Leroy now admits that he only has ~30 BTC remaining:
Current values: Altcoins 31 BTC / Invested BTC 121= Diff -0.74%
(yes, he doesn’t understand percentages - it’s actually -74%)
He denied the issue until early January. E.g. facebook post on January 4:
Stakeminers.com is a crypto-currency altcoin Proof of Stake (POS) company with current holdings in 12 alt-coins totalling 126 BTC
And January 11:
Currently we have have 184 clients who have invested 126 BTC with a current altcoin value equivalent to 42 BTC. This a decline of 67%
I’ve been documenting the decline since September here and on Bitcointalk:
Leroy kept denying and accusing me of nefarious motives but I won’t bore you with the details.
After he finally admitted the 70% loss he instituted a weekly withdrawal limit of 0.35 BTC (total for all clients):
- PRINCIPAL WITHDRAWAL CAP - EFFECTIVE JANUARY 25, 2016
This is the maximum Stakeminers will payout in principal withdraws each week. The portion of principal withdrawal requests exceeding the maximum will be paid out in subsequent weeks until the full principal payment is made.
The maximum is 0.35 BTC per week. (This amount is dependent on the market value of the coins we stake at the time of withdraw and could increase with favorable market conditions)
18 BTC of withdrawals are queued up:
In progress: are 2 partials for 5 BTC and 6 full for 13 BTC = 8 for 18 BTC.
At the 0.35 BTC per week rate it will take him about a year to pay those out so you can see how this withdrawal policy is keeping the ponzi from collapsing. If he paid 18 BTC out he would only have 13 BTC remaining (of the 120 BTC collected deposits).
In addition to that he has made various other unsupported claims. For example the weekly payout has been quite consistently around 0.5% for the last few months however there is no explanation what that percentage refers to (0.5% of 120 BTC? of 31 BTC?) and it is not supported by the staking income visible on the blockchain:
He has also taken over Ratecoin (XRA) - one of the coins he’s invested in - and appears to be pumping it. You can find that all over the StakeMiners facebook page.