Bitmain, the world’s largest cryptomining firm and manufacturer of cryptomining equipment says the company name is being fraudulently used by a project called “Mangocoin.”
“We recently become aware of the fraudulent use of the ‘Bitmain’ brand in the sale of a product named ‘Bitmain Cloud Miner’ and its use in the promotion of ‘Mangocoin (MGC),'” the company writes in a recent blog post.
Bitmain claims, “no connection or affiliation with (Mangocoin) whatsoever,” and says:
“‘Mangocoin (MGC)’ and its website, APP, social media accounts, WeChat groups, QQ groups, etc. are not business channels or platforms of Bitmain…The ‘Bitmain Cloud Miner’ on any platform of ‘Mangocoin (MGC)’ is not developed by Bitmain.”
The company also asks customers to, “purchase anything online only after careful deliberation and stay alert to misleading promotions, illegal fund-raising, fraud, and other malicious activities on the internet.”
Bitmain is headquartered in Beijing, where protestors believing they were bilked out of 200 million yuan ($29 million USD) by the cryptocurrency/blockchain project TRON recently occupied the offices of Raybo Technology, a TRON affiliate office.
It appears the investors were tricked by a copycat scheme, however.
TRON is a blockchain/cryptocurrency project helmed by Justin Sun, a high-profile crypto millionaire who recently paid almost $2.7 million USD in a charity auction for the right to dine with value-investing icon Warren Buffett.
Sun spent weeks promoting the lunch on social media and said he hoped to “evangelize” Buffet on the virtues of cryptocurrencies and blockchain. Buffett is a notorious crypto-detractor who has called Bitcoin “rat poison-square.”
Just three days before the lunch was set to take place in San Francisco, however, Sun announced its postponement, and Chinese-state media began reporting that Sun was being detained in China.
Sun responded by calling the reports “fake news. He then live-broadcasted a video of himself in a San Francisco apartment with the Bay Bridge visible in the background.
This he followed with a series of social media posts apologizing for his “vulgar” promoting of the lunch with Buffet and praising Chinese socialist governance and media.
There is no word so far about if and when the lunch will be rescheduled.
Some have claimed that Sun’s incessant promotions of the lunch angered Chinese officials who do not approve of displays of excess.
People who lost money in the TRON copycat scheme reportedly asked Sun why he didn’t do more to warn the public about the fraud.