Yahoo into Cryptocurrency Space – Mining Shifting From “Hobbyist ‘Garage’ Miners to Industrial OperatorsMarch 27, 2019
Bitcoin miners are having a hard time as the bear market has depressed the price of the cryptocurrency and the proceeds from mining does not any longer covers for the expenses.
Bitfarms CEO recently stated that it has been very challenging for cryptocurrency miners to sustain their profitability.
Fulford stated, “With the decrease in the price of BTC and increased difficulty in mining, these participants have failed to recover original hardware costs which will deter the further investment. As in any nascent industry, markets are likely to experience volatility, and things are likely to take time to mature. Going forward, external investment capital is likely to be reserved for best projects, which are led by experienced operators.”
The Bitcoin mining industry is shifting from “Hobbyist ‘garage’ miners to large industrial operators.”
Richard P. Donoghue, Attorney for Eastern District of New York, stated, “As alleged, the defendant had defrauded investors thereby making false promises and eventually sending fraudulent balance statements, therefore, hiding the fact that he was stealing money for personal use.”
He further added, “The defendant’s fraud ends now, he will be held responsible for his criminal conduct.” This, he stated when talking about the CabbageTech company fraud that defrauded investors out of $200,000 in cash. If found guilty, the operator will be subject to a maximum sentence of 20 years behind bars.
Christopher Wray, FBI Director recently stated, “Criminals have always adopted innovations and new technologies to achieve illicit goals, and it is our job to adapt and stay ahead of the threat.”
While mining is getting harder and several fraudulent operators are getting caught, the US government has been trying to break the anonymity factor in Bitcoin. Newer EU regulations are making it even harder for investors to obscure their identity while they are buying the Bitcoin.
Catherine De Bolle, Europol Executive Director stated, “The dark web is not dark as you might think. When you buy or sell illegal goods online, you are not really hidden from law enforcement, and you are putting yourself in danger.”
Bitcoin is considered to be a revolution due to its potential to disrupt the financial industry. Cryptocurrency exchanges serve to be the gateway into the crypto market. These exchanges open the market for the investors and also contribute to a great deal in the development of the cryptocurrency space.
The latest in the cryptocurrency market is about Yahoo jumping into the cryptocurrency bandwagon. Yahoo will be launching their crypto exchange in Japan, under the name TaoTao. The Taotao’s website reports that about 40% of the shares of the company belongs to 100% Yahoo! This is a subsidiary Z Corporation Ltd. CMD Lab Inc. owns about 60% of shares.