Recently, the largest US mining company filed for bankruptcy, admitting its inability to pay its debts. According to court documents, Giga Watt's assets are valued at $50,000, its debts are nearly $50 million, and it has more than 50 creditors awaiting payment of numerous debts.
In addition to bankruptcy, the mining company is also facing foreclosure ordered by the Douglas County Court.
Giga Watt Managing Director George Turner claims the bankruptcy filing was filed by the firm's board of directors without his knowledge.
Giga Watt, formerly known as MegaBigPower, was founded in 2012 by former Microsoft software engineer Dave Carlson. In 2017, the company held an ICO. The company's Giga Watt tokens were intended to raise funds to build a mining farm using "more than 30 megawatts of electricity" as well as a private power substation.
In March 2017, Dave Carlson stated that the company did not need to register with the U.S. Securities and Exchange Commission to conduct an ICO. In March 2018, law firm Silver Miller initiated an ICO lawsuit in federal court, alleging that Giga Watt violated securities laws by selling investments in its crypto mining business without registering with the appropriate authorities.
Carlson left his position as CEO in August of this year.
According to cointelegraph.com
You May Also Like
GMO will make Zcash mining easier with free software
Japanese IT giant GMO Internet has announced new software for Zcash cryptocurrency miners. Cryptknocker software allows would-be miners to use Equihash-based crypto-variant algorithms using graphics processing units (GPUs) found on many standard personal computers.
Mining will affect global warming
According to a study published Monday in the scientific journal Nature Climate Change, if Bitcoin adoption occurs at the same rate as credit card adoption, global temperatures will rise by 2 degrees by 2033.
