A List of Funds/Companies who Fundraised Through Havelock Investments

NOTE: THIS MAY BE UPDATED OR CHANGED AS I DEVELOP A BETTER PICTURE OF OWNERSHIP OF THESE COMPANIES, UPDATES WILL BE LABELED AS SUCH.

Havelock Investments was an early platform in the cryptocurrency space that allowed for a variety of companies to fundraise.

Havelock Investments was purchased by the Panama Fund, S.A. in 2013. The CEO was Daniel Tsai. (archive)

ASICMINER – Asicminer was described as a leader in the bitcoin mining space. Creating mining equipment and running their own mining farm. You can find details about it here. (Archive)

HAVELOCK INVESTMENTS MINING FUND – Havelock Investments Mining Fund was Havelock’s fund investing in Bitcoin mining.

KORB AND CO. INVESTMENTS MINING FUND – This is another fund that was meant for purchasing Bitcoin mining rigs. You can find the most recent copy of their website here.

SATOSHI DICE – Satoshi Dice was a game started by Eric Voorhees (archive). Satoshi Dice was a gambling service where you could send a Bitcoin transaction to a specified address and could potentially receive significantly more in response. Eric Voorhees was charged with offering unregistered securities for these sales of ownership in SatoshiDICE and FeedZeBirds. (archive)

VIRTEX – CAVirtEx was an early Canadian Bitcoin Exchange. Stuart Hoegner (archive), the General Counsel for Bitfinex and Tether, was the lead attorney when Coinsetter acquired CAVirtEx.

CRYPTO CAPITAL CORPCrypto Capital Corp is a payment processor, infamously used by Bitfinex, and with the principals under US indictment. Crypto Capital claimed that a significant portion of their assets are being held in Poland, Bitfinex’s lawyers claim to not believe this.

LABCOINLabcoin was a company that claimed to be working on Bitcoin ASIC mining technology.

SANDSTORM – Sandstorm was an ‘investment fund’ which claimed to use the Bitcoins invested in it to make more money. It appears to have likely been an unsustainable high yield investment. You can find public copies of their ‘financials’ here. (archive)

THE MINISTRY OF GAMES – This was a company that ostensibly was focused on game development and publishing.

XBOND – XBond was issued by ThickAsThieves and was intended to be a perpetual fixed yield bond paid by the Bitcoin holdings of ThickAsThieves. (archive)

CASINOBITCO.IN – CasinoBitco.in [public files can be found here (
1. Prospectus (archive)

2. PR Release (archive)

3. Bitcoin Gaming Market Analysis (archive)

4. 2nd Press Release (archive))] was a Bitcoin casino that later rebranded to Monster Byte.

[1. Q3 2017 Financials (archive)

2. Q4 2017 Financials (archive)

3. Q1 2018 Financials (archive)

4. Q2 2018 Financials (archive)

5. Q3 2018 Financials (archive)] They now do white label cryptocurrency casinos. They are linked to Nessie (formerly at nessie.io (archive), now redirecting to crypto.eu) and MoneyPot (archive from when MonsterByte owned it) (domain now sold). I think it is valuable to remember that Stuart Hoegner (archive), the General Counsel for Bitfinex and Tether, is a “lead attorney to major bitcoin and altcoin poker brands”. It is unknown whether or not BitcoinRush/CasinoBitco.in/Monster Byte is among them.

COGNITIVE MINING – The listing on Havelock is not available. It appears to have been a way to invest in Bitcoin mining based on their archived site.

DEALCO.IN – The listing on Havelock is not available. The page (archive) currently directs to what seems to be LocalBitcoins but includes a feature where you talk to the person first.

NEO & BEE – The listing on Havelock is not available. You can see it on the right panel on various archives of Havelock. It appears to have ended due to misappropriation of funds. (archive)

MINTSPARE – The listing on Havelock is not available. Mintspare (archive) seems to be a way for people to trade in electronics for Bitcoin.

PetaMine CryptX – The listing on Havelock is not available. This appears to be another mining fund. They eventually shut down. (archive)

RENTAL STARTER – This was an investment into a real estate fund that was investing in Ohio but was operated by Full Power Asia Investment LTD.

SEEDCOIN FUND – This listing on Havelock is not available. Seedcoin (archive) was a crypto incubator out of Hong Kong. GoCoin the Brock Pierce cofounded company was incubated here.

BIG TREND CAPITAL INVESTMENT – The listing on Havelock is not available. It is unclear what they did.

ALCHEMINER – Alcheminer was a company that created ASIC mining hardware.

SEVENTH CONTINENT – Seventh Continent was trying to create a bitcoin denominated marketplace. Their website is still live here. (archive) They were in part funded by the Lifeboat Foundation’s Bitcoin Endowment. Stuart Hoegner (archive), the General Counsel for Tether and Bitfinex was a member of the Lifeboat Foundation. (Archive of a cache of his bio on the page)

A-ADS.COM – This company was a bitcoin online advertising network that claimed to not gather private information. They seem to still be open. (archive)

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An Introduction to the Tether/Bitfinex Controversy

I RECENTLY RE-WROTE AND RE-WORKED THIS ARTICLE, YOU CAN FIND THE IMPROVED VERSION HERE.

Bitfinex is one of the historically largest Bitcoin exchanges and Tether is by far the largest stablecoin. Each potentially has significant influence over the industry on their own, and their interconnectedness makes this more of a concern. However, since both were founded years ago and many of the events have happened and been in revealed in bits and spurts it can be difficult to understand their place in the cryptocurrency environment. This will hopefully serve as a basic introductory document that will then prompt further research.

Continue reading “An Introduction to the Tether/Bitfinex Controversy”

Analysis of the New York Supreme Court Remittitur in the Tether and Bitfinex New York Attorney General Cases

UPDATE: This was refiled presumably as part of the formal movement from the Supreme Court back to trial and the actual decision came down in July. Thank you to Rob Stevens for reminding me of this fact.

Document

There was finally a new development in the long delayed Digfinex/iFinex/Bitfinex/Tether NYAG case. The New York State Supreme Court heard the appeal from Bitfinex and unanimously decided to send them back to trial, dismissed their motion to dismiss, and reaffirmed that they need to supply the ordered documents.

I will review the document below.

The judges lay out initially that this appeal was absolutely meaningless from the start, and nonetheless take the time to lay out why each of Bitfinex’s arguments are invalid.

They begin (as shall I) with Tether’s argument that it is neither a security or a commodity and as such these activities surrounding Tether are not covered under the Martin Act. The judge strongly disagrees.

The first point laid out here is explaining that Bitfinex did not appeal correctly to challenge the NYAG jurisdiction, and instead in effect were trying to appeal the right of the Supreme Court to hear an application for this type of order.

The second point follows along with this one to emphasize that they did not appeal the order they appear to have a problem with.

The third point, is laying out even if they had handled this appeal correctly Tether would still be found to be covered under the Martin Act.

After settling the issue of whether Tether was neither a commodity a security they addressed the argument by Bitfinex that the New York Supreme Court lacked personal jurisdiction. In this argument Bitfinex tried to claim that there was insufficient link between their activity in New York and the alleged fraud. The judge did not find this argument convincing at all.

The first point that the judge emphasizes is that a single transaction is sufficient for their to be jurisdiction. They further affirm that since the investigation now centers around a fraud perpetrated by deceit about backing that it would affect the New York traders/Tether holders.

The judge then conveniently reviews for us some of the many ways that Bitfinex/Tether are tied to New York. Namely: they had traders in New York, they had traders in New York even after allegedly banning traders from New York, they had an executive working in New York (Phil Potter), the New York based executive they had specifically collaborated with other businesses who were based in New York, and finally that they hired multiple other firms in New York.

Even after thoroughly pointing out that Tether was deeply linked to New York, the judge elected to continue and point out that generally as long as there is sufficient evidence of some connection they will allow for an order like discovery to go forward in order to determine the extent to which a connection exists.

The final argument that Bitfinex has trotted out several times is that they were not served properly. The judge clearly points out that this is a ridiculous claim, and that Bitfinex’s counsel who had been working with the New York Attorney General during the investigation was served by hand, email, and overnight delivery.

In conclusion, this case has been moved from the appellate court back to trial, Bitfinex and Tether must hand over the documents requested, and they are now in an extraordinarily difficult position.

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Why I Unpublished My Book

For those who do not know, I use to run a nutrition and health website called Scientific Nutrition. While running this site, I came across intermittent fasting and in reviewing the literature, I thought it was a potentially useful behavioral trick for weight loss. However, I also found a variety of people making entirely nonsensical claims about intermittent fasting. They believed it cured cancer, diabetes, and overall was the solution to greater health. I wrote a book called The Optimized Guide to Intermittent Fasting that was meant to look at a healthy framework for using intermittent fasting for weight loss, combined with scientifically rooted myth busting surrounding claims others had made. I recently chose to unpublish this book and I would like to publicly discuss the reasons.

I always had a fear surrounding intermittent fasting that it looked a lot like disordered eating, but convinced myself that this is true for many diets, and allowed myself to go forward writing about it. However, as I have spent more time reviewing recent literature, and reflecting on my own eating patterns I felt compelled to remove it.

First, let’s address some of the recent literature that has been published and how that factored into my thought process. A recent five year prospective study on Bulimia Nervosa identified intermittent fasting as a strong risk factor for the development of bulimia. (https://www.ncbi.nlm.nih.gov/pmc/articles/PMC2850570/) Furthermore, it suggested that intermittent fasting is a much better predictor of development than assignment to a weight loss diet. There is also generally a pattern in the pscyhology research that suggests that using any unhealthy or excessively strained eating pattern can correlate with later development of bulimia and binge eating disorder. This is consistent with my own experience.

I have for much of my life struggled with a nearly compulsive need to eat, and have often felt out of control while I am eating. Starting about a year and a half ago I shared this fact with my primary care provider, and have started receiving treatment for it. However, in the past it has been a problem that has repeatedly dogged me. It was always a source of great shame, and as such I was an expert in hiding my eating. If you occasionally grab some things out of the pantry, and eat less at the meals, then people might not notice. If you grab a Wendy’s Dave’s Double combo and eat it before you get home then no one has to know. If you eat this candy bar from the grocery store before you get back then no one will see it. These narratives had always been present in my head, and had influenced my relationship with my body, my weight, and my confidence.

There were periods where these feelings of shame surrounding my eating were nearly overwhelming. I remember several times in college where I would be kneeling over the toilet bowl, hoping I would be able to purge, because if I did then maybe I would not feel so wrong. I never did, and I am grateful for that fact, but in considering my own behaviors and the things I have written I have come to the conclusion that I can no longer endorse my own work.

The fundamental problem with intermittent fasting is that it represents the same thought pattern as certain types of disordered eating. Namely, that you can eat and consume and do all of that to your limit, so long as you follow this other procedure. It seems to serve much of the same purpose for many people as purging does.

Eating disorders are some of the mostly deadly mental illnesses, and lead to badly damaged health across a variety of measures, not to mention the difficulty inherent in living with them. As such, I have unpublished my book, will be removing any older podcast episodes discussing intermittent fasting, and adding a disclaimer to any older articles that will link back to this article. This may take me some time, so please be patient, but it is happening.

I am writing this article, because I have strongly publicly advocated for some of these techniques, and as such now that I no longer believe them I feel that you deserve to know that. I do still believe that intermittent fasting can be effective for some people, but I worry that the people advocating it for broadly or as a panacea may be unintentionally contributing to health problems, and I regret strongly that I did the same.

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