Butterfly Labs to Reopen Under Court Oversight
Butterfly Labs argued successfully in court yesterday that the order to remain closed had irreparably harmed their company, convincing the Judge to agree to allow them to continue operations under court oversight. The company, which produces Bitcoin mining equipment, was closed down in September after allegations that it had failed to deliver products on time to its customers and that it had used their customer’s equipment to profit from mining. "The Butterfly Labs web site pages attached to (the FTC complaint) instead show a pattern of consistently updated shipping projections,....
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A US District Court has denied a request filed by the Federal Trade Commission (FTC) that would have seen Butterfly Labs continue to operate only in a limited capacity under court direction. Butterfly Labs will now be allowed to resume business, though it will need to report information about its revived operations periodically to the court. However, it will notably no longer need a court-appointed FTC receiver for the duration of its ongoing litigation. The FTC receiver had previously been granted the ability to manage and administer the company's finances, among other responsibilities.....
According to BizJournal coverage of the Butterfly Labs (BFL) FTC case, federal Judge Mark Wimes may be considering allowing the tainted Bitcoin mining company to reopen its doors in an attempt to make money to pay back customers from around the world. Butterfly Labs has been notorious in the Bitcoin mining space for failing to deliver on its promises, due to intentional and malicious business practices, according to the FTC. The FTC first shut down Butterfly Labs in September of 2014. Butterfly Labs' lawyer, Jim Humphrey of Polsinelli PC, emphasized to the judge that BFL had been fully....
The drama involving Butterfly Labs continues, it appears. And while the Federal Trade Commission (FTC) has sought to put the Kansas-based company out of operation through an injunction, it would seem the Butterfly Labs will continue coasting along for a bit longer. A Stipulated Interim Order was entered today by the United States District for the Western District of Missouri, allowing the bitcoin mining hardware manufacturer to unlock their doors and continue working. The company, which produces miners like the Monarch and Jalapeño, issued the following statement Thursday (sent to us by....
Infamous Bitcoin mining company Butterfly Labs (BFL) has reopened and has an updated website following their tussle with the FTC. The FTC started investigating Butterfly Labs in late 2014 because "consumers who have purchased the machines or services cannot use them to generate Bitcoins because Defendants [Butterfly Labs] never provide them with the machines or services." BFL would regularly mine on customers' hardware for days before finally shipping it out. Also read: Judge Considers Allowing Bitcoin Mining Company Butterfly Labs (BFL) to Reopen. Butterfly Labs (BFL) Reopens. The....
Between predictions of a difficulty drop and the recent legal maelstrom surrounding Butterfly Labs, you might think that it was all bad news in the mining community. However, those who have been active in this market segment for long enough know it would take more these events to stop miners from hashing. Read on to learn more about some of the latest happenings in the bitcoin mining world. FTC pleased with Butterfly Labs reopening. The US Federal Trade Commission (FTC) has agreed to allow troubled bitcoin mining hardware company Butterfly Labs to reopen for business, albeit in a limited....