We received a Cointed newsletter yesterday informing us about issues with Cointed’s bank account and payments. The Austrian crypto-company Cointed obviously caught a bad Karma. They and their customers have been confronted with a lot of troubles recently:
- ICO Disaster: Only 6.102.251 Cointed Tokens (CDT) were sold in the ICO which is less than 1% o the total volume 650 Million. Consequently, the Cointed ICO raised just some 2% or 4% of the target of USD 120 million which is a disaster for a company that needs the funds to finance the past and future expansion. Cointed now lacks funds to finance its fast expansion. Moreover, Cointed Token investors are locked into a worthless asset.
- Crypto Unity OG: Cointed and its co-founders Charli AHO and Daniil ORLOV are having legal issued with their investor in their crypto-mining company. They may be faced with damage claims and tax issues.
- Mining Facilities Down: Large parts of the Cointed’s mining facilities have been offline for weeks and hence mining investors have not received payouts in that time. Some partners already announced that they will no longer cooperate with Cointed for mining hosting services because of these troubles.
- IP infringement claims: The former partner for Cointed’s Crypto-ATMs, General Bytes, claims that Cointed has infringed its IP rights and lies in the ICO whitepaper about the ownership of IP rights.
- Criminal investigations: Cointed’s founder Christopher RIEDER is obviously involved in the Optioment Ponzi scheme, one of the biggest scams in the history of online investments. RIEDER withdrew from his company functions, vanished from the websites, and is no longer available for the company, its customers, and investors.
Yesterday, the company sent out a newsletter informing the reader that there are troubles with the bank account and that it had to switch the bank account. Due to these issues payments on Cointed’s cryptocurrency exchange may be deferred or charged back. The new Cointed bank account obviously is with Unicredit Bank CZ (see screenshot).
Cointed may still be able to cope with all the issues it is confronted with but there are some red flags already that should make investors and clients cautious. The good news: Cointed invited to a meetup on March 30, 2018, to have discussions with its clients. We suggest to participate to find out more about the status of the company and the project.
We would like to receive feedback from Cointed customers. Please let us know your experience anonymously using our whistleblower system.