Topic: [NEWS] Butterfly Labs - Shut Down by US Government - page 2. (Read 7727 times)

That makes sense. So, if HashTrade would've opted to pay tx fees, their infamous $1M USD payment to BFL via BitPay would have been included in the blockchain quicker than 5 minutes and not needing as many confirmations? FWIW, 16 hours later, the same amount, plus some, took a whole 11 minutes to be included in the blockchain with probably as many confirmations, probably because it was for more money - ~$1.1M USD at the time.

Glad we cleared this up.  

Ergo, the only thing that makes sense, like you've kindly eluded to, is that BFL represented HashTrade and paid the money to themselves via Bitpay via a BWA they own, then transferred the now larger sum to yet another BWA that they - BFL - also control.

The IQA.... BWA DOES NOT belong to HashTrade or BitPay, but to BFL. I can easily link the 18u... BWA to Josh, of which funded ~31% of the 1QA... BWA.

Am I the only person who doesn't think prison rape is funny?   

I wouldn't wish rape on my worst enemies.

Finally !! 

Bye bye Josh !

Bruno you don't have to pay the extra transaction fees, when sending bitcoins from one wallet to another, they just make it happen faster if you do. So if you are not in a hurry then there is no need.

https://storify.com/fermunation/askftc

Yes, he is, it was prolongued for 2 years early this year  

I guess he should practice on not dropping the soap again.

Enter HashTrade, not to mention NimbusMining, Netsolus, LiquidBits and Coinware.


Sonny Vleisides' personal site, and not BFL's: https://web.archive.org/web/20130625050854/http://sonofodi.weebly.com/

According to https://www.blocktrail.com/address/1Hq2t6dJcxqZjGda919p4c4tmopNRLciAJ, Sonny Vleisides' bitcoin wallet address - 1Hq2t6dJcxqZjGda919p4c4tmopNRLciAJ - used to garner sales for bitcoin miner chips didn't pay any mining fees as shown below:



Yet, with one of my old wallets I doled out 0.0035 BTC for the privilege of sending a lot less fewer bitcoins...



The following is all four transactions for the 1Hq2t6dJcxqZjGda919p4c4tmopNRLciAJ address used by Sonny Vleisides for the supposed sale of bitcoin mining ASIC chips - https://blockchain.info/address/1Hq2t6dJcxqZjGda919p4c4tmopNRLciAJ




All the bitcoins that flowed to 1Hq2t6dJcxqZjGda919p4c4tmopNRLciAJ (BFL's or Sonny Vleisides' personal account) went to 1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs shown above, including the scant amount - 0.01001691 BTC - from 17HSPT3bhYE1rhrwAhi8k6GCGGXRdQimY7 and the 59.9273 BTC from 1DiPE4TnBczmPVoy53tffrd1iNPq87B3PB, the latter seen here: https://blockchain.info/tx/827063279c43c50c3f4c690dbf491071386d80068115f48d0beee7e80b4c7f2f.

Revisiting the 1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs bitcoin wallet address, the following image depicts 0 BTC tx fees paid when HashTrade supposedly paid BFL via BitPay that infamous million-dollar down payment for their multi-million dollar order of Monarchs as the press release reveals here: http://www.prweb.com/releases/2013/10/prweb11283333.htm.


">https://blockchain.info/tx/1b6ea350c094071412df1f801651263fd65ffa0b89ad6c8626ceeca8755f50bc>



According to the press release, the $1M USD that HashTrade supposedly paid BFL stemming from 1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs was paid to BitPay's wallet address 16fus1FKurpDmPtEZLGbg7vRYtH2TEFbYf.

ONLY 16 hours later, that same $1M USD equaling 5,562.354 BTC had 437.646 BTC added to it, and a new wallet - 1EXDF4fvjRozJ96TjF4SPN7rbTx2ik6Dsd - was created to store 6,000 BTC that has been untouched to this very day, as seen here: https://blockchain.info/tx/ff0fb375a2375b2b9ee7e8daa5759085d8fe8cd85280a97b1dfbb14005f36153, and further illustrated with...



Again, nary a tx fee was paid to the miners, proof with the following:



Note the confirmation time: Only ~11 minutes to get the tx confirmed with nary a fee. I say that's an impossibility for HashTrade to transfer a million dollars worth of BTC to BFL via BitPay if they do indeed maintain the 1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs bitcoin wallet address, of which I'm 100% confident they DO NOT!

BFL/Sonny Vleisides owns the 1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs bitcoin wallet address, as well as the 1EXDF4fvjRozJ96TjF4SPN7rbTx2ik6Dsd BWA, for all the bitcoins that make up the 437.646 BTC to round the wallet up to 6,000 BTC also stemmed from BFL.

BitPay may very well control the 16fus1FKurpDmPtEZLGbg7vRYtH2TEFbYf BWA used to funnel the infamous $1M USD from supposedly HashTrade to BFL, but, again, I contend that said funds were redirected back to BFL's control via parameters they set on their BitPay account.

The only thing that puzzles me now is how if BitPay was used as the payment service provider for the $1M USD transaction, why were no tx fees accrued?

To recap...

Sonny Vleisides owned the 1Hq2t6dJcxqZjGda919p4c4tmopNRLciAJ BWA.

Thousands of transactions from BFL ended up going to 1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs.

1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs was claimed to be owned by HashTrade to pay the $1M USD down payment for BFL Monarchs.

The $1M USD payment from 1QAHVyRzkmD4j1pU5W89htZ3c6D6E7iWDs plus other transactions stemming from BFL totally 6,000 BTC went to the 1EXDF4fvjRozJ96TjF4SPN7rbTx2ik6Dsd BWA after one hop, supposedly BitPay's BWA 16fus1FKurpDmPtEZLGbg7vRYtH2TEFbYf.

http://www.hashtrade.com/about.html


The Jacobson brothers own the Canadian Bitcoin Embassy and the Miami Bitcoin Embassy, both entities that the Bitcoin Development Fund donated 25 BTC to, of which they, too, have yet to liquidate as seen here: https://blockchain.info/address/1LAT5Zzf12cZqDy86ee2mcWhNZpk9DLf1D. Furthermore, I can easily show other BFL moneys flowing to this very address, not to mention from pools closely aligned with BFL.

All that said, which Bitcoin-themed periodical is going to be the first to publish this revelation? And, why haven't nary a one uncovered any of this before?

~Bruno Kucinskas

Hope they are going to pay for their lies...! 

+1 especially those that owe significant compensation to their customers.

Also this might also work to WARN those who are slipping on customer service as well. I don't see the FTC as the only gov't agency in the world that will take a shot a bringing these types of BTC fabricators to court or beat them into acting appropriately. Clearly BFL is lower hanging fruit and will go down with a whimper as customers will finally get some compensation from these crooks at the hands of the FTC.

This guys were crooks, I requested a refund for the jalapeno I ordered since I was not getting anything, and the refund was awarded but did not get anything, until 8 months later I got a jalapeno when it was worthless, no one would answer the phone or reply to emails.

I can only hope that this is just the beginning. Plenty of other manufacturers need to be taken down.

IIRC, the only person who has been convicted so far for the Countrywide debacle was Rebecca Mairone. She was a mid-level executive.

Agreed. I was just being sarcastic.

I'm off now to post a quarter to Josh so he can "buy a clue"... he should get it in about Two Weeks™.

The website is now probably under the control of the receiver.

Josh responding to the rumour that BFL got raided by US Marshalls:



Hmmm... the rumour isn't dying down, looks like a persistent rumour:



Pro-tip: posting a receivership notice on your web site is not the right way to squash the rumour...

lol! A line straight out of Joshua Zipkin's playbook.
Later followed by "All existing orders have been shipped"

Someones pantalones de feugo...

LOL they just needed Two Weeks™!

I must admit, waking up this morning and reading the headline "Butterfly Labs - Shut Down by US Government " really made my day.

Here's some coverage from the big boys:

http://www.nbcnews.com/tech/tech-news/deceptive-ftc-shuts-down-bitcoin-miner-company-butterfly-labs-n209866

I love this snippet:

In a statement, Butterfly called the FTC's action "heavy-handed" and said the company "literally is in the midst of shipping out completed products.” Butterfly has already shipped more than $33 million worth of machines, it said, and refunded $17 million in canceled orders.

So, I guess they just needed more time, guys.

Apparently, they couldn't find the money or something. They're checking under the couch cushions right now.

A bunch of these guys are likely in cahoots I know AMT and BA are working out of the same building making miners that much has been confirmed. Here by the admission of the CEO of AMT is a proposal to make that happen. Not sure how far it went, but clearly there was an attempt to make it happen. This was a group chat part of a set of chats leaked to the bitcoin press.

[5/31/2014 1:14:02 AM] Joshua: not that the guys care anyway, i actually rounded everyone in a meeting in amsterdam, all the players and proposed we start some alliance etc
[5/31/2014 1:14:10 AM] Joshua: or at leat a formal association
[5/31/2014 1:14:43 AM] Joshua: everyone was on board and then when i get back no one does anything or responds with more 2-3 line email.. its terrible
[5/31/2014 1:15:04 AM] Joshua: we also found out that cointerra or Bfl was paying to fuck with us on the forum
[5/31/2014 1:15:13 AM] Joshua: Sam from knc said so..
[5/31/2014 1:15:55 AM] Opieum2: Hmm interesting likley BFL they have been pretty much doing alot of underhanded stuff and have gotten caught from what I have been reading up.
[5/31/2014 1:16:24 AM] Joshua: i asked josh directly, told him it was perfectly understable but he said no
[5/31/2014 1:16:47 AM] Joshua: anyway, they dont respect me much because of this situation, not that im out of industry respect or anything

LOL the irony here is these transactions that were done in bitcoin....open book.