The US government sues "cloud mining" Ultra Mining: there are Chinese mines, buy Antminer S17+
U.S. government agencies Texas Securities Commission and Alabama Securities Commission filed a lawsuit against cloud mining organization Ultra BTC Mining and its agency Laura Branch on Wednesday, saying that the computing power of mining machines sold by cloud mining institutions is "securities" and Not registered and fraudulent in promotion.
According to the press release from the United States, the cloud computing power/cloud mining company promised to invest US$10,000 to obtain an annual return of US$10,500, and to invest US$50,000 to obtain a return of US$52,000. The cloud computing company said that the price of Bitcoin will reach 23,000 US dollars in the future, which will allow investors to obtain greater returns.
Wu said that the blockchain was seen in the press release provided by Ultra Mining, and Ultra Mining stated that what they provide is a legal bitcoin mining service, which can be remotely mined by using powerful data centers, and the data centers are located in the United States and China. , the computing power is around 671PH/s. In addition, Ultra Mining claims that they are using the most advanced S17+ Antminer developed by Bitmain.
Cloud computing power is between the cryptocurrency investment and the traditional mining industry. It is also a relatively fast-growing investment form, but its supervision is in a vague area. For cloud computing power, US financial institutions have always been regulated. In March 2018, Genesis Mining, the world's largest cloud computing company, was issued a stoppage order by the securities department of the South Carolina Attorney General's Office because it was not registered as a securities firm. But the ban was lifted five months later.
In China, since 2019, cloud computing power has become a popular game in the currency circle and mining circle. There are more than ten mainstream cloud computing power companies, and countless non-mainstream ones. In the final analysis, cloud computing power is a form of leasing + hosting of mining machines, which connects traditional mine owners and people who want to invest in mining. It reduces the bear market risk for mine owners and lowers the mining threshold for investors. quickly became popular. At present, the more mainstream cloud computing power platforms in China include BitDeer, Huobi Mining Pool, OXBTC, Suyitou, RHY, etc. There is a picture to show the difference between cloud computing power and mining, but of course it is not that simple.
The US government's prosecution is also a reminder to Chinese cloud mining companies and players. Cloud mining is between cryptocurrency investment and mining machine mining, and has certain financial attributes. There is also a lot of exaggerated propaganda on the Chinese platform side. However, China lacks compliance regulation for the cryptocurrency and mining industry as a whole, let alone cloud mining, and users can only ask for more blessings.
Wu said that the blockchain believes that although some cloud computing power platforms have lower prices and higher yields, it is necessary to consider choosing a cloud computing power platform endorsed by large mining machines, mine farms, and mining pools. try to find. In the early years, most of Roasted Cat’s cloud computing power service platforms AMHash, Rubik’s Cube, Bit Power, and computing power tower were shut down later, and investors lost their money. Judging whether the cloud computing power platform is reliable or not depends on the fact that there is no actual mine behind it. If there is no actual mine, it is likely to be a fund, and there is a risk of running away and breaking funds. In fact, there are statistics that say 90% of cloud mining Mines are like this.
