Kodak Bitcoin Mining Rig Confirmed Fake

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When Spotlite USA unveiled the Kodak bitcoin mining rig at the CES technology show in Las Vegas in January of this year, it had critics questioning the concept from the very beginning.

The “Kashminer” rig was being offered by Spotlite for $3,400 for a rental period of two years, with claims that the device would generate around $9,000 for the renter.

Unrealistic

Figures projected by the company had the Kodak bitcoin mining rig earning $375 each and every month, which was later called into question by industry critics who quickly pointed out that the claims were “unrealistic” due to the fact that bitcoin mining was slowly increasing in difficulty, meaning that output would surely drop over time.

Kodak Bitcoin Mining Rig Confirmed Fake
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Spotlite Kashminer, image credit – BBC

For the Kashminer to pay out according to the original plan, bitcoin would have to remain at an average price of $28,000 over the two year period, which obviously didn’t happen.

At the time of the reveal in January, Spotlite chief executive Halston Mikhail announced plans to install “hundreds” of the devices in the Kodak headquarters in Rochester, New York, and even claimed that 80 devices were already in place and working.

Now, some six months later, the company have officially announced that their plans for the mining device have fallen through, while Kodak has issued a statement of its own claiming that the device had never been formally licensed by them.

Never any plans to install the devices

Speaking with news outlets in the United States, a Kodak spokesman said that there were “never any plans” to install the devices on the Kodak campus.

The spokesman for Kodak also pointed out that the product was in no way affiliated to Kodak’s own cryptocurrency, KodakCoin.

Speaking with the UK’s BBC, Mikhail also claimed that the US Securities and Exchange Commission had put a halt to the plan going ahead.

He has since said that there are plans for Spotlite to run its own mining operation with equipment installed in Iceland.

Spotlite had announced the Kashminer rig at the same time as Kodak announced their own cryptocurrency, which saw the price of Kodak stock rise to $11, although both events were separate from each other.

Following a delay in launching KodakCoin, Kodak saw its stock drop back to pre-crypto prices of $4 per share.

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Lover of all things crypto, blockchain and AI, professional tech scribe & part of the editorial team at Crypto Disrupt.

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