If New York was Jurassic World, BitLicense would undoubtedly be its Indominus Rex.
The highly constrained New York Bitcoin regulatory framework has apparently forced another local company to shutdown its operations. This time, it is Eobot, a Bitcoin cloud miner, which decided to take down its banners within New York, stating that the state’s new license requirements are putting additional cost burdens on them.
“We regret that we must cease Eobot business within New York State, however the new BitLicense requirements in this state place compliance and cost burdens upon Eobot that we believe are excessive,” the company notified on its website. It also reminded users to withdraw their funds and cease all mining contracts by the end of July 1, 2015.
“We are ceasing all Eobot mining connections from within New York at that time,” Eobot added.
The Other Victims
Prior to Eobot, another Bitcoin mining company BTC Guild had experienced similar threats from BitLicense. In its final notice, the company had remarked on the unsettling gray areas of the New York Bitcoin regulation, saying that defending BTC Guild, in this case, would be completely irrelevant, since the cost of defending will surely surpass their business revenue. The company eventually decided to shutdown its operations