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Bitcoin [BTC] mining by Bitmain called out as fraud in a class action lawsuit

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In a recent turn of events, Bitmain, the world’s largest cryptocurrency mining device manufacturers, was sued in the state of California for allegedly mining without the customers’ consent.

According to Crowdfund Insider, a class action lawsuit was filed by Gor Gevorkyan from Los Angeles against the mining giant Bitmain. The lawsuit claims that Bitmain’s machines start at full-power high-energy consumption mode right from the start, even before the user’s account is linked.

The lawsuit further claims that the mined cryptocurrencies during the setup are directed to Bitmain’s account on Antpool servers.

The plaintiff Gor Gevorkyan mentioned that until two years ago, the machines by Bitmain started in a low-power mode with no default account. He added:“Recently, Bitmain modified the startup procedure for its ASIC devices such that the devices immediately start in full-power high-energy consumption mode before the customer’s account is linked to the device and stay in that mode until the setup process is complete. Moreover, the default account setting on the Bitmain ASIC devices is set to contribute to Bitmain’s own account on its own Antpool server.”

He continued:“As a result of this new practice, Bitmain ASIC devices cost more to operate during the setup phase and transfer virtual currency to Defendant rather than the customers.”

Gevorkyan claims that the time required to set up the rig takes a couple hours or sometimes days and during the time, the mined cryptocurrencies, as per their new ASIC miner configurations, are directed to Antpool’s servers owned by Bitmain.

The lawsuit also provides background data suggesting that the mining costs have increased “tenfold” in a span of one year, between 2016-17. Gevorkyan also said that he had purchased Bitmain’s ASIC devices, including the Antminer 9, in January 2018. Furthermore, he added:“Bitmain is the largest single miner of cryptocurrency in the world…and largest single competitor to each of its ASIC device customers because it maintains its own virtual currency mining accounts…(and runs) virtual currency mining “farms” in locations where electricity costs are extremely low, including Russia and inner Mongolia.”

As reported by Bitcoin Magazine in June 2018, Bitmain controls 51% of the overall hash rate in the crypto-verse. Referring to the above, the lawsuit claims that “Bitmain made $3-4 billion in profits in 2017.”

A Twitter user Reina Nakamoto commented:“Naw man they steal the hash while it’s plugged into YOUR electricity for the initiation period at the start. And the guy in the lawsuit alleged this takes from a day to a week, so that’s alot of loss :0. Ack, and they could have used ur “new” miner too :((. Shady biz.”

In a recent turn of events, Bitmain, the world’s largest cryptocurrency mining device manufacturers, was sued in the state of California for allegedly mining without the customers’ consent.

According to Crowdfund Insider, a class action lawsuit was filed by Gor Gevorkyan from Los Angeles against the mining giant Bitmain. The lawsuit claims that Bitmain’s machines start at full-power high-energy consumption mode right from the start, even before the user’s account is linked.

The lawsuit further claims that the mined cryptocurrencies during the setup are directed to Bitmain’s account on Antpool servers.

The plaintiff Gor Gevorkyan mentioned that until two years ago, the machines by Bitmain started in a low-power mode with no default account. He added:“Recently, Bitmain modified the startup procedure for its ASIC devices such that the devices immediately start in full-power high-energy consumption mode before the customer’s account is linked to the device and stay in that mode until the setup process is complete. Moreover, the default account setting on the Bitmain ASIC devices is set to contribute to Bitmain’s own account on its own Antpool server.”

He continued:“As a result of this new practice, Bitmain ASIC devices cost more to operate during the setup phase and transfer virtual currency to Defendant rather than the customers.”

Gevorkyan claims that the time required to set up the rig takes a couple hours or sometimes days and during the time, the mined cryptocurrencies, as per their new ASIC miner configurations, are directed to Antpool’s servers owned by Bitmain.

The lawsuit also provides background data suggesting that the mining costs have increased “tenfold” in a span of one year, between 2016-17. Gevorkyan also said that he had purchased Bitmain’s ASIC devices, including the Antminer 9, in January 2018. Furthermore, he added:itmain is the largest single miner of cryptocurrency in the world…and largest single competitor to each of its ASIC device customers because it maintains its own virtual currency mining accounts…(and runs) virtual currency mining “farms” in locations where electricity costs are extremely low, including Russia and inner Mongolia.”

As reported by Bitcoin Magazine in June 2018, Bitmain controls 51% of the overall hash rate in the crypto-verse. Referring to the above, the lawsuit claims that “Bitmain made $3-4 billion in profits in 2017.”

A Twitter user Reina Nakamoto commented:“Naw man they steal the hash while it’s plugged into YOUR electricity for the initiation period at the start. And the guy in the lawsuit alleged this takes from a day to a week, so that’s alot of loss :0. Ack, and they could have used ur “new” miner too :((. Shady biz.”

Source.ambcrypto

Bitcoin

Bitcoin price prediction: BTC/USD stuck between strong levels of support and resistance – Confluence Detector

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  • BTC/USD went down slightly from $8,811.45 to $8,750.50 this Wednesday.
  • BTC/USD has three healthy resistance levels on the upside at $8,800, $8,990 and $9,000.

After suffering a slightly bearish Wednesday, wherein it fell from $8,811.45 to $8,750.50, BTC/USD has had a bullish start to this Thursday and is currently priced at $8,768.85. Since the price is sandwiched between strong resistance and support levels, further growth might be hampered. On the upside, there are three healthy resistance levels at $8,800, $8,990 and $9,000. While on the downside, healthy support levels lie at $8,755 and $8,530.

BTC/USD Confluence Detector

fxsoriginal

Looking at the resistance levels – $8.800 has the one-hour Previous High, 4-hour Bollinger Band middle curve, 15-min Bollinger Band upper curve, one-hour Bollinger Band upper curve, one-day Fibonacci 61.8% retracement level and 100-day Simple Moving Average (SMA 100), while $8,990 has no confluence detected. $9,000 has the 4-hour Bollinger Band upper curve and SMA 10.

On the downside, $8,755 has the SMA 5, SMA 10, SMA 50, SMA 100, SMA 200 and one-hour Bollinger Band middle curve. Finally, $8,530 has the one-month Fibonacci 61.8 retracement level.


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Bitcoin to soon be accepted at 65,000 Swiss Retailers

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  • 65,000 Swiss Retailers will be able to soon start accepting Bitcoin.
  • The new development comes on the back of a partnership between Bitcoin Suisse and Worldline. 

It is reported that a new system will be available for the 65,000 Swiss merchants currently using Wordline’s nationwide payments infrastructure, dubbed SIX Payment Services. 

65,000 Swiss retailers will shortly be able to start accepting Bitcoin as a means of payment. It comes following a partnership announcement between the Swiss broker Bitcoin Suisse and the European payment and transaction services provider Worldline. 

It is reported that local publication Switzerland Global Enterprise has announced that both companies have signed a letter of intent. It covers ground that they promise to offer Swiss traders and consumers the possibility of paying with BTC. In terms of the partnership, it will be allowing the country’s 65,000 retailers who already use Wordline’s infrastructure to accept Bitcoin payments.

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Bitcoin technical analysis: BTC/USD price is consolidating outside of bullish flag

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  • 2Bitcoin price is trading in positive territory, up some 0.50% in the second half of the session. 
  • BTC/USD price action is within consolidation mode, failing to attract commitment. 
  • The bulls must again breakdown and hold above the $9000 price mark for greater upside. 

BTC/USD weekly chart

The price is sitting just on top of a breached weekly flag structure. 

BTC/USD daily chart

Daily price action is also moving within a bullish flag, subject to a potential breakout higher. 

Spot rate:                   8,771.49

Relative change:       +0.50%

High:                          8,838.90

Low:                           8,707.85

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