There are people who are suggesting the kfc bankruptcy is just a company restucture and not really anything actually bad for Scam and the gang. If shit doesn't hit the fan somewhere, then it's most likely they are using it a way to get rid of the soon to be unprofitable mining side of business at the least cost.
They are keeping the XBT side of the business, which is where to keep an eye on developments I think.
It'll be interesting to see if Scam remains on the board of XBT Provider AB. He's listed as one of the executives.
http://www.allabolag.se/5590013313/befattningarThey've mentioned the bankruptcy on their blog
http://xbtprovider.com/lang_en/news Hopefully they've fucked themselves, as it states in this FT article the business has some reliance on kfc mining
http://ftalphaville.ft.com/2015/04/29/2128137/calling-all-muppets-bitcoin-miner-has-some-bitcoin-etns-to-sell/i.e.
"We are aiming to do all hedging in the open market but have the option to access bitcoin liquidity from KnC Group in case of emergency."
A further comment included the line:
"We have very strict internal rules regarding exposure and operational risks, all scrutinized by our compliance officer and risk manager as well as Nasdaq OMX. Counterparty risk is greatly reduced by the fact that KnC Group guarantees the liabilities of XBT Provider as specified in our prospectus (under translation to English)"
Also interesting to note in that article is the statement:
"Namely, KnC was forced to depreciate its ASIC infrastructure assets (bitcoin miners) because of the high pace of development in the industry for cryptographic currencies.
The document adds that the number of employees must as a result be reduced in 2015 to reflect these costs."
As you'll (not) remember, Scam gave totally different reasons for these layoffs in his statement (LYING AS USUAL):
http://www.breakit.se/artikel/2692/ett-tiotal-heltidsanstallda-tvingas-ga-fran-bitcoinbolaget-knc-miner"According to Sam Cole redundancies due partly to the company encountered unexpected competition and partly due to the expected reduction in energy tax in Sweden dragged on."
XBT's twitter is the only source of hope, which says they have stopped trading:
XBT Provider ?@xbtprovider May 28
We are meeting with Nasdaq on Monday. Trying to resume trading in our instruments ASAP. All questions welcome to
[email protected] XBT Provider ?@xbtprovider May 27 Stockholm, Sverige
Trading halted but XBT Provider and investor assets are not affected by the KnC bankruptcy. Our instruments are always fully hedged
Go Scam! Bring everyone down with you