By Mason Mohon | @mohonofficial
The state of North Carolina sent a cease and desist letter to cryptocurrency mining company Power Mining Pool (PMP) last week. It was found that PMP was in violation of multiple parts of the securities act:
The Securities Division found that PMP is violating the Securities Act by: a. offering unregistered securities in the form of ‘mining pool shares;’ b. offering securities while it is not registered to do so; and c. making material misstatements when offering securities.
PMP was told that they must not act as a securities dealer in any capacity unless registered with the state, according to Bitcoin.com.
PMP received a cease and desist letter on March 2, but made no effort to respond. On March 6, its website had gone down. The website itself is the only place of business, for there is no known physical location for PMP. The individuals running the organization are also unknown.
The company claims to be able to mine seven different cryptocurrencies, each of which it will mine less when the computer detects that it is not currently “profitable.”