CEX.io GHS Bubble ? - page 3. | Bitcointalksearch.org

nuggetbram

full member

Activity: 326

Merit: 100

Quote from: Mayuyu48 on June 28, 2014, 03:56:54 AM

Quote from: nuggetbram on June 27, 2014, 10:06:01 PM

Hell, I threw 0.15 into CEX out of curiosity, left it in there for a few months, sold it and ended up with 0.23. As a purely mining investment, CEX is awful, but due to the pretty consistent prices, buying, mining for a while and making more than the withdrawl fee will almost certainly net you a profit.

wow, rare example for someone make profit only from mining
how long you mining there? and how much GHS prices when you bought and sold?

The prices did change a bit, from about 0.0068 to 0.0071 over the course of three-four months. It's profitable so long as you sell your ghs after a while and the price remains constant (even better if it goes up, obviously)

As bbeesly said, it's not the best investment, but it's certainly better than leaving them in your wallet. Gives you an interest of sorts

bbeesley

full member

Activity: 121

Merit: 100

Quote from: ranochigo on June 28, 2014, 06:30:44 AM

I don't think there was maintainence fees when you bought it.

there have been maintenance fees for at least the last year. they only account for the cost associated with electricity and maintenance, something we pay on our end when we mine at home

while the cost of mining eats into profit, in the case of Cex it doesn't completely eliminate profit.

if Cex GHS's weren't fungible - they can be traded back to BTC and or purchased in micro amounts - then you would be depending solo on getting back your BTC investment but since you can trade back out at any point, you have a much lower risk and at least for me, it has been better than just leaving the BTC in a wallet doing nothing

ranochigo

legendary

Activity: 3038

Merit: 4418

Crypto Swap Exchange

Quote from: nuggetbram on June 27, 2014, 10:06:01 PM

Hell, I threw 0.15 into CEX out of curiosity, left it in there for a few months, sold it and ended up with 0.23. As a purely mining investment, CEX is awful, but due to the pretty consistent prices, buying, mining for a while and making more than the withdrawl fee will almost certainly net you a profit.

Serveral months ago, it was certainly quite profitable, nowadays, with the maintenance fees and high difficulty, it isn't so profitable any longer. I don't think there was maintainence fees when you bought it.

Mayuyu48

hero member

Activity: 644

Merit: 500

Quote from: nuggetbram on June 27, 2014, 10:06:01 PM

Hell, I threw 0.15 into CEX out of curiosity, left it in there for a few months, sold it and ended up with 0.23. As a purely mining investment, CEX is awful, but due to the pretty consistent prices, buying, mining for a while and making more than the withdrawl fee will almost certainly net you a profit.

wow, rare example for someone make profit only from mining
how long you mining there? and how much GHS prices when you bought and sold?

hexagram

member

Activity: 81

Merit: 10

nosce te ipsum

Quote from: nuggetbram on June 27, 2014, 10:06:01 PM

Hell, I threw 0.15 into CEX out of curiosity, left it in there for a few months, sold it and ended up with 0.23. As a purely mining investment, CEX is awful, but due to the pretty consistent prices, buying, mining for a while and making more than the withdrawl fee will almost certainly net you a profit.

Hi thanks for sharing, do you remember exactly how long these few months were?

nuggetbram

full member

Activity: 326

Merit: 100

Hell, I threw 0.15 into CEX out of curiosity, left it in there for a few months, sold it and ended up with 0.23. As a purely mining investment, CEX is awful, but due to the pretty consistent prices, buying, mining for a while and making more than the withdrawl fee will almost certainly net you a profit.

hexagram

member

Activity: 81

Merit: 10

nosce te ipsum

Quote from: bomberb17 on June 27, 2014, 07:31:20 AM

Quote from: DrG on June 27, 2014, 01:25:58 AM

Quote from: bbeesley on June 27, 2014, 12:44:21 AM

I don't see Cex.io as a profit center in it's own right but rather I use it as a place to store some of my BTC

if I have my BTC sitting in a wallet, it earns nothing

if I use some of my BTC to buy GHS then it makes at least some BTC

when and if I need the BTC, I just sell the GHS and withdraw the BTC back to my wallet

I don't have all of my assets in this primarily because I don't want to trust any entity too much lest I get Gox'd

so far, it has worked out positively for me...your mileage may vary.

Oh God no, don't do that. Look at the graph for the price over the last 6 months. It will just keep going down faster than anything you might be mining. You're basically giving money away to the flippers. If you're going to get into CEX you HAVE to flip to make a profit. Otherwise just put your money in cold storage.

By storing BTC in cex.io and use them for mining, we get these 2 values:
X = initial ghs buy value
Y = final ghs sell value + mining profit - maintenance fees - risk of cex.io/ghash.io hack or shutdown

if you think Y will be greater than X, go invest on cex. If not, keep them on offline wallet.
The only certain thing is that noone can say which it will be.

I was just thinking what bbeesley was thinking overnight and I'm glad I found this thread. My logic was that my BTC isn't doing anything in my wallet, so perhaps throwing them into CEX.io would at least get them to work in order to get more BTC. I thought it would make more interest than putting fiat money in the bank. Of course being a n00b I didn't account for the price of GHs dropping over the past 6 months because just like a lot of people see the price has been rather stable in the last month or so.

Thanks guys and Godspeed..

bbeesley

full member

Activity: 121

Merit: 100

Quote from: picolo on June 27, 2014, 10:51:09 AM

you must have invested very recently and got lucky because it has been mostly going down for months

yes, and yes

bbeesley

full member

Activity: 121

Merit: 100

Quote from: DrG on June 27, 2014, 01:25:58 AM

Look at the graph for the price over the last 6 months. It will just keep going down faster than anything you might be mining.

there was a price bubble a few months ago but the price has stayed reasonably stable for a bit now. I have an upper cutoff for both the amount I will pay for GHS and how many GHS I will own at any given moment

The price seems to fluctuate mostly down during the period after a difficulty change then rise slowly until the next one, but has remained where it is....which is really low currently...for awhile

of course, everyone here is much smarter than me so my positive cash flow must just be a rookie mistake ;-)

williamj2543

hero member

Activity: 588

Merit: 500

Get ready for PrimeDice Sig Campaign!

I lost 25% of my BTC holdings because of GHS. Shouldn't have done that...

picolo

hero member

Activity: 1022

Merit: 500

Quote from: bbeesley on June 27, 2014, 12:44:21 AM

I don't see Cex.io as a profit center in it's own right but rather I use it as a place to store some of my BTC

if I have my BTC sitting in a wallet, it earns nothing

if I use some of my BTC to buy GHS then it makes at least some BTC

when and if I need the BTC, I just sell the GHS and withdraw the BTC back to my wallet

I don't have all of my assets in this primarily because I don't want to trust any entity too much lest I get Gox'd

so far, it has worked out positively for me...your mileage may vary.

If you bought GHS and hold them and you made a profit you must have invested very recently and got lucky because it has been mostly going down for months

bomberb17

hero member

Activity: 773

Merit: 528

Quote from: DrG on June 27, 2014, 01:25:58 AM

Quote from: bbeesley on June 27, 2014, 12:44:21 AM

I don't see Cex.io as a profit center in it's own right but rather I use it as a place to store some of my BTC

if I have my BTC sitting in a wallet, it earns nothing

if I use some of my BTC to buy GHS then it makes at least some BTC

when and if I need the BTC, I just sell the GHS and withdraw the BTC back to my wallet

I don't have all of my assets in this primarily because I don't want to trust any entity too much lest I get Gox'd

so far, it has worked out positively for me...your mileage may vary.

Oh God no, don't do that. Look at the graph for the price over the last 6 months. It will just keep going down faster than anything you might be mining. You're basically giving money away to the flippers. If you're going to get into CEX you HAVE to flip to make a profit. Otherwise just put your money in cold storage.

By storing BTC in cex.io and use them for mining, we get these 2 values:
X = initial ghs buy value
Y = final ghs sell value + mining profit - maintenance fees - risk of cex.io/ghash.io hack or shutdown

if you think Y will be greater than X, go invest on cex. If not, keep them on offline wallet.
The only certain thing is that noone can say which it will be.

DrG

legendary

Activity: 2086

Merit: 1035

Quote from: bbeesley on June 27, 2014, 12:44:21 AM

I don't see Cex.io as a profit center in it's own right but rather I use it as a place to store some of my BTC

if I have my BTC sitting in a wallet, it earns nothing

if I use some of my BTC to buy GHS then it makes at least some BTC

when and if I need the BTC, I just sell the GHS and withdraw the BTC back to my wallet

I don't have all of my assets in this primarily because I don't want to trust any entity too much lest I get Gox'd

so far, it has worked out positively for me...your mileage may vary.

Oh God no, don't do that. Look at the graph for the price over the last 6 months. It will just keep going down faster than anything you might be mining. You're basically giving money away to the flippers. If you're going to get into CEX you HAVE to flip to make a profit. Otherwise just put your money in cold storage.

bbeesley

full member

Activity: 121

Merit: 100

I don't see Cex.io as a profit center in it's own right but rather I use it as a place to store some of my BTC

if I have my BTC sitting in a wallet, it earns nothing

if I use some of my BTC to buy GHS then it makes at least some BTC

when and if I need the BTC, I just sell the GHS and withdraw the BTC back to my wallet

I don't have all of my assets in this primarily because I don't want to trust any entity too much lest I get Gox'd

so far, it has worked out positively for me...your mileage may vary.

Omikifuse

legendary

Activity: 1862

Merit: 1009

Not worth the price at all, the price is higher because people don't need to maintain the hardware.

nwfella

legendary

Activity: 1610

Merit: 1000

Well hello there!

Agree that the price is over-valued per GHS on cex.io but also agree that if your a skilled trader you can more than likely make money trading GHS but you had better know what your doing. I didn't and ended up losing out overall in the little bit of playing I've done.

kingscrown

hero member

Activity: 672

Merit: 500

http://fuk.io - check it out!

cex prices are made by.. the people.

DrG

legendary

Activity: 2086

Merit: 1035

Quote from: Bitcoin++ on June 25, 2014, 12:20:46 PM

Funny thing : GHS/BTC price is 0.00754.

If I could sell my Antminer S1 for this price, it would go for 0.00754 * 200 = BTC 1.51. Bitmain stopped selling it at BTC 0.409, and now it would have been even cheaper.

CEX' price is so high I would feel bad for the poor buyer if I could sell at that price. Though buying from CEX is even worse. They charge higher maintenance fees than you pay if you run an antminer at home.

Please, we can't be bothered with numbers and statistical facts. It just feels good buying a overpriced security and passing it off to another unsuspecting fool

Bitcoin++

full member

Activity: 180

Merit: 100

Funny thing : GHS/BTC price is 0.00754.

If I could sell my Antminer S1 for this price, it would go for 0.00754 * 200 = BTC 1.51. Bitmain stopped selling it at BTC 0.409, and now it would have been even cheaper.

CEX' price is so high I would feel bad for the poor buyer if I could sell at that price. Though buying from CEX is even worse. They charge higher maintenance fees than you pay if you run an antminer at home.

bomberb17

hero member

Activity: 773

Merit: 528

Quote from: picolo on June 25, 2014, 07:17:37 AM

Quote from: Godye Sclaro X9 on June 22, 2014, 04:36:50 AM

Quote from: Bitcoin++ on June 22, 2014, 04:14:10 AM

I open CEX.io and find this rather confusing price:

GHS/BTC = 0.00747 which is the equivalent to THS/BTC = 7.47 = 4.487 USD

So you need to pay more than 7 BTC for one TH/s? It does not make sense at all. Here's why:

Currently one TH/s generates BTC 1.12 per month = 667 USD.

Don't forget maintenance. One TH/s costs 260 USD per month, reducing the profit to 407 USD, so it takes 11 months to break even. With difficulty increases it will surely never happen.

Am I right?

If you buy a mining contract and hold it, then it probably won't be profitable because you will end up with less bitcoins than the amount you put in. If that is your goal, then I agree it would be better to simply hodl the bitcoins themselves and your calculations seem to support this conclusion.

What you are forgetting is that you can profit by trading the mining contracts themselves.

The worst would be to reinvest your revenue in GHS because you will get a fraction of a fraction of the BTC you had

Also there is a risk of losing all your coins if the site closes

The latter is what I'm afraid of. Think Mtgox..

Topic: CEX.io GHS Bubble ? - page 3. (Read 11388 times)