Topic: CipherMine LiteCoin IPO Shares Rise 480% in LTC Debut (Read 6462 times)

Better to ask these questions here:
https://forum.litecoin.net/index.php/topic,4582.165.html

can someone explain this company's planned hashing power

the press releases and the news updates on the exchange all talk about how many ASICs this company is going to get, and an untold number of GPUs

people seem to be excited about what this company is going to do with litecoins, but I dont see them doing anything spectacular with litecoins at all, please explain:

1) what technology they plan on putting at litecoin, when will it be delivered and what is the total hashrate?

2) what is the hashrate they will deploy at bitcoin and other altcoins, will these be converted to litecoins?

The company is making news with how much power they are going to start throwing at LTC, I cant wait to see these take off, especially after LTC starts skyrocketing after it hits MTGOX

Yea, more than 2000   just in the last 5 hours or so.

Already nearly 2000 of the new shares have been sold in the first 1/2 day.

BitFury funding round

I am about to offer an additional 7,000 shares onto the market at LTC 4.00 / share as discussed in the last motion. Please see the updated business plan v2.01 at docs.ciphermine.com.

The funds raised from this round will be used to purchase between 5 and 6 EUR 7,500 400 GH/s BitFury SHA256 mining rigs which have recently become available for pre-order. We intend to go for the October delivery date (half the price). The BitFury ASICs are four times as productive in terms of capital costs and power compared with Avalon ASICs. Further, Giles believes that at 55nm it is unlikely anyone will come up with something better for a while.

The remainder of the funds will go towards another ~5 quintuple-GPU scrypt mining rigs (~25 Sapphire 7950 Vapour-X's with supporting hardware).

The price of LTC 4.0 / share is based on two factors:

1) With BitFuries incorporated into the plan, even with the reduced BTC price of EUR 60 and our new model which assumes difficulty will pass 100 million within a year, our forecast profits are now around EUR 880,000, 50% of which will be released as dividends. The 4.0 LTC / share price represents a P/E ratio of roughly 2, which is still lower than ASICminer's.

2) There has been considerable demand for shares recently and prople have been paying well in excess of 4 LTC/share. This was based on our old model with much lower forecasted yield. Thus we further believe this is a fair price.

Finally, following the dissatisfaction expressed by some shareholders over the manner in which this motion to issue more share capital was approved (I dominated the votes, basically) I have removed my right to vote "yes" on any motion which will result in dilution of existing shareholders until the end of the year. Further, we believe we must now enter a period of consolidation and focus on getting all the mining hardware up and running before considering further funding rounds.   From the company ~

That's the truth of it - there is (or was) profit to be made buying at IPO and selling later regardless of how well it does long-term.  Presumably most of those posting here are those who bought cheap (or cheapish - most did NOT buy cheap) and now want to talk people into being the ones they sell to.

My fund picked up 2000 of them at 0.6 each in the first batch - and has now sold them all for a decent profit.  So I've no reason for (or interest in) talking the price up.

Those who believe it will make a good profit from its business if bought at the current price are almost certainly deluding themselves - they may, of course, be able to make a profit by selling it on to the next batch of purchasers.  Mining's not a very profitable activity at the best of times - let alone when you have to overcome a massive price:value ratio (even aggressive reinvestment doesn't change that much - if you compound a small profit it remains relatively small).  And has anyone at all worked out how a company with its identity known can run a dark-net exchange?  Seems kind of missing the point somewhat - if you're known to be running it then you're just as open to enforcement issues as if it were run on the normal net.

It's great for getting publicity for LTC and the exchange - but that could all backfire if, in a year's time, people look back and see they've received only a tiny percentage of what they invested as dividends, the value of assets hasn't grown a lot and the price has fallen by far more than the dividends received.  And that's what WILL happen once the feeding frenzy finishes.

I've madea nice profit for my investors from it.  I could have made more - and may well be leaving a lot on the table.  But there's no risk of me losing any of my profits when reality sets in - which is a risk the rest of you are happily (or blindly) accepting.  Good luck to you all.  I'm sure Kate will do her best - but the current price sets a very hard target for her to try to deliver on.

The sale of more shares is about the best thing possible for current investors BTW - just look at the capital/share now then look at what it will be if more shares are sold for a much higher price.  This isn't some company that'd delivered amazing profits and is trying to sell shares cheap.  It's a new IPO with a speculative bubble where the sale of new shares actually locks some real value in for current investors.  If you believe she can deliver unheard-of (for mining) profits on current capital then why are you whining about something that will get you a lot more capital per share?  Only reason to complain is if you KNOW the price is way too high and are worried it'll stop the price rising - in which case you're speculators/traders not investors and your opinion isn't important anyway (that's NOT a criticism - I'm a speculator/trader as well - but the company's concern is those who will end up with the shares more than those who are just trying for a short-term profit).

+1

 Just become some people have a lot of money dosent mean they wipe their ass with 100 dollar bills.

I'm not a shill, just an interested investor.

When will folks realize that the price valuation on any crypto-stock has very little do with analyzing how much hashing power you think their ASICs will have or when the difficulty will increase. 

All that matters is if other people want the stock. 

CIPHERMINE is an up-n-comer with potential for big profits for people who pick up cheap shares early.  I don't care if they are game-changers long term.   If I can make a few thousand LTC in a month or so, I'm happy.

Good luck to all of you.

someone who made 20 million in the last 2 years does not need a couple of bucks to prove they are right

lol, do you think brokers work for free?  PM ill explain and get paid.  The market is dog eat dog, all about the mooooney.

sure, do an evaluation of this business from start to finish and explain at what price you justify the shares at and WHY and also do this analysis assuming that she issues the 10,000 extra shares diluting everyone

Ive been in business over 20 years. Ive been a broker. I sold half my investments 2 years ago for over $20M.  Need a lesson kid? Id be happy to give them.

This stock is so massively hyped, that I want to short the hell out of it.

don't be naive.. look back on the forum to see how many scams have sucked out the bitcoins out of naive folks
not everything presented to you is a good opportunity. most businesses FAIL

We'll see, people said bitcoin was a joke a scam when it was brand new.. lol

at 100 ltc each the company is worth ALMOST  the whole litecoin net worth of the network
this thread is full of shills or people who are just writing things without understanding (probably shills).
the article is also inaccurate. Kate is not "issuing" more shares to sell she has diluted the public by almost 10% to get those shares to sell.

Traded only with Litecoin...
I won't trade my oversold btc for the overbought ltc just to buy an overbought ltc stock.

It probably has much more to do with all of these shill accounts in this thread pumping it on bitcointalk and everywhere else on the internet.

No kidding, only 3 shares left under 5 ltc... That guy selling at 100 ltc is not far off now!

This is a very ambitious little company that is poised to do big things in the bitcoin/litecoin world. 

Their business plan includes mining both bitcoins and litecoins, data hosting, and - most intriguing - a darknet crypto-currency exchange.

I've got a big handful of shares and I'm thinking (and hoping) this stock sees 10 LTC/share very quickly. 

Might have to do with this: http://www.guardian.co.uk/technology/blog/2013/jul/01/bitcoin-virtual-fortune-crypto-currency

People are hoarding their shares, time to buy   yipeeee

http://www.sourcewire.com/news/78577/ciphermine-litecoin-ipo-shares-rise-480-in-ltc-debut

 Ciphermine shares at /  LiteCoinGlobal.com