Genesis Mining- What is scam, what may or may not be scam.EDIT 26.07: They admit they have been hacked
GENESIS MINING
- no payouts for 5 days ( last payment is on 20.07.2017)
- no answer to WTF IS GOING ON?
- no clear date on when is going back to normal and when we receive payments for missing days
The following facts are "SCAM" without a doubt:
1. They used to call their clients "investors".
Well , somebody from Genesis Mining who may be reading this:
An investor that has shares in a company has the right to attend any board meeting and know what is going on.
You keep us in the dark and
NOBODY KNOWS THE REASON FOR WHAT IS HAPPENING!!!!
Please be fair and post at least on twitter the answer to the question :
WTF IS GOING ON?
We have the right to know !!!!
2. They advertised 100% uptime guaranteed.
Again , somebody from Genesis Mining who may be reading this:
It is clear that this 5 days are not counted in your 100% uptime, so what is the meaning of the word "guaranteed" for you?
After not telling about what is going on, after refusing to give a timeline,
I really think you should talk about getting that "guarantees" out of your company's wallet and pay some compensations
Any opinion on this, my dear Genesis Mining?
3. They advertise even now on their website 24h support
What does this mean? Why don't you answer tickets for days?
4. Your "selling " part of the site, and the front end is working, you still sell
This is from genesis mining webpage:
"What does “100% uptime guarantee” mean?
It is always possible that mining hardware crashes, slows down or completely breaks. In all these cases, our algorithms ensure that other miners are allocated to the relevant pools to fully compensate for possible hashpower loss. This way our clients will not lose a second of mining time."
If your front end and "selling part of the site works, and we did not loose a second of mining, why don't you pay?
And why you need "in the first few days after things get back to normal" to pay for the missing days like you say on twitter if the money are there?
5. Genesis mining not reporting for ETH mining per megahash
They just make a payment....like..."this is what we mined with your hashing power".
I had days with lower difficulty on ETH that I received 20-30% less than days with higher difficulty.
Is is up to them to decide and you have to take it for granted.
See my post on this:
https://steemit.com/bitcoin/@altcoins101/genesis-mining-asking-my-readers-ethereum-miners-for-comparing-mining-data
EDIT TODAY 26.07.2017: Genesis posted on their blog that they have been hacked. They should have done this the next day, not telling us lies about upgrades. Also, still no clear timeline for payouts and how much was stolen. This might have to do with the large amount of ETH sold at a shitty price on Poloniex around 21-22.07.2017? Don't know, maybe.....
GENESIS MINING POST:
"Genesis Mining Service Update
Category / Press releases
Published on 26.07.2017.
We want to keep you updated on the technical difficulties that have interrupted payouts in the last few days. Our team has been working to address every aspect of this problem to restore service, and now we’re able to update you in more detail.
On the night of Friday July 21st, we detected an unauthorized intrusion by an attacker. This attacker gained access to a hot wallet and was able to transfer funds which we will reimburse in full. Shortly after the intrusion was detected, our team was able to shut down the attack. We immediately took steps to mitigate the issue, including enhancing our monitoring and detection capabilities, and further hardening our environment. One of those increased security measures was to delay our daily payouts.
We have found no evidence that sensitive end user information, including email addresses, were exposed by this incident. We also do not collect, store or have access to customers’ credit card details. We immediately engaged 3rd party cyber security advisory to investigate the attack, and validate that the measures we took to address this issue – and it’s those security practices that ensure that an issue like this remains isolated and resolvable.
We want to assure you that our mining operation was not affected and is running as normal. Every single one of our customers will receive their missing payouts as soon as we’re sure about the safety and integrity of our payment system. One of the advantages of the daily payout system is that it helps prevent actual losses, even in moments like these that cause delays.
The next payout is being scheduled, and all missing mining profits will be paid out to our users during the coming days. Genesis Mining will cover the full amount, and you will receive all of your payouts. The mining profits will be released gradually with the usual daily payouts, so you will receive two payouts a day instead of the usual single payout per day, until all missing payments are complete. We’re sorry for any delays in ticket responses, and I want to personally assure you that our Customer Service team will respond to each and every concern you have.
We will update you as soon as new information is available.
We’ve been providing daily cryptocurrency payouts for more than three years now and treat these payouts as a promised service for our customers. Your trust and confidence in Genesis Mining is of the utmost importance to us, and we understand the frustration around not receiving those payouts. That’s why our team is working around the clock to resolve the issue and restore payouts, while ensuring something like this doesn’t happen again.
Every person who mines with us helps make what we do possible, and we appreciate your patience with us as we work to ensure security while getting you your hard earned coins.
Sincerely yours,
Marco Streng
CEO Genesis Mining
"
The fact remains....YOU LIED AND KEPT US IN THE DARK!!!!!!!!!!
I am very happy when I see that the public pressure on genesis has results!!!!! Must be very hard for them to admit they lied and tried to hide this. This should be a lesson....tell the truth from the beginning dear Genesis Mining .......Don't try to treat us like sheep
- If you want me to keep writing and keep you up to date with the latest information, please upvote, resteem and follow!!
- You also get 3% PRICE DISCOUNT when purchasing hashrate from genesis by using the promo code : qa4zyl
Cloud mining is a scam anyway. It's not nearly as profitable as mining yourself with an AntMiner or GPU rig. And even that isn't as profitable as buying and holding or investing in a number of alts. Doing the math.. Why would they sell you something more valuable than running it themselves? It's a rip off, folks..
Genesis Mining argued that they already mine for themselves but they have cheap electricity and they wanted to extend beyond their capital..making it profitable for people to "invest" in extending their company by this contracts. And that seems ok. Buying a mining contract I understand and assume as a buyer the risk of becoming "not profitable" by the coin going down , by the difficulty going up....what is not to understand is them not giving you the mining power you buy. And also....if you put it this way.....then why are Nvidia and Amd selling the graphic cards instead of mining them? :)
There are 2 meanings of the word SCAM....1. scam by selling a bad contract....and here I consider that you can blame the BUYER not the SELLER....as I can start selling sand tomorrow for 10$/Kg .....stupid the ones that buy.....and 2. SCAM by violating the contractual terms and the things advertised for that service.....and this is what I am talking about here
I am also living again the GAWMiners time a bit like @spiftheninja ;) Even if I never loose really because I went in very early, something that not happen with Genesis Mining. I went in last week... was good that I wanted first to try it and purchased just a bit of X11 Dash.
Since a long time I have not seeing soo many people complaining on the Internet about something and in soo many different languages :D I hope everything go back to normal soon.
Btw you are complaining in the bolg about Genesis but you are supporting them with your signature... kind of strange dont you think?
I am supporting myself with the signature. :). Now, really, it's clear that I am a genesis mining client . And the signature is copy/paste . I did not bother to change it. If there will be something very bad about all the altcoins, should I change my name? :)
and I know and understand perfectly why you have it there. But just for this post If I would be you I would care... you are calling them a scam in the post ;)
a scam is at many levels and many types of scam. I do not believe that genesis is going to "run away with their money"...but for the way they are treating their clients.....in my opinion....they are. For the moment you have just been "scammed" for about 1 week that they are having technical difficulties with an upgrade....when instead they were hacked. And this raises the question I debated in the article: What is there to stop them lie about the daily mined ETH and pay me less? Their honesty? They just lied their asses for 1 week!!!!!
This is true...
There is an update!!! http://blog.genesis-mining.com/genesis-mining-service-update
already edited my post and posted the full update at the end of the post
excellet post
tks. sorry I don' have steem to power it up. Not because I want to win more steem, but because I am pissed off on Genesis Mining for how they are treating the clients. So...if you consider so, and if you can, please resteem.
I was also wondering about the payouts, they seem very random. It reminds me too much of GAWMiners and their silly Hashlets. I'm reliving nightmares right now, actually. Lol jk, but really.. I hope GM comes back soon, they have been a good source for helping the little guy get some mining power. They also seem like the biggest in the space.
I hope for something good to happen too. I would like them to start keeping their word too. Unfortunately they hide behind "too many tickets to respond" when instead they could very easy publish on their page or on twitter or on facebook exactly what and why is going on.
I wouldn't say it's exactly a scam. But it is very hard to be profitable through them. Just a poor business model.
Poor business models come from "nobody regulating this exchanges and mining companies" and therefore nobody holding them responsible for what they advertise. Cripto is guaranteed by distributed trust...exchanges and mining companies are not. They should be regulated and checked and hold responsible.Let's hope the public opinion will hurt them enough to change their behavior.
Well mining itself is pretty hard to be profitable. Usually miners buy a rig, mine, difficulty goes up, have to buy another rig so they sell their old one. That's essentially the model genesis mining has minus the selling part. If people sat down and did the math they'd figure out that it isn't worth it unless they sign many people onto the platform and use their codes. But too many people just want to a quick way to get rich.
Genesis Mining late ( a little too late) update on the situation!!!!!!!Edited My post....see at the end of the post
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STOPJust found an interesting question on the internet. WHY DID THEY STOP THE LIVE FEED? I mean....you protect from hackers by stopping the video camera? When everybody is concern about GM being scam and running with the money.....you stop the live feed? Are we going to see empty shelves when the camera comes back on? :)) Not that I believe that, but it has a point.