[PH]Cloud Mining Operators and Agents Can Face Up to 21 Years in Prison

[ArkiCrypto]

It's another issue in the Philippines in regards with the Regulatory of the cryptocurrency.

The government of the Philippines is now aware of the cryptocurrency and the awareness of the of the people of it. We also heard a lot of different scams or frauds that related to bitcoin around the world and the Philippines are aware of this that's why before they made a regulations to protect it's community from frauds. According to the article that I've got:

"The Philippines financial regulator has issued a warning to cloud mining operations promoting this business model without registering with the SEC. Cloud mining operations involve a contract of pre-purchased hashpower from a remote mining operation, and users buy the contracts for a lifetime or a limited amount of time. Cloud mining users then reap the benefits of the pool’s mining revenue if the operation is profitable and if it is not contracts can break even or suffer from losses. The SEC explains that an initial investigation has shown numerous local and foreign cloud mining companies are soliciting these contracts to citizens residing in the Philippines."

Also it states there that Cloud Mining Operators and Agents Can Face Up to 21 Years in Prison. The stated are quoted below:

"those who act as salesmen, brokers, dealers or agents of these companies in selling or convincing people to invest in the investment scheme being offered by these cryptocurrency mining companies including solicitations and recruitment through the internet without the necessary license or authority from the Commission may likewise be prosecuted."

"[Offenders] will be held criminally liable under Section 28 of the Securities Regulation Code and penalized with a maximum penalty of twenty-one (21) years of imprisonment or both pursuant to Section 73 of the SRC."

And also the Philippines Regulator Says the General Public Should Stop Investing in These Investment Activities

The regulator implies operations that invite and recruit this type of activity without registration will be penalized in accordance with the Supreme Court decision mandated in 2014. Further, the SEC warns the public to “stop investing” in cloud mining contracts with a statement that highlights it’s warning in capitalized and bold lettering:

In view thereof, the public is hereby advised to STOP INVESTING in these kinds of unregistered investment activity and to take the necessary precautions in dealing with these cloud mining companies.

Redman (2018, April 12) PPhilippines Regulator Issues Warning to Cloud Mining Participants Retrieved from https://news.bitcoin.com/philippines-regulator-issues-warning-to-cloud-mining-participants/?utm_source=Philippines%20Regulator%20Issues%20Warning&utm_medium=telegram&utm_campaign=Telegram%20Channel

Well I supposed to post this to our local section but since as we're one in the cryptocurrency industry I want to know also the other nations perception and opinion about this topic. For me I would totally agree with this law but also the government should also consider the people who have with a lifetime contract in the cloud mining services and what happend to the people who already invested and doesn't aware of the existing law in the Philippines.

What do you think about the regulations implemented by the Government of the Philippines in regards with the cloud mining?
What do you think about it?
Does this have any alternative solution?
Any recommendtation?

Give me your thoughts, perception and opinion.  

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[harizen]

Regulations are fine as it will decrease the risks of being fall on a shitty scheme. We just have to see what's the result of that set of terms by PH before people can say anything negative towards it. In PH, cryptos are widely and freely used, so much freedom that it gives growth to those scammers that take advantage of the people who don't have idea how crypto works especially with the big happenings on bitcoin price last 2017.

Recently, scam operators are being caught and now on jailed because of the scam investment. But unfortunately, media called that scheme as "bitcoin scam" misleading others what really happened on that scam. Now with the new regulations about CloudMining operators, somehow it can give an assurance to the people that the system is legit although we can't say it as 100%.

Im in favor of crypto regulations of PH as long as it will not affect much the "real" advantage why we are in crypto.

[dothebeats]

It's about high time to implement these regulations as there are still gullible people who are willing to risk everything just to get in to these lucrative 'cloud mining' programs. The first we heard about such things ezisting in the country, we immediately tried to inform the people in certain FB groups that these are not legitimate cloud mining schemes, and if they happened to be one, then they would be the owners of the most profitable machines in the world. As far as I can see, no regulations imposed here in this country are harmful or inhibits the growth of cryptocurrency adoption, so the recent 'tightening' is actually good for the citizens and investors alike.

[kevoh]

For me I would totally agree with this law but also the government should also consider the people who have with a lifetime contract in the cloud mining services and what happend to the people who already invested and doesn't aware of the existing law in the Philippines.

I do no think ignorance of the law is a good excuse else every body will contravene the law and plead the excuse of being ignorant of the law.

What do you think about the regulations implemented by the Government of the Philippines in regards with the cloud mining?
What do you think about it?

I think the regulations regarding Cloud mining are suitable in the circumstance. All that is being demanded of the CloudMining companies is to obtain their licence from SEC before operating. I do not think that should be an issue for a company with integrity.

[Betwrong]

I support the measures prepared by he Philippines financial regulator. The so called "Cloud Mining" has become a known tool for scammers helping them to plunder their victims' money. It ruins not only people's lives but the reputation of the crypto world in general. They say there are honest companies like Genesis Mining, Hashnest and Hashflare, for example, but given that 99% of cloud mining projects are scam I normally discourage people from investing even in the above mentioned ones. The scammers should be stopped, and demanding cloud mining operators to be registered in SEC ( Securities and Exchange Commission, I presume) is the right measure imo.

[stompix]

For me I would totally agree with this law but also the government should also consider the people who have with a lifetime contract in the cloud mining services and what happend to the people who already invested and doesn't aware of the existing law in the Philippines.

Ignorantia juris non excusat

What do you think about the regulations implemented by the Government of the Philippines in regards with the cloud mining?
What do you think about it?
Does this have any alternative solution?
Any recommendtation?
Give me your thoughts, perception and opinion.  

The recommendation would be to follow the law, if you don't want to follow the law find ways on changing it, not avoiding it.

In view thereof, the public is hereby advised to STOP INVESTING in these kinds of unregistered investment activity and to take the necessary precautions in dealing with these cloud mining companies.

Well, on this forum everybody is advised to stay away from those so called "could mining companies" as most of them have turned out sooner or later to be scams and running away with all your money or paying you close to nothing blaming it on whatever they can.
So, it's more like regulating ponzi schemes ....