine KAS coins, ALPH coins, and RXD coins. As part of its mining operations, Bgin offers a miner hosting service in which Bgin manages mining machines on behalf of customers for a service fee. Since the release of the prospectus, Bgin has grown its mining fleet from 48,277 machines to 72,825 machines as of September 2025 . Accordingly, Bgin primarily mines KAS coins for revenue generation. Kaspa was launched in 2021 through mining rather than an initial coin offering [ICO] and uses the BlockDAG architecture. Kaspa has a maximum supply of 28.7b coins, building in scarcity for the high-throughput coin. Standard CPUs are capable of mining the coins, making them accessible for various miners. The basis for Kaspa is for faster transactions while remaining decentralized. TradingView Bgin is aiming to grow its operations by a significant measure. As of September 2025, Bgin had 47MW of power in use and is targeting 500 MW of capacity within the next two years. As part of its growth strategy, Bgin is aiming to mine large-cap coins like Bitcoin and Dogecoin beginning in 1h26. As part of this, Bgin is expecting to begin developing mining machines for these larger coins in 1h26, potentially to be both utilized for internal mining operations and for sale. Revenue for FY24 was largely concentrated in Hong Kong, China, at 33%, the United States at 23%, and Singapore at 16%. Corporate Filings Bgin Blockchain Limited Financial Position Corporate Filings Bgin faced a significant decline in revenue generation in 1h25 as a result of lower mining machine sales as well as the significant decline in the KAS coin price, falling from $0.1165/coin to $0.0755/coin. Accordingly, US tariff policies on Chinese imports may impact costs for Bgin as well as disrupt its supply chain for chip fabrication and manufacturing, as well as materials sourcing from China. Corporate Filings Modeling Bgin’s financials, I believe the firm may face continued pressure across its external services, which may be particularly sensitive to the coins mined by Bgin’s machines. This may result in challenging mining machine revenue for the coming quarters following the large drop-off in 1H25. At the top-line, I’m forecasting revenue to decline by -62% for eFY25 to $116mm, largely driven by the pressure on cryptocurrencies, particularly in recent months. TradingView Risks Related to Bgin Blockchain Limited Bull Case Bgin focuses on a niche corner of the cryptocurrency market, mining smaller coins that may offer differentiated and less competitive returns regarding Bitcoin mining companies. Bgin has historically realized strong margins through miner sales and may experience a sharp turnaround if sales volumes were to pick back up. Bear Case The cryptocurrency market may be going into another bear market, potentially resulting in a drop-off of interest by retail investors seeking liquidity and safety. This may result in a continued decline in mining machine sales as well as mining pool revenue going forward. The lower price of KAS coin may result in a substantial reduction of mining revenue going forward, offset by higher volumes mined. Valuation & Shareholder Value Corporate Filings BGIN shares are currently trading at 1.53x price/sales, a relatively low premium for high-growth companies. Despite the low trading multiple, I believe shares may face continued pressure as the market Bgin participants are going through declining coin pricing, potentially impacting broader revenue generation for the company going forward. Using my revenue forecast for eFY27, I believe shares should be trading at 2.93/share at 1.52x eFY27 price/sales; I am recommending BGIN shares with a Sell rating. Corporate Filings
