USI-Tech State of Crypto and Ponzi Non-Payment
USI-Tech, owned by Joao Severino, Hort Jicha, and Ralf Gold, is a platform that claims that investors can earn a daily profit without hardware and that it is the “easiest” and “most efficient way to mine Bitcoins.” The owners, rather than admit the platform has recently collapsed, are attempting to continue stringing along current investors.
The owners’ most recent communication to investors concerns their non-payment. They claim that they are unable to pay investors due to the state of the cryptocurrency mining industry. In their own words:
Firstly, the mining industry has not been very lucrative and profitable for miners in the last several months. Also some of the amendments in the crypto regulations are not in favor of the miners, making mining more pressing and challenging.
We have exhausted our resources to stabilize the industry and make mining as rewarding as possible, but these changes restricted us from achieving so.
USI-Tech’s BTC Package seems to only be governed by securities laws. This makes it difficult to determine the “change” that the platform is referring to. As current investors remain unpaid and the outstanding cease and desist order issued by the Texas Securities Division, the company has informed that it will not accept new investment. The division has extended the order until January 2019.
In the meantime, Ontario’s Securities Commission has indicated that the platform “has terminated its retainer with Gowling WLG (Canada) LLP.” Texas and Ontario authorities may not be the only ones looking into the matter – an investigation, which has not yet yielded any information, began in Washington state in March.