CFTC Issued a Warning Against Crypto Fraud

The Commodity Futures Trading Commission of the USA issued a warning about cryptocurrency pump-and-dump schemes  
15 February 2018   667

The statement was published today. It includes the latest investor warning from the U.S. commodities and derivatives regulator. CFTC already put a warning that urged caution around investing in cryptocurrency retirement accounts earlier this month.

CFTC joined the other regulator, Securities and Exchange Commission (SEC). which also warned about pump-and-dump schemes around ICOs.

According to the official release, investors should do a research before potentially buying a cryptocurrency. The statement focuses on crypto promotion in social media. Investors should not buy crypto based on social media tips or sudden price spikes. It is important to distinguish hype from facts.

CFTC described the methods by which the pump groups manipulate members to drive prices. They are false news reports about partnerships with small company and investor who plans to pour millions of dollars into a small, lesser-known cryptocurrency or coin.

CFTC is going to seek enforcement actions against those who organize such groups.

HashFlare Users to Face Withdrawal Issues

Looks like Bitcoin cloud mining is not super profitable
18 July 2018   98

Users of HashFlare mining pool can't withdraw their funds, while their contracts are threatened with a temporary ban. Even lower restrictions on withdrawal of funds in the amount of 0.03 BTC caused problems for users, but the service raised the threshold to 0.05 BTC and 0.1 ETH . This is reported by Cryptovest.

In addition, financial pyramids are often promoted under the guise of mining contracts for cloud mining. For last few months, there was a big jump in mining difficulty of many cryptocurrencies, so, old contacts had become unprofitable.

As reported, the reason for the locked funds dates back further - at the beginning of June, so much hashing power was flowing into the Bitcoin network that contracts saw all the mined coins go toward their maintenance fee.

Currently, more and more users who have purchased contracts at earlier stages are facing the fact that they can not withdraw their funds. One of them managed to return the money spent through the bank card operator after filing a corresponding complaint.

To anybody that purchased a Hashflare cloud mining contract with a credit card, it might be possible to get a refund with that credit card as one of my followers tipped me. He bought his contracts at the end of 2017.

bccponzi at Twitter

The hash rate of bitcoin increased from 13 EHash / s at the beginning of the year to more than 40 EHash / s in recent months. The difficulty of mining in the present conditions depends on the circumstances of the specific miner. The cost of bitcoin mining for some of them is $ 4,400, while others spend about $ 5,800. However, in 2018, cloudy mining is called an even more dubious occupation than before, especially when it comes to mining bitcoin.