In the Kentucky Mountains, a Bitcoin Mining Dream Turned Into a Nightmare

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When bitcoin was on a hot streak, owners of small industrial facilities in Kentucky struck up crypto mining partnerships with Chinese companies.Then things fell apart.

Because they are set up by their parent companies for a single specific business venture, these entities need not be concerned about their long-term ability to operate in the US.“It certainly can be more difficult to recover damages from a non-US counterparty,” says Kim Havlin, a partner in the global commercial litigation practice at law firm White & Case.“There is certainly a risk that an entity that doesn’t need to be in the US may just ignore the case.

Though the American market proved more expensive and bureaucratic than some Chinese businesses expected, says Harvey, problems were also caused by the hubris of facility owners, some of whom found themselves in over their heads.“It’s no joke running a [bitcoin mining] operation of any kind of scale,” he says.“Just because the Chinese are tough to do business with, doesn’t mean they are the ones in the wrong.

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Article Details

Author / Journalist: Joel Khalili

Category: TechnologyEconomy

Markets: United StatesChina

Topics: Business Business / Blockchain and Cryptocurrency

Source Website Secure: Yes (HTTPS)

News Sentiment: Negative

Fact Checked: Legitimate

Article Type: News Report

Published On: 2024-10-21 @ 11:00:00 (1 weeks ago)

News Timezone: GMT +8:00

News Source URL: wired.com

Language: English

Article Length: 2413 words

Reading Time: 14 minutes read

Sentences: 83 lines

Sentence Length: 30 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © Wired

News ID: 23153165

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