Over 30 People File A Complaint In Thailand Over Crypto Mining Scam Called ‘CryptoMining.Farm’
More than 30 people have filed a complaint with the police in Thailand for being scammed into investing in “CryptoMining.Farm”. The reported losses are for over 42 million Thai Baht which is equivalent to $1.34 Million USD. It is suspected that more than 140 people had been affected by the scam.
The company, on their website, describe themselves as “Cryptomining.farm is a new virtual mining company and investment opportunity that wants to give people a way to utilize high-quality cryptocurrency mining with Cloud mining platform.” It was launched in September 2014 to provide Virtual Mining Contracts to the general population.
One of the affected individuals told the Thai media company Bangkok Post (who broke the story):
“But from August the owner began imposing conditions for withdrawing the money. Then at the start of this month, the site announced it would start paying back investors in 84 installments — which would take over seven years to complete.”
The anonymous source also alluded that the company accepted payment in foreign currencies which is a punishable offense under Thai law.
The owners of the site allegedly promised a 70% return for the year. People who invested their money were also promised that they had the liberty to withdraw the money any time they felt like with no strings attached. The site offers a range of blockchain mining contracts ranging from three months to lifetime agreements.
It’s indispensable to look into opportunities and understand the risks and costs linked with mining before investing. Some companies offer “lifetime contracts” that keep costs the same and supposedly offer outstanding returns. However, as the difficulty of mining increases, the same investment will return smaller amounts each time.
Furthermore, some companies make striking claims about their returns without being transparent about the true costs and depreciating returns. Others simply operate Ponzi schemes that can lead to massive losses.