[BTC-TC] CryptX introduces the PETA-MINE - 18,000 CHIPS IN SEPTEMBER/UPDATE - page 16.

FloatesMcgoates

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Quote from: dhenson on August 28, 2013, 12:56:59 AM

Imagine for a second the IPO sells out and they deliver mid December @ 20% of the network. Now ask yourself what the btc/share price will be given there are only 100,000 shares.

You will be able to re-evaluate your position and sell for an incredible profit if you should so choose. If they aren't keeping up with the network then you can bail. This isn't till death do you part.

I am bullish on the profit potential, even if it might be for only a few months into 2014.

Undoubtedly we are not getting through to each other so I'm just going to bail out after this last comment. I see very little potential for profit but if you want to be an early adopter and buy the IPO when it is nearly full then go ahead. If I see that there is actual demand then of course I would be in short term for the post IPO-bubble, but the prospects for this company long term are dim indeed.

dhenson

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Imagine for a second the IPO sells out and they deliver mid December @ 20% of the network. Now ask yourself what the btc/share price will be given there are only 100,000 shares.

You will be able to re-evaluate your position and sell for an incredible profit if you should so choose. If they aren't keeping up with the network then you can bail. This isn't till death do you part.

I am bullish on the profit potential, even if it might be for only a few months into 2014.

FloatesMcgoates

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Quote from: dhenson on August 28, 2013, 12:45:00 AM

Quote from: FloatesMcgoates on August 28, 2013, 12:39:16 AM

Quote from: dhenson on August 28, 2013, 12:22:46 AM

Quote from: FloatesMcgoates on August 28, 2013, 12:17:36 AM

The IPO is just asking for way too much BTC, I have a feeling this will go the way of Hosted-Mining and end up DOA unless the initial price gets lowered and is replaced by some money from the actual founder in order to get his skin in the game.

If you run the numbers, this is actually a very interesting value proposition. There is plenty of room for growth considering they will be going live with 1PH when the network is forecasted to be around 3.5-4PH translating to an initial 20% of the network.

@ 20% of the network that's 800 btc/day * 65% for dividends = .0052btc/share per day or .0364/week (around 300%/year dividends over IPO price).

edit... As far as skin in the game, they have already stated they will be adding 20% hash rate out of their pockets with the dividends going 100% to investors until .65 is returned.

A few points:

-Surely having spent a fair amount of time around bitcoins and companies that deal in them, you cannot expect PETA-MINE to deploy on time.

-PETA-MINE does not have any additional revenue streams other than bitcoin mining. In order to maintain revenue, PETA-MINE would have to deploy an additional 20-30% of its total hash rate every 12 days. This equates to adding 200-300 Gigahashes the first time, then 240-390 Gigahashes the 2nd time and you get the picture. This is entirely non feasible given 35% reinvestment from mining alone.

-cryptx is as far as I understand not doing anything that any of us could not do. He is raising money in order to buy mining rigs - this is something that you and I or any average joe could theoretically do, so this is essentially a group buy with an extra fee.

These reasons are why I am skeptical of companies like basic-mining, cognitive, or peta-hash. It will be very hard to maintain any sort of network percentage and prohibitively expensive to keep up with difficulty increases. Real money is in making machines, not mining with them.

I'm actually quite optimistic about deployment schedule. Cointerra is unlike any chip manufacturer we've seen. One look at their team and all doubts of their ability evaporate fairly rapidly. If these guys can't deliver on time, no one can.

You are correct that anyone can do this, however you really need to scale up in order to effectively add new equipment with 35% reinvestment. If the entire IPO is sold, and they go live with 20% of the network they will be able to add approx. 17TH/day via their 35% reinvestment. (assuming they are paying 100% retail, which they don't seem to be).

I would like to see any sort of proof that they are not paying 100% retail. If cryptx were just paying 100% retail for this project, then there is absolutely no point in investing as we would be better off individually purchasing cointerra products.

Also, 17TH/day may sound great, but realize that we are dealing with percentages in a zero sum game. It will be completely and utterly impossible to maintain network percentage by reinvesting 35% of mining income. If that were possible, then everyone and their mothers would be doing it and causing a feedback loop making it impossible. As we have seen, ASICminer was unable to maintain 20% network percentage even though they produced equipment inhouse with no markup and had additional revenue through hardware sales. Do you really expect PETA-Hash to have a higher network percentage than ASICminer through simply buying machines through a third party? What about their ability to maintain any percentage they have? If ASICminer is struggling in the face of difficulty adjustments, what are the prospects for a company that has only 1 revenue stream that will only decline over time?

DeathAndTaxes

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Gerald Davis

Quote from: FloatesMcgoates on August 28, 2013, 12:39:16 AM

These reasons are why I am skeptical of companies like basic-mining, cognitive, or peta-hash. It will be very hard to maintain any sort of network percentage and prohibitively expensive to keep up with difficulty increases. Real money is in making machines, not mining with them.

This. There is a limited market IF the entity has an advantage over the retail consumer. Access to industrial space at below market prices? Signed a power agreement for interruptable supply at unbeatable rate <0.04 kWh? Operating in a climate that reduces the need for HVAC? Have a deal w/ manufaturer to buy initial and upgrade hardware at substantially (30%) less than retail?

Optimally it would be all of them combined. A person who has access to couple thousand feet of warehouse space in Canada in a district where with an interruptable contract can get power at $0.035 per kWh and is being offered rigs at $5 per GH/s for Dec delivery.

dhenson

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Quote from: FloatesMcgoates on August 28, 2013, 12:39:16 AM

Quote from: dhenson on August 28, 2013, 12:22:46 AM

Quote from: FloatesMcgoates on August 28, 2013, 12:17:36 AM

The IPO is just asking for way too much BTC, I have a feeling this will go the way of Hosted-Mining and end up DOA unless the initial price gets lowered and is replaced by some money from the actual founder in order to get his skin in the game.

If you run the numbers, this is actually a very interesting value proposition. There is plenty of room for growth considering they will be going live with 1PH when the network is forecasted to be around 3.5-4PH translating to an initial 20% of the network.

@ 20% of the network that's 800 btc/day * 65% for dividends = .0052btc/share per day or .0364/week (around 300%/year dividends over IPO price).

edit... As far as skin in the game, they have already stated they will be adding 20% hash rate out of their pockets with the dividends going 100% to investors until .65 is returned.

A few points:

-Surely having spent a fair amount of time around bitcoins and companies that deal in them, you cannot expect PETA-MINE to deploy on time.

-PETA-MINE does not have any additional revenue streams other than bitcoin mining. In order to maintain revenue, PETA-MINE would have to deploy an additional 20-30% of its total hash rate every 12 days. This equates to adding 200-300 Gigahashes the first time, then 240-390 Gigahashes the 2nd time and you get the picture. This is entirely non feasible given 35% reinvestment from mining alone.

-cryptx is as far as I understand not doing anything that any of us could not do. He is raising money in order to buy mining rigs - this is something that you and I or any average joe could theoretically do, so this is essentially a group buy with an extra fee.

These reasons are why I am skeptical of companies like basic-mining, cognitive, or peta-hash. It will be very hard to maintain any sort of network percentage and prohibitively expensive to keep up with difficulty increases. Real money is in making machines, not mining with them.

I'm actually quite optimistic about deployment schedule. Cointerra is unlike any chip manufacturer we've seen. One look at their team and all doubts of their ability evaporate fairly rapidly. If these guys can't deliver on time, no one can.

You are correct that anyone can do this, however you really need to scale up in order to effectively add new equipment with 35% reinvestment. If the entire IPO is sold, and they go live with 20% of the network they will be able to add approx. 17TH/day via their 35% reinvestment. (assuming they are paying 100% retail, which they don't seem to be).

edit... re-reading my post I think I may be a little too excited. Time to drink some good ol' bitcointalk fud juice.

FloatesMcgoates

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Quote from: dhenson on August 28, 2013, 12:22:46 AM

Quote from: FloatesMcgoates on August 28, 2013, 12:17:36 AM

The IPO is just asking for way too much BTC, I have a feeling this will go the way of Hosted-Mining and end up DOA unless the initial price gets lowered and is replaced by some money from the actual founder in order to get his skin in the game.

If you run the numbers, this is actually a very interesting value proposition. There is plenty of room for growth considering they will be going live with 1PH when the network is forecasted to be around 3.5-4PH translating to an initial 20% of the network.

@ 20% of the network that's 800 btc/day * 65% for dividends = .0052btc/share per day or .0364/week (around 300%/year dividends over IPO price).

edit... As far as skin in the game, they have already stated they will be adding 20% hash rate out of their pockets with the dividends going 100% to investors until .65 is returned.

A few points:

-Surely having spent a fair amount of time around bitcoins and companies that deal in them, you cannot expect PETA-MINE to deploy on time.

-PETA-MINE does not have any additional revenue streams other than bitcoin mining. In order to maintain revenue, PETA-MINE would have to deploy an additional 20-30% of its total hash rate every 12 days. This equates to adding 200-300 Gigahashes the first time, then 240-390 Gigahashes the 2nd time and you get the picture. This is entirely non feasible given 35% reinvestment from mining alone.

-cryptx is as far as I understand not doing anything that any of us could not do. He is raising money in order to buy mining rigs - this is something that you and I or any average joe could theoretically do, so this is essentially a group buy with an extra fee.

These reasons are why I am skeptical of companies like basic-mining, cognitive, or peta-hash. It will be very hard to maintain any sort of network percentage and prohibitively expensive to keep up with difficulty increases. Real money is in making machines, not mining with them.

cryptx

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Quote from: dhenson on August 28, 2013, 12:17:13 AM

CryptX,

Is there any information on your team members other than what is posted on the www.cryptx.com website? Also, I saw a post by cointerra wishing you luck on your IPO which isn't exactly confirmation of the partnership. Do you have any confirmation of the Cointerra and Burnin partnerships that we can view?

Thank you, as I'm sure you can understand, the more information we can use to do our due diligence, the more investors you will have once you go live.

We will attent to your question shortly.

cryptx

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Activity: 350

Merit: 250

Quote from: FloatesMcgoates on August 28, 2013, 12:17:36 AM

The IPO is just asking for way too much BTC, I have a feeling this will go the way of Hosted-Mining and end up DOA unless the initial price gets lowered and is replaced by some money from the actual founder in order to get his skin in the game.

Our skin is in the game:

UPDATE 27/08/2013

We received some valuable feedback and updated our IPO details with the following:

For every share sold, CryptX will invest in an additional 20% of hashpower. All mining revenue from this additional 20% will go to public shareholders until the initial investment of 0.65BTC/share is recovered in dividends.

From "shareholder protection":

The IPO will prove successful with the sale of at least 30,000 shares. If fewer than 30,000 shares sell within 30 days, CryptX will refund the entire IPO to shareholders. What’s more, the fact that no shares beyond those offered at IPO will ever be issued means shareholders need not fear dilution of the value of their shares.

dhenson

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Quote from: FloatesMcgoates on August 28, 2013, 12:17:36 AM

The IPO is just asking for way too much BTC, I have a feeling this will go the way of Hosted-Mining and end up DOA unless the initial price gets lowered and is replaced by some money from the actual founder in order to get his skin in the game.

If you run the numbers, this is actually a very interesting value proposition. There is plenty of room for growth considering they will be going live with 1PH when the network is forecasted to be around 3.5-4PH translating to an initial 20% of the network.

@ 20% of the network that's 800 btc/day * 65% for dividends = .0052btc/share per day or .0364/week (around 300%/year dividends over IPO price).

edit... As far as skin in the game, they have already stated they will be adding 20% hash rate out of their pockets with the dividends going 100% to investors until .65 is returned.

dhenson

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Quote from: cryptx on August 28, 2013, 12:11:31 AM

Update BTC-TC application:

We have now received 4 YES votes on our application, so one YES vote left before going live.

In other words. Just 1 YES vote until you see a noticeable drop in share price of AM, ActM and labcoin. If this is anything like the BTCGarden/Labcoin IPO people will be moving their btc around to buy shares.

FloatesMcgoates

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The IPO is just asking for way too much BTC, I have a feeling this will go the way of Hosted-Mining and end up DOA unless the initial price gets lowered and is replaced by some money from the actual founder in order to get his skin in the game.

dhenson

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Quote from: cryptx on August 28, 2013, 12:11:31 AM

Update BTC-TC application:

We have now received 4 YES votes on our application, so one YES vote left before going live.

CryptX,

Is there any information on your team members other than what is posted on the www.cryptx.com website? Also, I saw a post by cointerra wishing you luck on your IPO which isn't exactly confirmation of the partnership. Do you have any confirmation of the Cointerra and Burnin partnerships that we can view?

Thank you, as I'm sure you can understand, the more information we can use to do our due diligence, the more investors you will have once you go live.

cryptx

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Update BTC-TC application:

We have now received 4 YES votes on our application, so one YES vote left before going live.

damiano

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103 days, 21 hours and 10 minutes.

This seems solid and very reasonable. I will be investing

dhenson

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This seems like a very good deal. Even if you only maintain 5% of the network you are still looking at a 75%/year dividend.

cryptx

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Quote from: Mytche on August 27, 2013, 12:11:08 PM

Seems like a pretty solid offering you are keeping costs low and providing a high amount of shareholder protection.

I do wonder about the somewhat high buy-in level. Why not 1,000,000 @ 0.065? Do you already have a split in mind?

We felt that 10GH/share for 0.65BTC would be an affordable number to invest in mining. If liquidity ever becomes a problem we can file a motion for a split.

canth

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Quote from: Mytche on August 27, 2013, 12:11:08 PM

Seems like a pretty solid offering you are keeping costs low and providing a high amount of shareholder protection.

I do wonder about the somewhat high buy-in level. Why not 1,000,000 @ 0.065? Do you already have a split in mind?

I can't imagine they'd go into it expecting a split, since that would incur exchange fees.

Mytche

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Seems like a pretty solid offering you are keeping costs low and providing a high amount of shareholder protection.

I do wonder about the somewhat high buy-in level. Why not 1,000,000 @ 0.065? Do you already have a split in mind?

cryptx

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We received some valuable feedback and updated our IPO details with the following:

For every share sold, CryptX will invest in an additional 20% of hashpower.
All mining revenue from this additional 20% will go to public shareholders until the initial investment of 0.65 BTC/share is recovered in dividends.

cryptx

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Activity: 350

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News about our partner Cointerra:

http://www.coindesk.com/cointerra-cuts-price-of-terraminer-iv-bitcoin-mining-rig/

Topic: [BTC-TC] CryptX introduces the PETA-MINE - 18,000 CHIPS IN SEPTEMBER/UPDATE - page 16. (Read 238096 times)