GAW Miners & Paycoin – Scam Alert , Complaints & Under SEC Investigation

We stayed away from this drama for some time , but after this company “GAW” , its CEO – Josh Garza and Paycoin fanatics have tried to stop the right to free speech of one our fellow journalist’s from Coinfire.io we now going to take a stance . We’ve been notified by multiple users that these business’s and projects are scamming people, but we ignored them and offered GAW & Paycoin community benefit of the doubt , but after documenting and Coinfire scandal we now know, their operations are very suspect and “fishy”.

GAW Miners lying to its investors about future Partnerships

GAW CEO – Josh Garza made a lot of speculation about the company “GAW” and his own crypto currency “PayCoin”,  claiming that he sealed up partnerships with giants like Amazon, Walmart & Target.

But our fellow journalists from CoinFire.io had suspicion that these kind of statements are stretching the truth or outright lies, so they’ve started an investigation. After weeks of contacting these companies they finally got an answer from one out of four companies that they were in Josh Garza statement.

Walmart confirmed via spokesperson Tara Greco that Walmart has no relation with GAW Miners, PayCoin or any project that Josh Garza or GAW Miners is involved with issuing the following statement to Coin Fire,

Walmart has no intention of expanding our current payment options to accept PayCoin from GAW Miners or any affiliate of the company. Any statements implying this is the case are false. Walmart offers a variety of payment methods in our stores and on our website for our customers which can be found online or in-store. We have no partnership with this company.

Target also confirmed to Coinfire team that much like Walmart it has no relation to paycoin, or GAW Miners with a spokesperson telling to Coinfire editorial team.

Target does not have any record of any partnership with GAW Miners or anyone named Josh Garza. Any statement contrary to this is false. We have no intention of accepting “Paycoin”

Amazon went one step further with having an unnamed source at the company’s legal department,

If this company believes it can imply a partnership with Amazon we will be seeing them in court if they don’t stop doing so immediately.

The official statement from an Amazon spokesperson was just as telling if less bold reading,

Amazon is not affiliated or partnered with GAW Miners or paycoin. If this company wishes to list products on our website as a third-party seller they may do so. No partnership should be implied from those listings. Amazon has created a robust and international system that allows vendors to bring products to the Amazon.com website – but in no way does it imply a partnership with our company.

We also have no intentions of selling our merchandise through paycoin and refer our customers to the now accepted payment methods already on the Amazon site

While Josh Garza, CEO of GAW Miners and creator of “Paycoin” is declaring publicly and implying a partnership with all three companies it would seem that all three are disavowing any sort of partnership.

Thanks to CoinFire online publication for doing all this research and unveiling how a CEO of a start-up company like Josh Garza is lying in order to attract investments into its company “GAW” and crypto currency “PayCoin“. So what trust can investors have when a CEO makes false statements about his company? We believe that all this dust thrown out in the air it’s a big red flag for PayCoin & GAW Miners making them fall in a “Scam Business” category.

 GAW Miners under SEC investigation

After false statements of Josh Garza about his partnerships Coin Fire team has been able to exclusively confirm that an “active” investigation of GAW Miners, Josh Garza, Paybase, Paycoin, and several other “operating names” for Mr. Garza is underway by the United States Securities and Exchange Commission. Which confirms once again our suspicion that all this operating business’s are scams.

Coin Fire has obtained over 1,000 pages of an investigation file from a confirmed Commission employee that also has a bombshell draft of a potential enforcement litigation action against the company. The documents given to Coin Fire editors contain several hundred references to deleted forum posts on the company owned-and-operated Hashtalk forums, emails from potential victims of securities fraud, news stories from various websites, many social media postings, a sealed subpoena demanding the IPs associated with certain accounts on a well-known site where Garza and potential sock puppets have operated, and several storyboards from videos uploaded by the embattled company that enforcement attorneys are stating contain many confirmations of potential wrongdoing.

Here are some parts of the investigation file made by the Commission.

p75-sec-gaw-ssEnforcement attorneys for the Commission also drafted reports for potential future litigation stating,

[..] it is our belief that Mr. Garza has been systematically with the assistance of his employees and “moderation team” been removing large portions of potential evidence from his websites and employing the services of attorneys used to intimidate other sites to remove potential evidence from the public record.

Other sections of the investigation jacket are relevant to more recent events with the launch of trading platforms or the purchase of trading platforms upon which the company allows customers to buy, sell or trade Paycoin. The Commission believes that direct market manipulation has also taken place.

Our fellow journalists from CoinFire had released parts of this investigation as much as they could without jeopardizing the investigation as SEC has yet to file or begin any active enforcement actions against Mr. Garza or the associated companies, they have begun amassing potential evidence for those actions and are seeking further information from those in the public who feel they are a victim of securities fraud.

If you are in the same situation feeling that you’ve been ripped off, scammed by this operation of Josh Garza here is a useful link: http://www.sec.gov/complaint/tipscomplaint.shtml

Garza Shuts Down Zenminer Mining Services Without Notice

5e7fa2d098454113Now it comes as a shocking announcement (but not for some who may have anticipated this sort of behavior from Josh Garza), that the Zenminer Cloud Mining services have shut down.

The service shut down abruptly leaving customers with now mining power and nothing to show for their money. The company gave no announcement of any shutdown and many customers stay clueless about why the service would have shut down with Bitcoin prices still above $200. With the mining operations now profitable for the miners, due to many products which offered an always profitable guarantee, it has been acknowledged the mining operations may have been unsustainable on the companies part. The announcement below was released on the Hash Talk forums and outlined the current situation for GAW.

This execution made by Josh Garza it proves again how he is packing his bags and moving along with investors money. It wouldn’t be a surprise if in a few months we will not hear again about GAW & PayCoin . Josh Garza empire is crumbling after his lies about 20$ / per Paycoin promise that have failed to deliver & the so called Partners with big retail companies which again they’ve been proven as fake.

Paycoin – Next Big Scam in Crypto

After all blatant lies that CEO of GAW & Paycoin had made in public about Target, Walmart & Amazon, we needed to look more deep of Josh Garza, Paycoin project and it’s not looking good at all . Actually is a big scam coin alert flagged it.

We’ve been contacted by many of our readers to do an article and warn people off but as I said in the beginning I wanted to give this project benefit of the doubt . We were wrong by doing that , after things have escalated and notice how this coin its loosing value and people are already loosing their investments over-night with a drop in Market Capital of 20$ million dollars . So lets start with the basic then we will get to PayCoin aggressive fanatics and shills .

PayCoin get uninformed investors involved in their very carefully executed scam.

They started by Josh Garza false statements about their partners and end up by publishing a whitepaper  that includes an non-existing technology Hybrid Flex BlockChaina ‘lite’ version of blockchain ledger that will enable quick transaction clearance for the merchants and prevent blockchain bloating at the same time. Yet, there are no technical specifications of how this groundbreaking technology will work except a brief mention of “Prime and Orion Controllers.” Sorry but that’s not enough , specially that we already made our impression of how Josh Garza and his quality of being mendacious .

Paycoin floor at 20$

Another red flag which is obvious as an elephant in a room is the “floor of $20.” according to GAW. One of value propositions of PayCoin is the price stability that it will bring to reach mass adoption. How will that be possible? GAW claims to have high net worth investors and banking institutions backing their project. They were going to bring as much as $100 million on the table to maintain a floor of $20 for price stability. The current price of a single PayCoin at the time of this post is $1.40.

PaybaseZincSave 

PayBase is a platform to spend PayCoin at several merchant stores including Amazon, Walmart and Target. And after CoinFire research has been confirmed that these retailers denied any kind partnership deal between them and GAW , Paycoin or PayBase . In fact, GAW recently purchased Zincsave which uses Amazon’s API to make purchases on Amazon. A reporter at Coinfire explains:


Keep in mind that if they are using Amazon API’s they ARE bound to the Amazon TOS. Your use as a developer, company or anything else of the Amazon API means you had to agree to the Amazon TOS and they were quite clear to us in the latest statement that what GAW is doing is in violation.

No Honor With Their Honor Program

At the start of the January PayCoin & PayBase promised a Buy-Back program called “Paycoin Honor Program” which involved to buy-back PayCoin’s at the price of 20$ from Coin-Holders that have registered in their program between 1st February and 2nd March , to proof that this coin is at a stable rate of  20$ / 1 PayCoin , lying again to their naive investors . Why ?

Well , they quit to do this program on 1st February with a short and shady answer on PayBase Blog & a Personal Note from Josh Garza on this program where in the end of his statement said ,

Anyways, just know we did everything we could. And stuff like this only makes us stronger. The more we cooperate with the powers in charge, the better it is for Paycoin.

Another fail and another lie that makes this so-called CEO , one of the biggest scammer in Cryptocurrency industry , after all the false statements on his partnerships and how he will buy back all PayCoin’s at the price of 20$ when now PayCoin value at this moment 1.40$ per Paycoin .

Agreesive PayCoin Fanatics & Shills

They are a lot of shills and fanatics between PayCoin investors , one of them is a Twitter user called BadBitcoinOrg which asked nicely our fellow colleagues from Coin Fire to stop writing about PayCoin & GAW because its costing him money and stating ,

“The real “truth” is that bitcoin is f#cked. Scamcoins also. Just anarchic pipedreams. Try XPY for a real world approach.”

here is where the tweet starts : https://twitter.com/Badbitcoinorg/status/557481790756360192 .

Another problem was a direct attack to Coin Fire with DDOS attacks and domain hacking by PayCoin fanatics , most likely they can be called cyber-terrorists under the new international laws .

Also some aggressive statements from other shill users on their own hosted forum named HashTalk which I suspect they are part of GAW & Paycoin team . Here is a printscreen with a ‘beautiful’ statement about people who sold PayCoin so they can get out of this scam .

Screen+Shot+2015-02-01+at+6.30.55+PMConclusion

After all this conclusive evidence of a scam & shady business we can only tell other people to stay away from this business and crypto currency , and before investing it’s good to do your due diligence because 95% of the crypto currencies are subject to be a scam coin in one way or other . Since there are no regulations, there is no accountability and never invest more than you can afford to lose.

 

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Razvan 'Spiry'
Full Name : Razvan Gabriel Paun , Owner of 24/7 Crypto News . Cryptoenthusiast , Bitcoin Fanatic . If you want to contact regarding any information you can email : office (at) 247cryptonews.com . An active member of the Cryptocurrency Community, and enjoys collecting, trading, and writing about various coins & Bitcoin latest news .
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