Breaking Down the Butterfly Labs FTC Complaints Data
Customers in 24 countries have made 283 complaints to the Federal Trade Commission (FTC) against Kansas-based mining equipment maker Butterfly Labs since 2012, as we reported earlier this week. Since detailed information about notable companies in the bitcoin economy is thin on the ground, CoinDesk wrangled the data on two dimensions - geography and order value - to see what it could tell us. A commanding 73% of complaints to the FTC came from US customers, most being from California, New York and Florida. Customers from Kansas, the company's home state, were absent from the list. The....
Related News
Three weeks ago, the Federal Trade Commission shut down Butterfly Labs. Butterfly Labs is a company that sells Bitcoin mining hardware. It's been accused of scamming and lying to customers time and time again. Recently, the Federal Trade Commission (FTC) reported that Butterfly Labs was lying to customers in multiple ways, one being that they mined on their customers' hardware for extended periods of time before shipping it. This morning, Butterfly Labs tried to dismiss the FTC's complaint. Also read: FTC Shuts Down Butterfly Labs... Finally. The FTC claims that Butterfly Labs spent their....
Butterfly Labs was one of the very first mining firm is now in deep trouble as US Goverment is taking legal actions against them. Butterfly Labs was accused of fraud and misrepresentation. FTC documents say that the companies assets were frozen. The story began with really upset customers who failed to received their pre paid miners. Butterfly Labs has violated Section 5(a) of the FTC Act. BFL were basically engaging in “unfair or deceptive business practices in or affecting commerce”. We have contacted butterfly Labs to get some information regarding the shut down but they said
The Federal Trade Commission (FTC) announced yesterday that it had shut down Butterfly Labs following approval by a US judge, and for many outraged customers, the closure is the end of a long period of uncertainty. Though initially a market leader in the bitcoin mining space, the last few months of the Missouri-based company's operations were defined by manufacturing delays, troubled public image efforts and looming legal problems. Speaking to CoinDesk, FTC attorney Leah Frazier, who works for the agency's Division of Financial Practices, said that the investigation began after it received....
Butterfly Labs is facing a lawsuit for over $5 million that alleges that it was negligent in its business dealings, and even accuses the company of downright fraud. The suit was brought by Martin Meissner, who placed a $62,000 order for BFL miners back in March 2013. Meissner claims he did not received the units or a refund for his payment, according to a report in Ars Technica. The suit was filed in December, and it accuses Butterfly Labs of fraud, negligent representation and breach of contract. Motion to dismiss. Butterfly Labs and its attorneys refused to comment on the matter, but....
A week ago, the Federal Trade Commission (FTC) shut down Butterfly Labs (BFL), one of the reasons for this being that "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." The FTC released new court filings today for its Butterfly Labs case. The most recent report by the FTC against Butterfly Labs is that they mined for bitcoins on their customers' miners before shipping them (if they even shipped them at all), and didn't tell the customer: Fraud. New Evidence....