BFL creates new charity project to donate 1000 BTC to [ROFL!]

[iammagicmike]

OK... This should do it for a scammer tag.

cedivad,

It's refreshing to finally agree with you on something.  Today, our cynicisms are parallel.

[Frizz23]

Guys! You are way to negative!

Look at the comments on Butterfly Labs forum. Their shills BFL staff faithful customers are quite happy with BFLs "charity project":




Why not donate a coin or two? To the "More hookers for Sonny & Josh" charity fund:

[Stack]

Why not donate a coin or two? To the "More hookers for Sonny & Josh" charity fund:

Finally! someone commenting not on where the 100btc is going, but the fact that BFL are ASKING FOR DONATIONS! That's the real WTF.
They actually managed to twist the words "we will donate" all the way around into "please donate to us"

[FCTaiChi]

Someone mentioned trust.  (marketplace trust)

Unfortunate that trust will totally fail us in this situation, as they aren't actively promoting themselves through a specific user name.  Inaba is of course the name of the CEO, but unless that was consistently promoted the newbs buying from BFL won't know.

[Xian01]

Inaba is of course the name of the CEO

 COO.

[Phinnaeus Gage]

http://www.reddit.com/r/Bitcoin/comments/1fq0kn/bfl_donates_1000_bitcoins_to_charity_after_losing/

I just took the time to read it and found somebody questioning my integrity pertaining to Bitcoin100.org, therefore I had to reply.

[Bicknellski]

http://www.reddit.com/r/Bitcoin/comments/1fq0kn/bfl_donates_1000_bitcoins_to_charity_after_losing/

I just took the time to read it and found somebody questioning my integrity pertaining to Bitcoin100.org, therefore I had to reply.

Ooooo Gossip.

You, my friend, don't have a clue. I'm probably one of the few bitcoiners that could be fully trusted.
As seen in the post below this by Rassah, I gave up Bitcoin100 and am working with them for a smooth transition, with myself being part of it in a lesser capacity.
Rassah, who I believe is a very trusty guy, takes care of all the money transactions, with me not being able to touch a single satoshi, as intended when I set it up to show trust.
Currently, I'm out over $100K due to the InstaWallet fiasco, all because I put faith in people I thought I could trust.
I believe you owe me an apology.

Bruno K.

[Phinnaeus Gage]

http://www.reddit.com/r/Bitcoin/comments/1fq0kn/bfl_donates_1000_bitcoins_to_charity_after_losing/

I just took the time to read it and found somebody questioning my integrity pertaining to Bitcoin100.org, therefore I had to reply.

Ooooo Gossip.

But it hurt my feelings and made me cry. 

[computerparts]

[smoothie]

http://www.reddit.com/r/Bitcoin/comments/1fq0kn/bfl_donates_1000_bitcoins_to_charity_after_losing/

I just took the time to read it and found somebody questioning my integrity pertaining to Bitcoin100.org, therefore I had to reply.

PG you would think BFL would actually donate to your charity huh?

Nope. I wonder why. 

[Phinnaeus Gage]

http://www.reddit.com/r/Bitcoin/comments/1fq0kn/bfl_donates_1000_bitcoins_to_charity_after_losing/

I just took the time to read it and found somebody questioning my integrity pertaining to Bitcoin100.org, therefore I had to reply.

PG you would think BFL would actually donate to your charity huh?

Nope. I wonder why. 

About a month ago I received a PM from a bitcoiner who approached Josh with this and in no uncertain terms he said that he wouldn't as long as I was I at the helm, so I stepped down.

[Mabsark]

Yeah, BFL are proper scummy! They donated 75 BTC to SeansOutpost to feed the homeless! THE HOMELESS! Can you believe that? What more proof do you need that BFL are scammers and their "charity foundation" is simply their latest scam!

[bitpop]

The way they do it is shady and to benefit themselves. They do it through their foundation and for press.

[Jutarul]

[vlaoou321]

butterflylabs Cheater

[FloridaBear]

The organization they have set up seems to only deal in BTC, and therefore could operate completely unregulated--it's not a true "charity" or 501(c)(3) non-profit. It's just made-up.

The IRS has no record of a "Bitcoin Development Fund" as a tax-exempt organization (or even anything with "bitcoin" in the name). I seriously doubt they have actually created a charity, but rather a website that claims to be a "charity," and is in reality just a project by BFL. Until I see evidence that they are truly a 501(c)(3) organization, this is totally bogus. BFL itself calls it a "project," with a web site, and not a charity. I assume that means it's entirely administered by BFL. They can literally pay whomever they want without any scrutiny by any government or other organization, or even anyone outside BFL. How is that a charity?

Now, if this "project" donates to actual tax-exempt charities, that would qualify in my mind towards the 1000 BTC donation promise. But until such time as they have donated 1000 BTC of their own profit, this "promise" is not fulfilled.

Shame on you, BFL, for such a horrible effort. The proper way to do this would have been to set up a true 501(c)(3) (preferably managed by person(s) outside of BFL), and then used Bitpay (or whatever) to donate the USD equivalent to the new organization. It needs its own EID and tax-exempt status for donations from others. It would only be able to donate to other 501(c)(3) charities, or do actual charitable work. They could have immediately satisfied the 1000BTC promise by doing that, but instead created this "pseudo-charity" under the BFL umbrella. Of course, their way lets them control (e.g. hold) the vast majority of that 1000 BTC for as long as they want.

[chiropteran]

This thread is hilarious.  BFL did as agreed.  You don't like how they did it? Go cry me a river.  If you wanted the 1000 BTC bet to apply to a SPECIFIC charity, it should have been described as such in the original bet.  Only an idiot would agree to a non-specific bet and then complain about the results.

[Mabsark]

The organization they have set up seems to only deal in BTC, and therefore could operate completely unregulated--it's not a true "charity" or 501(c)(3) non-profit. It's just made-up.

The IRS has no record of a "Bitcoin Development Fund" as a tax-exempt organization (or even anything with "bitcoin" in the name). I seriously doubt they have actually created a charity, but rather a website that claims to be a "charity," and is in reality just a project by BFL. Until I see evidence that they are truly a 501(c)(3) organization, this is totally bogus. BFL itself calls it a "project," with a web site, and not a charity. I assume that means it's entirely administered by BFL. They can literally pay whomever they want without any scrutiny by any government or other organization, or even anyone outside BFL. How is that a charity?

Now, if this "project" donates to actual tax-exempt charities, that would qualify in my mind towards the 1000 BTC donation promise. But until such time as they have donated 1000 BTC of their own profit, this "promise" is not fulfilled.

Shame on you, BFL, for such a horrible effort. The proper way to do this would have been to set up a true 501(c)(3) (preferably managed by person(s) outside of BFL), and then used Bitpay (or whatever) to donate the USD equivalent to the new organization. It needs its own EID and tax-exempt status for donations from others. It would only be able to donate to other 501(c)(3) charities, or do actual charitable work. They could have immediately satisfied the 1000BTC promise by doing that, but instead created this "pseudo-charity" under the BFL umbrella. Of course, their way lets them control (e.g. hold) the vast majority of that 1000 BTC for as long as they want.

Butterfly Labs / Bitcoin Development Fund just bought 7300 meals for the homeless

[FloridaBear]

This thread is hilarious.  BFL did as agreed.  You don't like how they did it? Go cry me a river.  If you wanted the 1000 BTC bet to apply to a SPECIFIC charity, it should have been described as such in the original bet.  Only an idiot would agree to a non-specific bet and then complain about the results.

Did as agreed? Absolutely not. The agreement was to "donate to charity," not to start some pseudo-charity fund that is not even a real charity. FAIL.

[FloridaBear]

Butterfly Labs / Bitcoin Development Fund just bought 7300 meals for the homeless

Yes, and I commend that donation--even though I don't think Sean's Outpost is an actual 501(c)(3), they're doing good work. The EFF is also a legit donation. Donations to cgminer and BFGminer are very questionable and have conflict of interest written all over them. So I will give them credit for 126 BTC (12.6%) of their agreement. Since they "wasted" 100 BTC, I believe they will never fulfill their 1000BTC agreement.

My point was that since they are not an actual charity, there is no oversight, and BFL still "owns" nearly 800 BTC of the initial "endowment." We will see where that goes, and how long it takes to get there.