[2018-03-12] South Carolina Wants To Ban Genesis Mining

[shakaru]

Lawmakers in South Carolina asked cryptocurrency cloud mining platform Genesis Mining to leave the state due to selling “unlicensed securities” Friday, March 9.

A cease and desist order filed by the South Carolina Attorney General's Office Securities Division claims Genesis, which is registered in Hong Kong, along with Zurich-based partner enterprise Swiss Gold Global, illegally served residents with unregistered mining contracts.

“At no time... was Swiss Gold Global registered with the Division as a broker-dealer, and no exemption from registration has been claimed,” the order reads.

Source - https://cointelegraph.com/news/south-carolina-wants-to-ban-genesis-mining-over-unregistered-securities

[vit05]

Genesis Mining has a type of business that is not entirely clear. It would be necessary to have greater regulation and auditing to prove that they, in fact, are honest in the services they propose. In several other countries, governments are closing companies that offer cloud mining on suspicion of being a Ponzi scheme or for not having any type of license to offer this type of investment.

[odolvlobo]

This is a very interesting development. It could be the death of cloud mining if other states and countries follow.