Topic: Lab Rat Data Processing, LLC (LabRatMining) Official Announcement - page 53. (Read 452170 times)

Let me think about that for a moment.

(Intermission music.)

OK, I thought about it.

No but thanks for asking!

My $.02.

No, I was an early supporter of Lab_Rat and his program on the BFL site, this site and elsewhere and I wish to make it clear that I no longer suport his program and wish to warn current users and potential users of the pitfalls.

I have heavily involved in the Bitcoin and cryptocurrency world in general and have as much stake in the outcome of this debacle as a paid user.

Although I considered in vesting in Lab_Rat's operation I chose not to because I saw little point in investing through a third party in vapourware which would not show up and get to work mining in a reasonable period of time.  Instead I opted for atlcoin miners using readily avaiable mobos, PSUsand GPUs, which while occasionaly subject to out-of-stock delays could nevertheless be placed into service within a few weeks at most of my or a client's investment.

I was not so mean as to include a cluase in my agreement which said that if things go South, you can't sue me.  (By the way, I ran that clause past my attorney who is a retired District Court judge, who giggled a bit and told me that one would last right up the time it hit the first courtroom because it pretty much goes against public policy)  What I did do was include a clause which stated that if the law changed such that the public mining operation became to expensive to continue or impractical taht the "investor" or "mining partner" could keep the crypto mined and accept one of the two following options:

(1) Receive a full refund in whatever currency the original investment had been made.

or

(2) Have the equivalent amount in equipment sent to them provided they covered the shipping costs.

Needless to say, when I notified my mining partners in a timely manner of the changes without doing a dance like Lab_Rat, most opted for a straight refund.  Some of my people are disgruntled; Hell, I'm disgrunteld by the rulings and required steps to stay in compliance but you don't have people coming in here howling how I wouldn't return their money, do you?

I took care of business without doing a dance that no one could follow.

Why did I close my public mining operations?

Because the law changed and mining operations such as mine and as Lab_Rat's become Money Transmitters and Money Service Businesses under the March 18, 2013 FIN-Cen ruling and subsequent rulings, if you doulbt me, read these and weep:

http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001.html

http://www.fincen.gov/news_room/rp/rulings/pdf/FIN-2014-R002.pdf

"For purposes of the guidance, FinCEN refers to the participants in generic virtual currency arrangements, using the terms “exchanger,” “administrator,” and “user.” An exchanger
is a person engaged as a business in the exchange of virtual currency for real currency, funds, or other virtual currency.

 An administrator is a person engaged as a business in issuing (putting into circulation) a virtual currency, and who has the authority to redeem (to withdraw from circulation) such virtual currency. A user is a person that obtains virtual currency to purchase goods or services on the user’s own behalf.

The guidance makes clear that an administrator or exchanger of convertible virtualcurrencies that (1) accepts and transmits a convertible virtual currency or (2) buys or sells convertible virtual currency in exchange for currency of legal tender or another convertible virtual currency for any reason (including when intermediating between a user and a seller of goods or services the user is purchasing on the user’s behalf) is a money transmitter underFinCEN's regulations, unless a limitation to or exemption from the definition applies to theperson. 8

The guidance also makes clear that “a user who obtains convertible virtual currency and uses it to purchase real or virtual goods or services is not an MSB under FinCEN's regulations."

The ruling makes it clear that both my operations as well as thouse of Lab_Rat would be considered to be Money Transmitters, requiring FIN-Cen registration as well as licencing as a money transmitter in each and every state that has money transmitter laws in which we would do business.

Such licencing is a very expensive proposition involving millions of dollars in bonds and expensive licences.  

I have moven my mining operation into a private corporation which mines for only for itself, which does not distribute the mined crypto to others except in the case of payment for goods or services, thus exempting the operation for m the requirements of the recent rulings.

I think Lab_Rat's problems also extend to having put out a ton of $ for equipment that will not be delivered in a timely manner, thus delaying its effective use.

Lab_Rat's problems will snowball, I think and the results will not be pleasant and a detriment to the crypto community as a whole.

He should come clean right now and get these issues resolved before the whole thing goes down in flames like the Hindenburg!

My $.02.

lol agreed...that is annoying

^ Can you move this to your sig?  It must be a pain to type all the time, plus I have sigs turned off.

Are you by any chance here to promote your quickstopcoporationshop site? Following sparky999's comments I've also become curious as to why you are participating in this thread.

Wait and see.

My $.02.

This caused a billy maddison flashback and made me chuckle - after a shitty day at work it was well received. Cheers!

You talk so much nonsense, your original post about fin cen IRS bullshit was wrong then and is wrong now. You were not ignored when you first wrote it. At least two or three people replied and pointed out why you were wrong. Stop spreading lies written as truth. You are not an investor in this company by your own admission and your opinion is not welcome or valued. You have made every one in this thread slightly dumber for having listened to your mindless rambling guessing, feel free to stop posting here.

Perhaps for your final post in this thread you can fully disclose your actual purpose for being here because for you to come across as having no ulterior motive here is disingenuous.  

That was the case from the outset though so nothing changed in regards to that.

I think LRM should buy back the shares/contracts/wishful-thinking/whatever theyre called now from any holder who does not agree to the contract changes forced upon them since the original buy in.

LRM changed the terms unilaterally, to ones that I did not agree to nor would have agreed to had they been set forth at onset.

LRM is the one left holding and owning the gear in the end, as he has made it very clear none of us have any actual stake in the business or hardware.  All we have are "contracts" that LRM will pay us.  "Contracts" LRM willfully changes after the agreement was struck.


Buy my shares back at the cost I paid you LRM, since you decided to break the contract.

Cool, so guestimate.

Figure it out.

Do your own research.

Follow the thread.

Add up the funds required to become totally compliant.

They are not there.

My $.02.

This line implies you have knowledge of his current financial situation/running sheets. Or is this just a guess?

Lab_Rat is not registered as a Money Service Business or as a Money Transmitter.

Check it out.

The current IRS and FIN-Cen rulings require him to do so.

He ain't got the money to accomplish this feat of legerdemain, not to mention that he may well be dealing in unregistered securities, which brings in the SEC.

To do so requires a couple of million $ in bonds and registration as such in each and every of the states in tha USA in which he does business.

There has been enough noise and sufficient number of complaints to a multitude of government agencies that The Powers That Be are now sniffing about.

Get your money back if you can before time runs out and circumstances shut down any efforts whiwch you may make to do so.

It will be noted that in this thread I asked about Lab_Rat"s registrations as a Money Transmitter or a Money Service Business and received no reply.  This is not my problem, so don't cut off the head of the messenger.

Lab_Rat is done.

My $.02.

The new terms just robs our btcs, and Lab_rat is just a big robber!
How will you plan to buy back the bond if bondowners refuse the terms?

If you have real information don't be all mystical look how superior I am BS about it.  Tell where and what you know.  This is worthless unless you present the facts.  If you do know something you aren't sharing then you're just protecting the problem.

This is what causes the trust problem.  It seems that LRM is looking out for LRM.  There's no noble reason that I see for an extended amount of trust towards this company.  I mean a couple months ago we were all about to get 1-2 gh/s per share of hash and LRM was sellign extra shares on the premise.  Now, without reason or explanation, we are getting capped at 100 mh/s per share.  USB from last summer was better than that.  . . .

Haven't figured it out yet, have you?

I predicted this very thing.

There is much more going on than you know but I'm certain you will find out and my comments are not based on speculation.

My $.02.