Topic: BitcoinTrading.com's LOTTOMINING.CA [Back in the saddle! Thanks Nef!] (Read 1852 times)

Yes!  We got paid!

We ordered two 60 GH/s SC Singles tonight and so now LOTTOMINING is @ 120GH/s!!

Watch LOTTOMINING.ca for updates!

Rephrase that, not sure what you mean.  We are still trying to figure out the best way to list everything legally.  There will be no 'trading' of shares, so it will not be an exchange. 

What's your legal position in doing this?

LottoMining moving internal, all shares can be purchased through LottoMining.ca BUT we're not done testing it just yet.  But that's what's going to happen! 

Saturday is going to be interesting.

This is the last thing I saw before going to bed last night, only to wake up to horrors.  There was also a blizzard this morning, first sign of snow this year and it's a blizzard.  Yep.  Canada for ya.  Today was not a good day.

What is up with GLBSE.com!!!! 

We had 250 BTC worth of shares sold last night, and I was about to order two 60 GH/s miners and now It's offline!  WTF.  This is outrageous.  Less than 1 day since he put the ticker up on GLBSE, the whole site goes down. 

I spent all last night making up lottomining.ca...

If you can accomplish all that with only a small investment of $8000 why don't you just do it yourself 

OH....wait   

So....assets of suspected ponzis & goats are delisted, but a business model apparently already determined by the SEC to be a scam in the Sonny (of BFL fame) case  is good to go on GLBSE.

Of course people are buying. They're dying for someone new to relieve them of their funds. Good thing nefario is there to protect them.

If you think it's a joke, don't invest, just watch and buy shares once the share price has increased.  Since there are only 3500 shares, and I know people who are are ready to invest, there is a good chance they will be sold out.  When they are all sold out, the market will decide the value. 

At least 100 BTC will be invested day one by people I have told about this. 

The contract I sent to Nefario must have been too long-winded to include on the IPO posting, and the detail about what share ownership included must have been omitted.  See this link for the official contract:

http://www.bitcointrading.com/forum/glbse-investment-companies/(glbse)-bitcointrading-com's-canadian-lottery-mining-company/

So that having been said, yes the shareholders indeed have ownership over the hardware and other assets owned by the company.

- We are buying lottery tickets with mining revenue, you are correct about that.  However, you say the chance of winning the lottery is 0%, which it is not.  Winning all 6 numbers correct would be nice, but what if we get 3 or 4 numbers correct?  If there are $500 and $1000 winnings, even the $5 winnings here and there would give dividends, and regular lower-winnings are almost ensured.

- You don't understand how we will be spending the money I think.  So imagine, now that BFL has announced even higher numbers, we will expect higher returns on each unit. 

So let's say we order our units, they eventually arrive, and each BFL Single does 60 GH/s.  We order, say, 6 of them (360 GH/s), so at the current difficulty we will make 114 BTC PER DAY.  That's 798 BTC PER WEEK.  At the current price, $9,895 per week and we only bought 6 units, leaving the other money to invest elsewhere, other GLBSE tickers. 

So we make $10k a week.  Difficulty will clearly get higher, so week 4 make we're only making $8000 a week, week 8 maybe we're only getting $6000 a week, and the number will continue to get smaller.  But we only need to spend $50 per week to survive indefinitely.  Each week when we buy a ticket, it is valid for 3 months, so even just spending $50 per week we have more and more sets of numbers in each draw. 

We will increase our spending from 1 ($50) ticket per week, to two tickets, three, and so on as long as we have enough money to continue for a long time.  If 1 ticket is $50 CAD, at $12.40 per BTC, so 4.03 BTC spent.  If we are sitting on 100 BTC in revenue, that means we are sustainable for 24 weeks.  If the next week we spend 4.03 BTC on ticket #2, but earn another 100 BTC, that means we have (100 - 4.03 + 100 - 4.03) = 191.94 BTC left, and sustainable for 47 weeks now.  See what I mean?  If we make more money than we spend, it means we sustainable for that many more weeks.  Once we are sustainable for >1 year, it is easy to justify spending more each week.  On week 20, who knows, maybe we are buying 10 tickets per week ($500) and still be sustainable for a year.  If all of a sudden our revenue goes way down (difficulty gettiing nutters), then we reduce spending to a level where we are sustainable. 

It's hard to imagine that on 360 GH/s we can be 'not sustainable' to purchase lottery tickets. 

If 1 year from now, bitcoins are worth $20, which is very plausible, now the $50 tickets are costing us 2.5 BTC each.  As BTC rises in value, our costs go down.  Price will not follow difficulty directly, but it's safe to assume bitcoin will increase in value in the next 2-3 years.  If we have enough funds to maintain this lottery, then we will almost get an infinite number of tickets on a small $8000 investment. 

If we took $8000 and spent it ALL on lottery tickets on the first day, we would probably lose.  But since we are investing the money and only spending revenue, I see it as a bulletproof company. 

If this joke gets listed on GLBSE or in any other BTC or LTC exchange, the owners of those exchanges MUST! jump off the cliff and remove themselves permanently from the gene pool. I honestly hope they have not procreated yet.

I think this "market" is ready to buy my indulgences - virtual cost 1 BTC a pop, PM for details.   
If you like the ceramic ones, please let me know -  those are 7 BTC + S&H PM for details.

So, if I understand this correctly, shareholders do not own the mining hardware so essentialy we are just buying lottery tickets with the mining revenue, which decreases each difficulty change thus buying less tickets each week  
So in the end its better for the people who likes to gamble to buy their own tickets (at canada or any other lottery) and not through mining dividend.

PS:
THE CHANCE OF WINNING A LOTTERY IS 0%, SO DIVIDEND RETURNS ON THIS ASSET WILL ALSO BE 0%

Strange kind of business  

Greetz

I lol'd. But seriously, state lotteries have negative expected return. How is this an investment?

PS. Nefario, this is the sort of thing GLBSE accepts now?

Ticket scans will be available!

You will want to setup a way to provide some proof that tickets were indeed purchased, especially since SEC is actively reading the forums right now.

There is going to be 3500 shares @ 0.25 BTC, so roughly 825 BTC total.  We may release additional shares in the future but right now the low availability of shares is going to be attractive to investors.  If a 40 GH/s rig costs 106 BTC (currently), then we can purhcase eight of them, giving us 320 GH/s, effectively.  Now, investing heavily in GLBSE assets would help us "not put all our eggs in 1 basket", but I think putting a heavier emphasis on hardware is a good idea, since no asset on GLBSE comes close to BFL spec.  The recent photos they uploaded look very tasty and I think it's a safe bet at this point.  If you had 320 GH/s right now, without competition, you would get 101 BTC/day, or 707 BTC/week, that's roughly $8,600 clear every week.  If the difficulty gets twice has hard, five times as hard, even ten times as hard, we are still clearing FAR more than the $50 per week we need to spend to continue purchasing 25-draw tickets.  It will basically reach a point where we get lottery tickets for life, because the higher the BTC value goes, the less each ticket costs because we purchase them in CAD$.  We will increase the frequency of ticket purchases, but for the first few weeks we will purchase 1 ($50 twenty-five draw) ticket per week, and then increase that judging on how the outlook is.  If outlook starts looking dismal (difficulty gets 1000 times harder), then we will purchase tickets less frequently, so that we are only spending the dividends and profits, the capital remains the same.  That is why we will most likely not need to issue additional shares, since this formula is already set to give us infinite tickets, however by releasing twice as many shares, our profits will be that much higher, and we will get that many more tickets.  It's not out of the question, but we'll start with the 3500 shares and go from there.  Since non-shareholders will be able to see the calendar of numbers, they will pretty much have a sneak peek of if there are winnings, I could only imagine how high our stock will spike if there is any major winnings.  Since a percentage of profits goes back into growth, this company will continue to grow in size as it is.

I'm going to either integrate automatic 6/49 winning number fetching into the site, or hire someone to integrate that for us.  So that each week, we get more and more sets of numbers in each draw, it will be hard to keep track of, but if we have a calendar view that shows us what numbers we have in each draw, how many sets of numbers in each draw, and the winning lottery numbers twice a week, with automatic display of if the ticket is a winner (since it is an easy calculation of "how many correct out of 6", it should be a simple PHP script.  It will then grab the most current block and take the first 6 useful numbers from the hash at a determined time (every.. friday/saturday?) and tell me which numbers to use.  We can even play by subscription so the numbers we play will automatically be entered, but if that service is slow/unreliable, it might be better to get the tickets the manual way (faxing is fast though..). 


I thought the same thing when I read the allegations.  I was like "OMG I'm starting a lottery mining company by investing in a mining company founded by a person who scammed people out of the lottery?"  I am still in shock about the situation, and I sincerely hope that BFL turns out the real products.  I'm going to assume they are indeed legitimate, our company will be a small piece of the pie compared to other investors in BFL.

Lotteries and bitcoin mining... Sonny, is that you?

How many shares are you going to issue or is it going to increase as the shares are sold out?
What price are you going to issue shares at?

very interesting idea, I can't wait till you hit a number and someone buys all the outstanding shares for sale. 

But I think its a good idea.

Very pleased to announce LOTTOMINING!  

IPO is October 1st, 2012 on GLBSE.
IPO actually happened October 3rd, 2012.
GLBSE closes October 4th, 2012.
GLBSE pays us our IPO money October 14th, 2012.
LottoMining orders 120GH/s (2x SC Singles) same day funds received.

Check us out @ LOTTOMINING.CA