Bitcoin mining hardware manufacturer Butterfly Labs, has agreed to settle a dispute with the FTC, which accused the company of deceiving customers. According to the FTC’s complaint – which was filed on the 18th of September in 2014 – Butterfly Labs misrepresented the profitability of their mining machines, and also kept customer’s pre-payments without delivering the mining hardware for an extend period of time.
According to an official press release on the FTC website, the settlement bars Butterfly Labs, and its owner Sonny Vleisides, from taking pre-payments for any bitcoin hardware that can not be delivered within 30 days. General manager of Butterfly Labs, Darla Drake, is also under the same constraints.
Jessica Rich, Director of the FTC’s Bureau of Consumer Protection, said that this settlement will ensure that the defendants will not be able to mislead customers in the future.
http://themerkle.com/news/ftc-settles-charges-against-bitcoin-mining-hardware-manufacturer-buttlefly-labs/
