Topic: BitFlowSystems IPO - page 3. (Read 17337 times)

There isnt much to discuss.
we are talking a small amount of expenditures, finances, and assets.
We lost a significant amount of btc to hardware depreciation, I also turned on the miners to mine solidcoin for now, so i have some of those.
I also have 40 btc to give to nefario.
Nefario is going to handle the refund.
As i get increments of 40-50 btc put aside i will give to him and he will reverse transactions and pay people back.
I will msg him right now with the first 40, and he will reverse the most recent transactions until everyone is paid.

You don't need to sell for a loss unless your desperate, in which case you should most likely not be investing in bitcoin stocks or any stocks really.  The amount of money you are talking about losing is .629 BTC, or roughly 4$, that is pretty good considering what happened.
Anyways, 40 btc will be distributed asap, at nefario's convenience.

WiseOldOwl ...

Can you please summarise the finances, expenditure and remaining assets of the company to date ?

Can you please elaborate on the refund schedule ?

For what it is worth, I have placed an ask up for my 629 shares at 0.009 BTC each - meaning a 10% loss on the small amount I could afford to invest.

If you wish to refund me at 90% by buying these back please do so, or if someone else wants to make an easy 10% ...

Anyone who's raised money will tell you, the smaller the investment, the more the hassle. 

Yes this whole thing was for a mining business,
We attempted to IPO for a service business and it did not work out in time.
We are going to be refunding the money.
Everyone here needs to be realistic about this situation.
There have already been people inquiring about the hardware so that is good. Also it's not like I am going anywhere so you are going to actually get your money back for a bitcoin stock investment in mining that originated in JUNE
(end of mining being worth it)
To the few people that invested in the second IPO (entered in at .05 btc per share or more),
You have the right idea and I encourage you to pursue service related investments, I am sorry we couldn't get it even past the 20% stage.
We will liquidate the hardware we have, and obviously refund whatever is in the glbse account. After that, if we are still short I will pay out of pocket. I think this is fair considering the amount of time and effort and money and gas I have put into this. Just to have a ridiculously hot house, an insanely high electric bill, and a low profit margin. The transition to services through this stock failed to keep up with the demand of the company. It is what is known as a failed start-up investment. You simply cannot run services without raising the proper funds, I gave the community the opportunity first but it didnt work out in time. Refunds will be coming soon.

Also If my tone is off it is because I have had a few private emails calling me a scammer after the bazillion transactions I have made good on. A lot of people thought I was just walking away with the money. I am not taking money to be clear. It is being refunded for sure. We are liquidating and going from there.

I am going to assume that my reputation would be enhanced by the nobility of paying a bitcoin stock investment back after mining failed and it didnt get out of it's IPO... I feel like you guys are expecting a lot. Its not like I am mybitcoin.com and i said I would safely guard btc for you and have them for you later and then walk away with them. It was a investment in a IPO, that needs to be reflected on for a second, the amount of loss incurred by me matters too.Again, refunds coming soon.

WiseOldOwl ...

Could you please go back and review what you have (or rather haven't) said to the investors, particularly over the last two months. This thread represents the sole method of communication between them and you.

What you are now saying is a significant turn around in both tone and content - almost to the point where I wonder whether the account has been compromised.

You might want to consider the impact on your reputation of what you are saying and doing right now.

AFAIK this share is not for bitcoinbux.com, so that's not whats on the table.

If Owl is not going to continue operations, then the best thing to do is liquidate the assets for the company you have (i.e. the mining equipment)and make a single final dividend payment with the proceeds, then the share could be considered worthless.

In the meantime people can continue to trade in the share, and people can buy or sell for what they think it will eventually be worth.

You may consider selling the rigs to Tawsix of SIN, he may be interseted (don't know).

Another option may be to continue the running of the mining rig, less electricity and operation costs, paying out dividends until the rigs essentailly fail, and then liquidate them.

I would say that it would be a good idea for owl to recall any unsold shares,I'll add that function to the webclient tomorrow, and to cancel any of his market orders to sell.

If these turn out to be the only two ideas then owl might put them to a shareholder vote and let the shareholder decide how to wind things up.

Nefario.

I think I pm*ed you, i didnt save a record of it though, let me know.

Please check your pm's owl

I didnt read in that quote anything that said I never touched the money.
In-fact the first BTC still went to mining equipment before there was ever a bitcoinbux.com.
This was a mining operation, then we tried to raise funds so you guys could be on board for the service thing but the funds did not materialize.
No 200 btc isnt enough for you guys to be part of this, but it was enough to be part of a mining op. The problem is it didnt work out. 2,000 btc is a more realistic buy-in for the exchange company so i offered 40,000 shares at .05 btc each. They didnt sell.
BitFlowSys didnt work out.
No we wont be offering personal loans to you guys like I did with our long time family friends who put up 10k+ and live in the same place.
The absolute crazy insane part is I am expected to refund you guys at a bigger loss to myself when my mining and my attempt at raising funds failed too.  Whatever though, the community wants to eat cake and have it too.
I feel like just running the rigs and letting everyone split their 1 btc a month in dividends because of the way it is being handled.
The only reason I don't feel guilty for saying that you guys are lucky you are getting paid back is because I have lost significantly more in SEC regulated markets for much less going wrong, LOL try and get a refund from them.
And on the first page of E-Trade, it doesn't blatantly state that "this is in beta and you could lose your shirt. Do not put more in then you are willing to lose."
Im not saying GLBSE wont turn out to be a great staple of the bitcoin community, but I love investing and I have not invested 1 dollar into any company on there, why??? Because it is a extremely risky investment with i'd say a less than 10% chance of any return and the company making it out of their IPO.
BitcoinBux has been funded by numerous people, but to think that 200 btc can operate BitcoinBux is a little naive...
Like I stated before, I will be paying you guys out of my pocket, not out of this company.
I am discussing with nefario how to go about doing this the best way.
It was not right this second that we saw glbse unfit it was infact over a week ago. Our lawyer explained the sec regulations and how this could be remotely construed as raising illicit funds. He suggested we disconnect ourselves from it.
I would like to save face and pay everyone back though, crazy I know.
I dont understand how you guys dont feel any loss though??? Im not even running the mining rig it is so pathetic in profit, wtf do i do with it. I cant issue it as a dividend, if I sell it we get half what we paid.
Suggestions welcome,

What has our contract got to do with these "large investors"?

Why has it taken till now for you to decide GLBSE is unfit for purpose?

I assume you will provide an opportunity for all existing investors to join these "large investors" in this separate project?

Just so we are all clear here ... you are saying none of the funds raised from sales of BitFlowSys shares has been withdrawn from GLBSE?

What has funded bitcoinbux.com?

So the original project that is BitFlowSys has been put on hold.
New larger investors in combination with a lawyer have made it clear that glbse not going to be part of this business for a multiple of reasons.
There will be some refunds issued in intervals,
Sorry mining did not make it and the expansion we needed to support a large service company did not materialize through glbse.
A more detailed post will be out soon.
Sorry for the outcome of this situation, I was hoping for a bit more luck.
Good luck to you all.

What's the latest on the company ?

Bitflow is in danger of being delisted in 14 hours https://bitcointalksearch.org/topic/glbse-companies-being-delisted-take-action-now-37414

Nefario

Can we get an update on progress and financials (customer numbers, revenue, costs, profit) please ?

Also, when can we expect a dividend payout ?

We are US Based,
And no, the current state of things in regards to gambling wouldn't involve backing by a US Company. If We were to make a fully advertised and functional casino, It would be solely run in a legal jurisdiction like the ones mentioned above.
The Gambling is on the back burner to services and banking anyway at the moment, we are jumping hoops to expand the ability to acquire BTC to more people.
There are interesting things happening, and I don't know where this will go. We have an appointment with a lawyer next week, we will see what he says.

For my edification, and that of others interested: are you located in the United States -- or somewhere else.

One concern with your proposal is whether the laws in your jurisdiction allow online gambling.  Certainly a "small fish" is less likely to attract attention, but being based in the US is a riskier concept than if you're based in, say, Ireland (Intrade) or Antigua (who recently won a WTO dispute against the US).

Things have changed significantly since that post. That post was referring to mining costs of electricity and equipment debt from leasing or borrowing. I was just clarifying that our bills get paid first because we are oh' so prudent   .
And yes I will pretty much work (hard too might I add) for free until we can support some type of salary for me. The programming will most surely be paid for out of the money raised by the IPO. If I have to pay for internet or something like that that I cant afford out of my own pocket for any reason I will notify. But so far all small costs I have just eaten.

If we considered and paid me for all the time I have put in, we would be broke lol. When things are going well we can all agree on some way to compensate me for my work. But for now I'm just going to keep on working, and see how big we can build.

You don't plan on working for free, do you?  Before I would even think of investing, I would want to see a contract listing these "debts" and their values.  I know programming isn't free, and your time is probably a significant debt.

Ya I only got like 15 each for the bitcoins so more like 750. Also I have a 6870 for the rig just sitting here due to lack of riser cable, but that should bring it closer to 800 m/hash.

I have not hired anyone for coding yet.
We are talking with the designer of http://wheelwarehouse.com about whether he would be able to pull it off in a secure and fashionable sense. *Also I am working on getting Wheel Warehouse to accept bitcoins*

The employee I hired is a young friend of the family,
His job is to alert me to the various incoming messages, emails, etc. when I am afk.
Again I am paying him out of my money at first so no his salary is not going to eat up the original funds raised. He is mostly for international customers so we can offer service to them but I can still sleep at night.

that mining rig you built for 50BTC is horrible. 50BTC at minimun is $1200 for $1270 my rigs get 1350M/hash on average.

Besides that the rest doesnt  sound bad. Who did you hire for coding and as an employee?