Bitcoin Forum

Everybody,

Just to inform you about the practices of these 2 people: mikemikemike and Effect. We have been receiving messages from them with bribe suggestions and threads. This is something that cannot be tolerated. Here are some quotes from their PM’s:

From Effect
“I know mikemikemike in real life. Infact were in the same hotel as I speak. If you want him to stop and delete his posts just pay him off and you can continue running your sham.”
“I really would like to enjoy my holiday, so just speak to him. He's a very determined person, he won't let this go until he has a reason to let it go.”
“I'm just trying to give both of you a way out, it's the only thing I can think of. And it's not the first time he's been paid to keep quiet. He's a very smart guy, but money controls him.”
“But How ever much he says he's not pissed off, he is, you guys screwed him and other investors by upping the share price of CryptX while SCRYPT was just being born.”

From mikemikemike
“So apart from you guys screwing over most of your more serious investors by artificially bumping up the price to 0.095 while all we deviated our funds to Scrypt. I'm not saying this was intentional, but it did fuck us over. I'm saying you didn't think about us. Which is fair enough, this is business, and time is of the essence.”
“If you don't then I'm gonna go fully public with everything I know. It will be said in allllot more detail, spoken in allot better language, and I will give full projections that no offence, make yours look like child's work. I used to do it for a living. When this gets out, and your motives do to, your IPO will never sell, you guys won't make anywhere near as much money, and ill make sure it gets to every article site and forum on the web. I hire people to do that for me.”
“I know this has been a pretty blunt email but I hope you understand where I'm coming from. I've never been that straight edged myself but this is ridiculous.”
“I'm going to get to work on my own projections tonight if I don't hear from you and make them public”

fair so far, where's the bribery?

Please explain how we are funneling funds to our solar company?

I've explained it above. You are lying to your investors with false projections, your reinvestment strategy is set out to maximise hosting fees. As such, you are taking away the early dividends from you investors to pay yourself in fees, you know as well as I do, and as well as anyone else who now views this thread, investors will never see a return even close to what you have told them, while all this time, you are going to pay yourself 10,000 BTC in hosting fees.

Please check out all competition about the hosting fee and also pls calculate the costs to build a datacenter to hold 1,500 TH/s.

Thanks, it's nice to hear from someone else I'm not crazy. Best case : 707 BTC. That's less than a 10% yield. Worst case your hanging around for 21 weeks without dividends and they pay themselves over half a million dollars in fees.

Source for PETA owning a solar company?

Also anyone know the total divs up to this point?

If you go to the website, grab their names, and search through LinkedIn, you will find the owners. It's got there what they do.

Total divs have been good up until this point. But this new update is going to kill them off

What is the exact total divs? If it is less than 3,000 btc then they have technically never made a profit.

I am starting to think petamine is just a complex scheme to sell electricity. $0.45/kwh is about 10 times what you would get selling to the grid.

Then learn your lesson and stop supporting companies blindly just because you invested in them.

A reply of yours, quoted below, was deleted by the starter of a self-moderated topic. There are no rules of self-moderation, so this deletion cannot be appealed. Do not continue posting in this topic if the topic-starter has requested that you leave.

You can create a new topic if you are unsatisfied with this one. If the topic-starter is scamming, post about it in Scam Accusations.

This is apparently something peta really doesn't want you to know.

Please read all of the below if you are thinking about investing in this project. It would be nice if someone who isn't so infatuated with this stock could back up my claims as the extortion strategy is apparent, and can be seen by the facts. This can simply be done by checking the projections against the facts. Even if you don't want to read all the below, please just look at the projections and read the first few paragraphs of this post.

Please don't say in a few months you wern't warned.

Firstly, let me explain my situation. I was a stanch supporter of PETA-MINE but over the last few days have become aparant to their true intentions, and as such, feel it is necessary to vindicate myself by letting people know exactly what is going on. Since I have started doing this they have clearly ignored all of my questions, as they know as well as I do they uncover the truth behind their project. Now, they have deleted all my posts and made false accusations about character and bribery requests, both which are utterly false. I will post at the bottom in full the actual PM that was sent, and not just a cut out that suits their agenda.

Please understand, I'm trying to help the community here by alerting them to an attempt to extort them. I will post below the most recent messages that were deleted that highlight their incompetence at covering it up. I am open to all and any questions.

Here is a quick overview of what they are doing.

Firstly, they have purchased a large number of shares off a big holder, they have then created a fancy prospectus and are now IPOing those same shares at a 30% increase. Fine, whatever. I can let that slide.

Second, they own a solar power company that collects the fees from this project, this is how they make money.

Thirdly, They have posted utterly false projections about the increase in hashrate, using a linear increase of 6+ PH every ten days for this next year. these figures are utterly misleading, and ill get to why they have done this. please see below for the projections, and please see the bottom of this thread for a backup if and when they delete them to cover their tracks.

Fourthly, they have committed 90% of all revenue for reinvestment on a sliding scale of 4% downwards every ten days. Now for those that arn't putting this all together, this means that all the early funds will be used to get new machines, while all the later funds will be used for dividends. But as they know, the network will increase at allot more than 6 PH every ten days, meaning dividends at a later scale will be worth significantly less than dividends at early stages.

Why have they done this? To maximise the number of machines they are hosting, ultimately, to funnel money from the capital that is given to them by investors, into their hosting and solar power company.

Here are the projections where you can see for yourself.


https://docs.google.com/spreadsheet/lv?key=0AjI5bgsiFJAidHgwa0UyTHNEVG1lbDdvN2FMTExvOHc&usp=drive_web

Below I will post the most recent posts that got deleted, and at the bottom I will post the PM I sent, which while outlines my pissed off nature at the way they have done business, moreso outlines what they are trying to achieve.


But ken, what you are missing is that although the total hashrate is allot higher, your holdings as an investor are less, because the shares have been diluted, you are also missing that because of the 30% higher share price, your return on investment is allot lower, and on top for that, the dividends at July will only be a 30% payout, instead of the current 50. So while everything appears better because of the increased hashrate, in reality, as an investor, you are allot worse off.


They arn't splitting any costs. There are probably near zero variable costs. All I'm going to say is do your research. The projections are purposefully misleading so they can take an opportunity to maximise their own profits. If you do your research properly you will realise what's going on here.

And the fact you've actually seen the projections and are still coming here to argue speaks volumes about your state of mind allot more than it does mine.

Here's the projections for anyone that is interested. I'm expecting someone to put all the pieces together shortly.

https://docs.google.com/spreadsheet/lv?key=0AjI5bgsiFJAidHgwa0UyTHNEVG1lbDdvN2FMTExvOHc&usp=drive_web

Anyone who actually does some research will know exactly how they are going to bleed this project to death, using capital your going to give them. Your basicly going to pay for their retirement while everyone else here is going to be left bag holding a dying stock.

It shouldn't take a former analyst to work this out. All the facts are well within your reach, I'm just giving you a push in the right direction.

Hint. LinkedIn.

If they don't restructure this project in a way that has benefit for their investors and not just them I'm going to make another thread and post actual projections that have some basis with reality, along with how their going to make money, why they have structured this the way they have, and what's going to happen to investors. People who arn't so infatuated with this stock will understand exactly where I'm coming from.

Edit: FYI, editing your post to defame me is pointless. The facts will speak for themselves. I am doing this because I was a huge supporter of this project, someone who has told people countless times this is a good investment and they should trust these people, and I'm not going to sit here why they turn this into a way of lining their pockets and screwing investors.  I'm doing this because its the right thing to do.

Please understand, I'm 2000% up since late November day trading securities like this, the money I didn't make over the past 48 hours is equivalent to what I'd spend on a good night out at the casinos. So you can stop with the whole butthurt argument. This is about doing the right thing and writing my wrongs, not some silly trying to make myself feel better by destroying other people's investments. I'm not that sort of person.

Please, just do your research, make your own projections, and take an unbiased view. If you do that and still come back thinking this is a good investment then you should probably just buy and hold. I'm hoping by bring this to everyone's attentions cryptX will drastically change their strategy. I'm doing this for your benefit, not mine.


Not that you'll answer my questions but whatever,

1) why have you tried to mislead investors with false projections? Is it not true you have greatly exaggerated investor returns to try and push people into buying an IPO?

2) you say you want the project to succeed in the long-term, but you must know mining hardware has a shelf-life of about six months, why are you trying to stretch it out for as long as possible, instead of paying an optimum dividends strategy that would give investors a better return? Is it not to pay yourselves the most amount of fees?

3) this is a good one, you said before you changed the fees in PETA before because of Scrypt taking the costs, now it's become apart this wasn't true, you have changed your tone and admitted this is where you make money, why didnt you just come clean about this in the first place?

4) you say investors will be better off as its 15 GH/s, but you are allocating the first few months, which are the most profitable, to reinvestment, is it not true that the way you have split reinvestment costs, investors will never see this benefit? And by the time reinvestment percentage hits acceptable levels the hashrate would have gone up so much that dividends will dry up and the only thing that will stabilise is the fees? Going back to question 1 but is it not true you have tried to cover this up with utterly misleading projections? Projections you know are false? To make the most amount of profit for yourselves?

5) is it not true that when question 4 is realised, and people find out they are paying nearly double for their shares, and dividends are less than a third of what they are now, the share price will take a catastrophic fall?

6) do you honestly value this company at 8000 BTC? I mean, if I have a 1TH/s mine, but I'm only paying out 10-20% of that's assets income as dividends on a rising scale, and the asset value is decreasing at a rate of 40% a month, is it not true that while that asset might be worth the 8000 BTC at the beginning, because of the decreasing value, the company itself as a business proposition is only worth the value that can be extracted from that asset? So in this case, less than 2500BTC to investors, while the rest is paid to you guys in fees? Why are you valuing this at 8000 BTC when as a business proposition it is actually worth allot less? Is this whole mess not because you are trying to extract as much value possible out of the asset for yourselves instead of paying it to investors?

7) why have you not fixed the projections?



Look, I know the answer to all of those questions, so do you, but I don't expect you to come back with an honest answer to any of them. The answer to number 7 is to try and hide the answers to all of the other questions. You can try and BS your way through this, but the facts speak for themselves. You do realise after a few months you will be outcasts in this community the same way mark karpless and Danny Brewster are? The only difference is some people would argue this was down to incompetence while you will seem as cold hearted extortionists?

With all your public information, including your LinkedIn profiles out in the open, do you not think the blowback is going to be allot bigger than the money you can skim from investors?

Not that ill get an answer but whatever. If you could just answer question one or seven that would be great.

gosh this is exciting...

just remember in future not to count your chickens. I mean, if you're 2000% up already, what do you care?

For those who have already made more than they put into (in fiat) the bitcoin space, I believe there should be an element of "not giving a fuck". Especially with the high risk/reward ratios that still prevail in this space.

Calm down and offer some constructive solutions instead of throwing your toys out the pram :)


PS - I do actually value your posts mike... just I don't take them totally seriously.

PPS - can you offer up a clear explanation of why effect sent that message to cryptx and what he hoped to gain from it? What is effect's relationship to you, can you say whether or not effect is an alternate account of yours?

Everybody,

Just to inform you about the practices of these 2 people: mikemikemike and Effect. We have been receiving messages from them with bribe suggestions and threads. This is something that cannot be tolerated. Here are some quotes from their PM’s:

From Effect
“I know mikemikemike in real life. Infact were in the same hotel as I speak. If you want him to stop and delete his posts just pay him off and you can continue running your sham.”
“I really would like to enjoy my holiday, so just speak to him. He's a very determined person, he won't let this go until he has a reason to let it go.”
“I'm just trying to give both of you a way out, it's the only thing I can think of. And it's not the first time he's been paid to keep quiet. He's a very smart guy, but money controls him.”
“But How ever much he says he's not pissed off, he is, you guys screwed him and other investors by upping the share price of CryptX while SCRYPT was just being born.”

From mikemikemike
“So apart from you guys screwing over most of your more serious investors by artificially bumping up the price to 0.095 while all we deviated our funds to Scrypt. I'm not saying this was intentional, but it did fuck us over. I'm saying you didn't think about us. Which is fair enough, this is business, and time is of the essence.”
“If you don't then I'm gonna go fully public with everything I know. It will be said in allllot more detail, spoken in allot better language, and I will give full projections that no offence, make yours look like child's work. I used to do it for a living. When this gets out, and your motives do to, your IPO will never sell, you guys won't make anywhere near as much money, and ill make sure it gets to every article site and forum on the web. I hire people to do that for me.”
“I know this has been a pretty blunt email but I hope you understand where I'm coming from. I've never been that straight edged myself but this is ridiculous.”
“I'm going to get to work on my own projections tonight if I don't hear from you and make them public”

Myself and others have stated in the scryptx thread - these guys are just selling preorders at an inflated cost (and then charging hosting fee's to boot)

This is no "investment"

I'd like to add my thanks to mikemikemike.

I was going to hold trough the IPO out of pure laziness, but your statements prompted me to snap out of it and check things in much more depth and nothing added up, especially their difficulty predictions. Having done some mining predictions in the past myself, it is quite obvious that setting dividends low right after the IPO is really bad for investors, as they will have hard times climbing back up, reinvestment or not.

And the way CryptX handled everything is truly annoying (not to mention the other words that come to mind) so I sold everything the night before the IPO, while I was still on good profit.

Similarly I did the same and sold the night before the IPO. In no small part to mikemikemike,

why mike is buying before ipo if he wanted to get out as well?

"in no small part" = thanks to
?

Mikemikemike, I respect your opinion and I'm glad you share it.
What do you think of the recent move by cryptx (purchasing the remaining shares of the IPO) ? You often blame them for not committing and having shares in their own projects. Does this reassure you ?

I'm still puzzled by this.

Assuming I want to have a full mining capacity of 2% of the network.
I have some (1%) power capabilities. Fine.
I need to buy shitload of machines... don't have the money, or not all of it. Going for IPO/Havelock.
With the system I put in place, I'm getting fees paid out that cover for costs. Plus making some decent profit.

So, the idea is working.

I'm letting shareholders profit, and I don't take part in it?
Of course Cryptx should buy shares. Actually, it should keep doing it, with the long term intent of buying ALL of them and get the profit themselves.

It is a long process, they still need shareholders money/funds to support... but... where is the problem in my thinking? If it is a profitable model, why keep selling it out?
The said they funded more than a million with their own money. Now most likely they have to buy shares... So what? I would buy shares of my business. Else why would I do it? Once you are done with external capital need, you want the thing to work for you. It may take 2-3 years, but long term... why not?

Guys,

Did You find new options to invest after cashing PETA?

I'm still half stuck on Scryptx...

But still no other serious thing... I may be in the wrong corner to catch opportunities.

Is it possible to get Havelock to freeze the funds in escrow and re-distribute them amongst all unique shareholders?  I.e. can we just execute the 110-or-whatever% buyback and save everyone from the rough fucking we're about to get come May 31st (or whenever ScryptX decides its done selling monopoly shares)?