BitLicense Doing Its Job: Eobot Becomes 3rd Firm Gone From New York (Op-Ed)

Mere weeks after New York state’s BitLicense requirements were said to be “in effect,” two Bitcoin mining pools have been forced to deny their services to New York IP addresses (one shutting down entirely), and one exchange has done the same.

BTC Guild and Eobot are among Bitcoin’s smaller mining pools — you know, the kind that have kept Bitcoin mining sort of “decentralized.” But BTC Guild has now shut down entirely, telling its members:

“The fact that BTC Guild is not in New York does not matter, since it would be doing business with New York residents while they are physically in New York. This fact makes it possible for New York to attempt to claim jurisdiction to enforce regulations.

Whether or not BTC Guild could win in defense of such an attempt is irrelevant, since the cost of defending the pool would be greater than any income the pool is expected to generate going forward.”

Similarly, Eobot explained to their members who use New York IP addresses that the mining pool could no longer afford to deal with them:

“The new BitLicense requirements in this state place compliance and cost burdens upon

Read more ... source: Cointelegraph