(Yicai Global) July 10 -- The co-founder of China’s Canaan Creative is in complete control of the world’s second-largest maker of cryptocurrency mining hardware and operations are continuing as normal, the firm said today as it tried to play down reports of vicious infighting between its founders and directors.

Zhang Nangeng is now both executive director and general manager of the firm, when previously he was chairman, the Hangzhou-based firm said on its WeChat account today.

Directors and major shareholders Kong Jianping, Sun Qifeng and Li Jiaxuan as well as supervisor Tu Songhua are no longer at the company, the WeChat post added. As of the end of last year, Kong had a 11.3 percent stake, Sun 5.5 percent and Li, who is also a co-founder, 15.2 percent. Zhang remains in control with 15 percent equity and 72.6 percent of voting rights.

The management shift makes the company structure clearer and more unified, it added. The firm will continue to use application-specific integrated circuit technology as its main channel to promote its blockchain plus artificial intelligence strategy, it said.

There were earlier reports of a power grab, when Zhang visited the firm’s headquarters late last month and took away the company's corporate seal and business license and dismissed several managers. One of the three co-founders, Liu Xiangfu, was no longer an executive in January.

The stock price of Canaan [NASDAQ:CAN] closed down 1.53 percent at USD1.93 yesterday.

Editor: Kim Taylor