A possible cryptocurrency mining scam involving an estimated 42 million Thai Baht (USD $1.34M) has been exposed in Thailand when 30 alleged victims showed up at the office of the Technology Crime Suppression Division (TCSD) in Bangkok to file an official complaint against CryptoMining.farm, a business that has been offering crypto mining contracts to investors since 2014.
The victims allege that they were lured by the website owner’s promise of a 70% annual ROI on their investments. Indeed, videos made by CryptoMining.farm investors showing the profits they have made on the platform abound on YouTube.
With a lot to gain, and with the company having business addresses in both Chiang Mai and Bangkok (addresses which can no longer be found online), the new crypto enthusiasts went ahead and purchased mining contracts.
Too good to be true
Varied BTC mining contracts can be purchased from the platform with the following terms: 3 months, 6 months, 1 year, 3 years, 15 years, and Lifetime.
There were no limits to fund withdrawals at the onset.
But as one disappointed investor said:
“From August  the owner began imposing conditions for withdrawing the money. Then at the start of this month [February 2019], the site announced it would start paying back investors in 84 installments which would take over seven years to complete. The payments were supposed to be made in foreign currencies [which] is not permitted by Thai laws.”
Although 30 people showed up to lodge a complaint at the Thai police headquarters, officials estimate that as many as 140 people may be affected.
Cryptomining platforms have been having a problem releasing funds since Bitcoin prices fell last year. Hashflare, a crypto cloud mining service, terminated BTC mining contracts in 2018 citing unprofitability as the main cause.