[2014-06-15] CD: Will Industrial Mining Become the Next Big Investment ?

kjlimo

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Quote from: bryant.coleman on June 23, 2014, 04:39:23 AM

Quote from: Paladin69 on June 23, 2014, 02:39:11 AM

Yep, although a lot of people sure aren't smiling.

Even when BFL dished out their first mining rig, I had warned people about it. I wasn't sure about Avalon, but I found the BFL pre-orders fishy. Not just me, but a lot of users posted warnings here. But some people never bothered to listen to them. That is why I am smiling right now and they are crying. I am not trying to mock anyone... but just posting the facts.

Agreed; when the price of bitcoin goes up, you're better off usually having bought bitcoin...

However, there is money to be made in the mining if you time it correctly as well. I look at it as a hedge to pure bitcoin ownership... which I'm certainly a fan of as well.

Paladin69

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Quote from: bryant.coleman on June 23, 2014, 04:39:23 AM

Quote from: Paladin69 on June 23, 2014, 02:39:11 AM

Yep, although a lot of people sure aren't smiling.

Even when BFL dished out their first mining rig, I had warned people about it. I wasn't sure about Avalon, but I found the BFL pre-orders fishy. Not just me, but a lot of users posted warnings here. But some people never bothered to listen to them. That is why I am smiling right now and they are crying. I am not trying to mock anyone... but just posting the facts.

The FPGA rig I was happy with. From the time I ordered it took 16 weeks. 8 weeks late, but way better than that shit storm 65nm and 28nm asic gens.

Somebody in upper management got super greedy along the way. I should've read this board more. Learned my lesson and didn't bother touching their 28nm garbage.

bryant.coleman

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Quote from: Paladin69 on June 23, 2014, 02:39:11 AM

Yep, although a lot of people sure aren't smiling.

Even when BFL dished out their first mining rig, I had warned people about it. I wasn't sure about Avalon, but I found the BFL pre-orders fishy. Not just me, but a lot of users posted warnings here. But some people never bothered to listen to them. That is why I am smiling right now and they are crying. I am not trying to mock anyone... but just posting the facts.

Paladin69

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Quote from: bryant.coleman on June 23, 2014, 02:10:58 AM

Quote from: Paladin69 on June 23, 2014, 01:36:22 AM

The ever increasing supply of tards that fail at using a calculator who keep giving their money to leeches selling overpriced equipment don't help the situation any. They will keep selling overpriced garbage as long as people keep buying.

Not only they are overpriced, but 90% of the time they never arrives. Only a very few manufacturers such as Bitfury are reliable. BFL rigs usually arrive 12 to 18 months after their promised date, or they never arrive. Grin

Yep, although a lot of people sure aren't smiling.

Paladin69

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Quote from: ThomasCrowne on June 23, 2014, 01:53:33 AM

I have a feeling it will be but the Industrial mining operations will likely be designing their own chips and mining as soon as they are hot off the presses so to speak. Going to be quite a ride!

A lot of the companies that are well established thanks to their customer funds can now probably self-generate enough capital for each successive generation to mine for themselves repeatedly.

bryant.coleman

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Quote from: Paladin69 on June 23, 2014, 01:36:22 AM

The ever increasing supply of tards that fail at using a calculator who keep giving their money to leeches selling overpriced equipment don't help the situation any. They will keep selling overpriced garbage as long as people keep buying.

Not only they are overpriced, but 90% of the time they never arrives. Only a very few manufacturers such as Bitfury are reliable. BFL rigs usually arrive 12 to 18 months after their promised date, or they never arrive. Grin

ThomasCrowne

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★☆★ 777Coin - The Exciting Bitco

I have a feeling it will be but the Industrial mining operations will likely be designing their own chips and mining as soon as they are hot off the presses so to speak. Going to be quite a ride!

Paladin69

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There are no mining companies that sell you equipment for a price that makes more sense than buying BTC direct anymore. Those days ended with BFL FPGA's and Avalon 1 Batch 1. Maybe Avalon 1 Batch 2 if you didn't get fucked over.

The ever increasing supply of tards that fail at using a calculator who keep giving their money to leeches selling overpriced equipment don't help the situation any. They will keep selling overpriced garbage as long as people keep buying.

bryant.coleman

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Quote from: kjlimo on June 22, 2014, 08:10:21 PM

The rigs are paid for... I wait until my new rigs have paid for themselves, and then I buy more with past profits...
Do some maths; you don't always win, but most of the time you do when you pre-order early.

A lot of people have tried to mine without incurring loses, and they were good in maths also. But very few of them ended up making profits. If you pay for your mining rigs in Bitcoins, then there is hardly any chance that you will be able to get a ROI. And pre-orders are notoriously unreliable. I have seen dozens of posts here complaining about pre-orders which never realize.

kjlimo

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Quote from: bryant.coleman on June 16, 2014, 12:55:20 PM

Quote from: kjlimo on June 16, 2014, 09:56:34 AM

Because your maths are wrong... I mine for bitcoins because it's cheaper to obtain bitcoins by mining them than it is by purchasing them at exchanges.

How can this happen? Did you received the mining rig for free? In that case, mining can be profitable. i.e if the electricity is reasonably priced. Other than that there are no possibilities.

The rigs are paid for... I wait until my new rigs have paid for themselves, and then I buy more with past profits...

Do some maths; you don't always win, but most of the time you do when you pre-order early.

Good luck!

Bit_Happy

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A Great Time to Start Something!

"US-based industrial mining facility operator MegaBigPower – which once earned more than $8m a month from its mining efforts each month at peak bitcoin price levels, told CoinDesk it is currently working to finalize an investment round, which it estimates will be of comparable size to BitFury’s."

They were earning (net or gross?) $8m a month from mining! The above quote shows that "peak bitcoin price levels" are the key to mining being profitable.
The only (practical) way to own enough equipment and have it up and running, is to also be ready/running full speed when prices are lower. (Once the units are tested you can always unplug to save power, when prices are off-peak)

bryant.coleman

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Quote from: kjlimo on June 16, 2014, 09:56:34 AM

Because your maths are wrong... I mine for bitcoins because it's cheaper to obtain bitcoins by mining them than it is by purchasing them at exchanges.

How can this happen? Did you received the mining rig for free? In that case, mining can be profitable. i.e if the electricity is reasonably priced. Other than that there are no possibilities.

kjlimo

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Quote from: bryant.coleman on June 16, 2014, 09:50:59 AM

Quote from: Ashbite on June 16, 2014, 05:59:56 AM

It wont be, difficulty will go too high and it wouldnt even be profitable mining anymore.
Only the new tech miners will be able to mine profitable.

Yes. Even if the exchange rates increase, more and more mining rigs will be manufactured and the hash rate will keep climbing upwards. I still don't know why people mine for Bitcoins, when they can purchase them for a fraction of that cost from the exchanges.

Because your maths are wrong... I mine for bitcoins because it's cheaper to obtain bitcoins by mining them than it is by purchasing them at exchanges.

When it's cheaper to buy them, I buy them, but that hasn't happened yet during my 3 year mining career...

bryant.coleman

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Quote from: Ashbite on June 16, 2014, 05:59:56 AM

It wont be, difficulty will go too high and it wouldnt even be profitable mining anymore.
Only the new tech miners will be able to mine profitable.

Yes. Even if the exchange rates increase, more and more mining rigs will be manufactured and the hash rate will keep climbing upwards. I still don't know why people mine for Bitcoins, when they can purchase them for a fraction of that cost from the exchanges.

kjlimo

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Quote from: Ashbite on June 16, 2014, 05:59:56 AM

It wont be, difficulty will go too high and it wouldnt even be profitable mining anymore.
Only the new tech miners will be able to mine profitable.

Agreed; you gotta keep up with the technology to be profitable.

Ashbite

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It wont be, difficulty will go too high and it wouldnt even be profitable mining anymore.
Only the new tech miners will be able to mine profitable.

kjlimo

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Quote from: bryant.coleman on June 16, 2014, 03:58:31 AM

The only set of people who are mining Bitcoins profitably are the BFL guys, using their customers' mining rigs. I don't think that industrial mining will ever happen, as no one will be interested in loss-making process.

Very well thought out response...

bryant.coleman

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The only set of people who are mining Bitcoins profitably are the BFL guys, using their customers' mining rigs. I don't think that industrial mining will ever happen, as no one will be interested in loss-making process.

LiteCoinGuy

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In Satoshi I Trust

Will Industrial Mining Become the Next Big Bitcoin Investment Sector?

http://www.coindesk.com/will-industrial-mining-become-next-big-bitcoin-investment-sector/

Topic: [2014-06-15] CD: Will Industrial Mining Become the Next Big Investment ? (Read 1045 times)