Topic: [GLBSE] Feedback wanted: Gigamining, the first 5Mh/s mining bond - page 2. (Read 26429 times)

+1

I would say create all 10,000 shares now but then only sell 5000 shares until more equipment arrives.

I would purchase today if it was available. I know you have quite a lot of mining capacity right now so you may not need to wait for the mini rig to issue some shares.

Thanks Kaos. It's more work that probably any miner would like to admit.

So I think the 1 BTC price mark is where it's at. Does anyone have any opinions on when to issue this thing? I was originally thinking of waiting until the equipment arrives, but I would like to get some more feedback.

Best,
gigavps

Holy crap! There are the crown jewels!

I'm left kinda envious (in a good way!)

Thank you for posting those. Wow! 3 tons is a healthy amount of AC. My condo is about 1000 sqft and it gets cold with a 2 ton unit. Those must be some chilly machines. I can't wait to be able to buy into this professional mining operation.

So it's a little hard to get a shot of the entire room because it is so small. The room most of the GPUs are in along with the singles is just 9x16 to make the most of the three tons of AC.





Here is a shot through the side door looking that the rack farthest away in the previous picture. You'll notice that the bottom rack is empty. This will be the home of the 4 mini rigs. If they are too big to fit on the rack, I will remove it and they will sit on the floor.



Here is a pic from outside of the room but still inside the warehouse. You can see the HVAC ducts to push all cooling into the room.



Since I only have three tons of AC at the moment, some rigs are still in the warehouse portion. With cgminer, they self regulate to 75c.

Noted. I'll take some more pics today and post them to this thread.

I think this is a great idea and will be buying as many shares as I can afford when you launch it. The main request I would have has nothing to do with the shares or IPO. I want to see more pictures of your setup. Nothing like hardware pr0n to pass the time haha. 

Thanks guruvan. If I'm going to do something, I try to do it right.

I'll have more pics of the singles once a get the wiring completed for them.

that's a very nice looking rig. I really like nice neat wiring and construction. It gives me confidence in your skillz

The bond will pay 100% PPS whether the equipment is down for an entire month or it makes 120% PPS. This is part of the risk that I take on with the bond.

The bond guarantees the holder a set amount of BTC each week. No excuses. This is also why I have decided to have redundant hashing power in case the worst should happen.

Hi Giga,

As a fellow BFL supporter, I'll have to give this some serious thought.  It does sound tempting

Quick question, where will you be pointing the hashing power (just to get an idea of the PPS value)?    I'd ask you to pool hop but that probably won't go down too well (until the better than average dividends come through obviously ).

I think 1 BTC per bond is the sweet spot.

I don't know about you, but I'll be buying all I can get my hands on if they are that cheap.

I was trying to say at current, it would take ~300 days to earn back.
I know about the half in December, but didn't take it into consideration seeing how it's still more than 6+ months of an investment.

Not bashing on the idea, just 1 BTC per 5Mh/s is kinda harsh.

Sukrim's equations seem to neglect the value of transactions, which at present are negligible, but later are likely to be substantial.

I appreciate your feedback. Unfortunately (and you mentioned this) the network is not just going to keep growing and an ever increasing rate. There are competing forces at work including more efficient equipment, miners profit margins and the general mood of miners in the community.

When the block reward halves, a good deal of GPU miners will become unprofitable and will stop mining. It is of course a possibility that the price rises sufficiently to keep miners profitable, but I would give this a 5% chance.

A much more likely scenario is that the price bounces in a range where we are now and will stay that way after the subsidy halves.

Please also note that I believe in my point of view enough to pull the trigger on close to 140Gh of mining power.

The current difficulty will double in less than 300 days just because the block reward halves + it is likely that it grows naturally as well. Even if the Bitcoin net hash rate just follows Moore's law, we'd expect a doubling in hashrates every 18 months.

You're essentially betting that the network will stall for ~1 year or grow considerably slower than right now for ~1 year with this bond.

If you do the calculation again with doubling of hash rates every 18 months and additional doubling every 4 years (= splitting of block rewards) you get an increase of nearly 2% of hash rate per week (~1.763%) or if you want to have bi-weekly difficulty increases ~3.5% increase of hash rate every 2 weeks. Factor this in your equation and then the ~4.7 bitcents per 2 weeks you'd get at current difficulty (that will soon be over btw. and be even higher in May) about 1.38 BTC _ever_ from this contract.
If you take the difficulty in 200 blocks, you only get a little bit less than 1.3 BTC ever and after one year a bit less than 79 bitcents (after 2 years still not even 1.1 BTC).

Yes, it will not always grow exponentially etc. etc. - still it might be a wise thing to do (especially on such a longterm investment - in bitcoin mining relations even 3 months are kinda long term!) more calculations like mine if someone should think about buying in. Also one could just speculate on earning money by trading just the contracts of course.

As a client of gigavps', I can attest to him currently having control over at least 9.5 GH/s of mining power.