[2014-11-24] GAW Miners Continue Scam While CoinFire Is Defaced

[LiteCoinGuy]

GAW Miners Continue Scam While CoinFire Is Defaced

Yesterday CoinFire published an article titled "Is GAW Miners lying about partnerships? Telling statements from Walmart, Amazon, Target and More" in which some of the claims made by Josh Garza are proven to be false, specifically:

    "I will say on a general level, we're working on getting Hashlets into mainstream stores, it won't be long before you'll walk into Target and see hashlets, it won't be long before you go on walmart.com, we're *unintelligible* with the largest etailers in the country, that's our main strategy.. is to actually get em in mainstream stores."

As is typical of scammers, they always have an excuse which taken at face value appears plausible. Josh Garza is now claiming that the partnerships cannot be disclosed by either himself or partners due to non-disclosure agreements. This of course ignores the fact that Josh Garza is the only person who has claimed such deals are happening.

http://qntra.net/2014/11/gaw-miners-continue-scam-while-coinfire-is-defaced/

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[LiteCoinGuy]

http://webcache.googleusercontent.com/search?q=cache:rmGrsjB3e1QJ:https://coinfire.cf/2014/11/22/is-gaw-miners-lying-about-partnerships/+&cd=1&hl=en&ct=clnk&gl=us

[Dr. Pepper]

What scam are they continuing? Maybe they're just in talks to get them in to stores and nothing is concrete, though I think it's a longtime before we'll see miners in stores. I just don't think the demand is big enough from the general public.

[Lethn]

I'm with others here, with the amount of 'issues' they've been having I've become increasingly wary of GAW, cloud mining companies to prove they're legit should do what Genesis Mining did and post up evidence of their equipment so it can be verified publicly that they're actually a normally operating company and not just a ponzi scheme, it's the least they can do given that they're pretty much asking people to invest in their businesses.

It's a shame really, because there are some perfectly legitimate ones out there and these guys are making them all look bad.

[Professor Plums]

I thought they were a cloundmining company? Are they going to be selling actual miners in stores or just access to their cloudmining?

[Brad Pitt]

What issues have they been having? Have hey not provided proof of their mining equipment and is there some suspicion of them being another ponzi? They seemed like a legit company to me.

[Lethn]

I thought they were a cloundmining company? Are they going to be selling actual miners in stores or just access to their cloudmining?

Supposedly they sell actual hardware as well but I've yet seen any posts verifying their claims.

[rammy2k2]

It was just a way to talk, i dont see the scam here ...

[RiverBoatBTC]

I have no clue what going on here, but I know some things. Unless they can fill a 3 tractor load order of product min. Walmart will not touch them with a 10ft pole, then they have to keep that stock up. I have yet to see 1 mining company come close to doing something on that scale.

[Hazir]

It was just a way to talk, i dont see the scam here ...

I don't see scam here either. Why do you people judge without any proof? Why do you think  GAW is so successful and so big right now? Because they are scamming people? No, it is because they are good at what they do. As far as I know they never scammed anyone. If they scam me I will be first to cry and bitch about it. But without any proof arguments like: "GAW is a scam, because I say so" are just idiotic.

[odolvlobo]

It was just a way to talk, i dont see the scam here ...

I don't see scam here either. Why do you people judge without any proof? Why do you think  GAW is so successful and so big right now? Because they are scamming people? No, it is because they are good at what they do. As far as I know they never scammed anyone. If they scam me I will be first to cry and bitch about it. But without any proof arguments like: "GAW is a scam, because I say so" are just idiotic.

You have to be suspicious when a company gives you money in return for nothing. In this case, GAW Miners charges you $7 to mine $10 worth of bitcoins. They are already mining them, so why do they mine them and then sell them to you at a discount? That is suspicious.

[darkangel11]

How I understand cloud mining:
One guy wants to mine (for whatever reason) and can't (no time, no space, no money to buy an expensive miner). The other guy has time and space to host the miners, but doesn't have enough cash to fill the whole building and mining with just a couple of racks doesn't cut it, so he asks people to buy shares in his enterprise, so he can buy more miners at once at a discount. Buying a contract means lowaning them money, so it can and should be profitable for both of you.

Why does it say "continue to scam" if there are no examples of their previous scams?

[odolvlobo]

How I understand cloud mining:
One guy wants to mine (for whatever reason) and can't (no time, no space, no money to buy an expensive miner). The other guy has time and space to host the miners, but doesn't have enough cash to fill the whole building and mining with just a couple of racks doesn't cut it, so he asks people to buy shares in his enterprise, so he can buy more miners at once at a discount. Buying a contract means loaning them money, so it can and should be profitable for both of you.

Why does it say "continue to scam" if there are no examples of their previous scams?

But they do have enough cash. They buy, install, and start running the miners, and then they sell the hash power.

[darkangel11]

I think it's very probable they don't. Imagine they have their own empty building that can be converted to a data center and $100k. They buy miners for $100k to start the operation and check the grounds and start selling hash power (borrowing money). Then they use it to buy more and more hardware and expand. They are keeping block rewards for themselves, so the bigger they are the better and have a lot of coins to speculate on the market.
What people don't realize is that cloud mining works like a bank. They have your money and your income doesn't have to come from mining. It can come from loans, trading, pumping altcoins and so on.

[LiteCoinGuy]

Is GAW Miners Lying about Partnerships?

GAW Miners and Josh Garza have made a lot of noise recently about a new project called PayCoin. The coin has a lot of hype on a range of news sites and from members of the GAW community.

Recently the CEO of GAW Miners claimed publicly that the company and he personally have sealed up partnerships and deals with Target, Amazon, and Walmart about the coin and the company.

Josh also made a claim in an interview with CCN about Authy that they were single-handedly stress testing the Authy service because the requests are so high and outperforming other Authy users,

https://coinfire.cf/2014/11/22/is-gaw-miners-lying-about-partnerships/



in my view coinfire did a great job in the past. they didnt publish bullshit like other "news" sites. so i would say: stay away from GAW Miners

[odolvlobo]

I think it's very probable they don't. Imagine they have their own empty building that can be converted to a data center and $100k. ...

According to them, the mining equipment is already operating -- "Instead of presales and waiting for shipping, Hashlet miners activate instantly". And not just $100k, millions of dollars worth -- "[GAW Miners] sold $Millions worth of it’s revolutionary new flagship product, The Hashlet, less than one week after the product’s launch."

They have millions of dollars worth of mining equipment generating bitcoins, yet they sell their future revenue at a steep discount, hopefully making enough to pay for the equipment and the operating costs plus a tiny profit for them.

I can think of a few reasons why they might do this. Some are more plausible than others.

1. It is a Ponzi scheme.
2. They are laundering money.
3. They believe in the imminent failure of Bitcoin and want to get out now.
4. They believe that interest rates are going to skyrocket.
5. They are poor businessmen and didn't think it through.
6. Some other reason that is obvious to them, but not to me.

[LiteCoinGuy]

I think it's very probable they don't. Imagine they have their own empty building that can be converted to a data center and $100k. ...

According to them, the mining equipment is already operating -- "Instead of presales and waiting for shipping, Hashlet miners activate instantly". And not just $100k, millions of dollars worth -- "[GAW Miners] sold $Millions worth of it’s revolutionary new flagship product, The Hashlet, less than one week after the product’s launch."

They have millions of dollars worth of mining equipment generating bitcoins, yet they sell their future revenue at a steep discount, hopefully making enough to pay for the equipment and the operating costs.

I can think of a few reasons why they might do this. Some are more plausible than others.

1. It is a Ponzi scheme.
2. They are laundering money.
3. They believe in the imminent failure of Bitcoin and want to get out now.
4. They believe that interest rates are going to skyrocket.
5. They are poor businessmen and didn't think it through.
6. Some other reason that is obvious to them, but not to me.

7. They just love bitcoin and want to do good 

[darkangel11]

I think it's very probable they don't. Imagine they have their own empty building that can be converted to a data center and $100k. ...

According to them, the mining equipment is already operating -- "Instead of presales and waiting for shipping, Hashlet miners activate instantly". And not just $100k, millions of dollars worth -- "[GAW Miners] sold $Millions worth of it’s revolutionary new flagship product, The Hashlet, less than one week after the product’s launch."

They have millions of dollars worth of mining equipment generating bitcoins, yet they sell their future revenue at a steep discount, hopefully making enough to pay for the equipment and the operating costs plus a tiny profit for them.

I can think of a few reasons why they might do this. Some are more plausible than others.

1. It is a Ponzi scheme.
2. They are laundering money.
3. They believe in the imminent failure of Bitcoin and want to get out now.
4. They believe that interest rates are going to skyrocket.
5. They are poor businessmen and didn't think it through.
6. Some other reason that is obvious to them, but not to me.

I was talking about cloud mining in general. You asked why can these companies pay more than they should, my answer is they are acting like a bank, investing money outside the mining industry.

[EvilPanda]

Is GAW Miners Lying about Partnerships?

GAW Miners and Josh Garza have made a lot of noise recently about a new project called PayCoin. The coin has a lot of hype on a range of news sites and from members of the GAW community.

Recently the CEO of GAW Miners claimed publicly that the company and he personally have sealed up partnerships and deals with Target, Amazon, and Walmart about the coin and the company.


in my view coinfire did a great job in the past. they didnt publish bullshit like other "news" sites. so i would say: stay away from GAW Miners

They didn't show any proof that such statement was ever made.

[anirgu]

these guys are a scam, imho.