Bitcoin SV (BSV), the recent cryptocurrency fork of the Bitcoin Cash (BCH) chain, during what was dubbed a “Hash War” by BSV supporters, has been the only gainer in an otherwise tanking market. On the heels of its price rally, a little-known Miami-based penny stock company, United American Corp., launched a civil suit against Bitcoin Cash proponents in an effort to have a judge order the BCH chain be returned to its pre-“Hash War” consensus rules.
Hash War Lawsuit Filed by Penny Stock Company
As of this writing, the price of BSV has overtaken BCH, in an impressive swing during a very down market overall. In the background, a paid press release was sent through the NASDAQ wire by a little-known mining company that trades as a penny stock, United American Corp., registered in Florida but headed in part by a businessperson with a history in Canada. The company seems to also do a lot of business in Canada.
United American Corp. has been around since the early 1990s in one capacity or another, and its latest earnings show it generated quarterly revenue of $362,885 from BlockchainDome for hosting, management and power over a 5 month period of operation with a gross profit of $278,448. Its quarterly net earnings were only $52,293. Cash at this latest quarter was a mere $132,343. Assets include 2,500 miners in service as of September 30, 2018 and 5,000 as of November 13, 2018. This appears to be a very ambitious lawsuit for a rather small company.
Social media went abuzz, touting the end of named Defendants, which include prominent BCH backers, developers, and miners. The space was also sent into a tizzy over United American’s newly appointed CEO, Benoît Laliberté. Comments and posts suggest Laliberté knows something about market manipulation and criminal activity.
CEO of United American Corp. Benoît Laliberté Has Been Convicted for Misrepresentation in Press Releases
Benoît Laliberté, if comments are to be believed, appears to have a long criminal history. In late April, nearly a decade ago, “Judge Richard Wagner of Superior Court (Criminal and Penal Division), district of Montréal, found Benoît Laliberté guilty of three of the four charges,” after, about a year earlier, the “Court of Québec Judge Lacerte-Lamontagne found Benoît Laliberté guilty of 41 violations under the Securities Act (the ‘Act’),” according to press reports at the time.
Disclosure issues, failure to file, insider trading, and critically “for aiding Jitec Inc. in making a misrepresentation in press releases that could affect the market value or price of the company’s securities, thereby violating section 196 of the Act (2 counts)” were among the laundry list of offenses charged by Canadian authorities. Benoît Laliberté was ordered to pay fines totaling $900,000.
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