Thursday, April 25, 2019

Bitmain, Kraken and Roger Ver Sued for Allegedly Manipulating Bitcoin Cash Hard

United American Corp. (UnitedCorp) based in Florida has allegedly sued Roger Ver, Bitmain, Kraken Bitcoin Exchange and as stated in the Dec. 6 press release. UnitedCorp made claims about a plot by the accused to seize command of Bitcoin Cash’s network.

UnitedCorp was established in the year 1992 to be a management and development company with information technology and telecommunication being an area of focus. The firm supervises a list of patents and technologies relating to telecoms, blockchain and social media. UnitedCorp also manages BlockchainDomes stations, which is a property of theirs, used in agriculture for providing heat.

The Reason for the Law Suit

The U.S. District Court was where the suit was filed for Florida’s southern district, and it states that the accused employed dishonest methods to influence the network of Bitcoin Cash for their joint profit and to the harm of both UnitedCorp and BCH stakeholders. In addition, the release continued:

“UnitedCorp believes that the defendants colluded to effectively hijack the Bitcoin Cash network after the November 15, 2018, scheduled software update with the intent of centralizing the network — all in violation of the accepted standards and protocols associated with Bitcoin since its inception.”

Bitcoin Cash updated their network on Nov 15, and that made the support of the community to become divided. Some supported Bitcoin Cash SV while others supported Bitcoin Cash ABC. UnitedCorp said the accused made use of a “rented hashing” to seize command of the network immediately the coin was upgraded. This apparently made the rule sets of Bitcoin ABC to be adopted, preventing the support of democratic rule sets by other implantations.

UnitedCorp also asserted that the development team of Bitcoin ABC, on Nov 29, inserted into the blockchain a “poison pill” through a “Deep Reorg Prevention” to make their control of the blockchain ledger stronger. This action will seemingly ensure the control of future updates for the network.

What Does UnitedCorp Stand To Gain?

The court action aims to forbid the defendants from carrying out any present or future actions against the Bitcoin Cash network. In addition, UnitedCorp is in pursuit of compensation, and it has chosen to determine its value during the trial.

Significant losses have been recorded by Bitcoin Cash recently, and the altcoin isn’t faring any better with more than 20% decline in the past day, and its trading rate is around $103.

Bitcoin SV (BSV) has consistently gained more than 27% daily with a trading rate of about $112. BSV has a market capitalization of approximately $1.9 billion and a maximum supply of 21 million.

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