KnCMiner: Bitcoin Deserves Better

Journalist:
June 7, 2015

It’s almost surreal, watching KnCMiner take the mining industry by storm again. After I wrote the article about them facing a lawsuit, I received more than twenty e-mails thanking me.

People were telling me their story, how KnC strung them along for months, dangling their money and promising to make it worth their while, but never delivering a worthwhile product. So many dissatisfied customers, which was why I was quite surprised to learn a little over a month ago that they had launched some sort of legitimate cryptocurrency stock listing on the Swedish version of the NASDAQ exchange. How could this be? The company had refused to properly refund numerous people, so badly that a legitimate law firm confirmed to me that they were indeed pursuing a large scale lawsuit against the firm on behalf of the beleaguered many.

Now, in a more confusing move, they’ve unveiled a new and innovative technological solution to Bitcoin mining, so much so that they are going to be able to have more hashing power for less energy than anyone else. At least for awhile, until someone else solves the same problems they are solving. But this is truly a head-scratching moment. If they can afford to do all these things, and they can apparently afford to fight the lawsuit rather than settle it, why can’t they simply afford to make the customers happy?

Any time you see news about KnCMiner, which hasn’t even been wise enough to change its name, you will see the people I’m talking about. They’re down at the bottom, in the comments field, reminding us all that these are not savory people we’re talking about. These are people who gladly take the money of people who are enthusiastic enough to give them their money on faith, sometimes across the world. One man I spoke to for my last article lived in Florida, whereas KnC is based in Europe. Several thousand dollars. That’s more faith than you can get me to put in someone. It would humble me if someone ever did as much for me. But not the operators of KnCMiner. They just move forward, forget about all the people they’ve screwed over in the past. Why bother taking care of them before moving onto these new ventures? Where there is smoke, there is fire, and you’ll find nothing but the smoldering ruins of once faithful customers in a thorough researching of KnC.

Why Hasn’t the Market Punished KnCMiner Yet?

You’ll also find plenty of people who’ll talk about how the market will punish them, how there need be no government intervention here. But is that really what’s going on? Is the market punishing them, or isn’t KnC somehow poised to dominate the mining space? Whose money has funded all this malarkey?

I was never personally scammed by a mining outfit, except for that Hashie deal awhile back. That was perhaps the most annoying thing I’ve ever dealt with. Thieves telling you just to let it go. And thus was the end of my adventure in cloud mining. I’ve had hardware from a few different companies, only one of whom hasn’t experienced some kind of high-level drama. It seems that mining is not for the feint of heart, that much is for sure.

But KnC? I haven’t forgotten you. The article I wrote about you was the most personalized feedback I’ve ever received on a single piece of writing ever. Most people don’t take the time. So rest assured, KnC Scammer, I’m watching you closely, and I hope I’m not alone.

I hope all journalists in this space are hawk-eyed, staying up nights thinking about it, the way I am, pondering trips to Sweden to see if there’s anymore we could dig up on your personal lives. Bitcoin deserves a better history than people like KnC are giving it. It deserves one made up of strong people who worked hard for their wealth and who are influential because they are right. Instead what we’re getting more and more of in our history is people who got away with it, like Mark Karpeles and Josh Garza.

Tags: kncminer
P. H. Madore @bitillionaire

P. H. Madore has written for CCN since 2014. Please send breaking news tips or requests for investigation to bitillionaire+phm@gmail.com. He lives in Maine, USA. A single father of four young children, he does not discourage financial donations, provided they do not come with strings attached.