Kodak "scam" bitcoin miner pulled

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A Kodak-branded bitcoin mining rig has been pulled from shelves following months of dispute.

The company behind the Kodak KashMiner has confirmed it is folding after apparently failing to get regulatory approval

The KashMiner made headlines around the world when it was revealed at CES 2018 earlier this year, however the device was quickly labelled a scam by many who noted that there was a severe lack of background information available.

However Kodak has now said that the device was never officially licenced and that no devices were ever installed.

Kodak bitcoin miner "scam"

"While you saw units at CES from our licensee Spotlite, the KashMiner is not a Kodak brand licensed product," a Kodak spokesperson told the BBC. "Units were not installed at our headquarters."

Spotlite USA planned to charge customers an up-front fee of around $3,400 (£2,500) to rent a KashMiner, and would let customers keep a cut of any bitcoins generated.

It claimed that this fee would generate earnings of $375 a month over a two year period through Bitcoin mining. 

Spotlite CEO Halston Mikail revealed that the company had failed to get approval from the US Securities and Exchange Commission (SEC) to run its mining operations. 

Instead, the company now hopes to run its mining operation privately with equipment installed in Iceland, instead of renting capacity to consumers.