Topic: I cant understand cex.io investors - page 2. (Read 8379 times)

Well - CEX.io works for me - and I'm grateful for what they offer.

To be able to buy and sell Ghs instantly offers a whole new dynamic to mining, which is a mixture of the trading exhanges and mining at the same time.

Yes - Just buying to mine will likely not make roi - but buying and selling and mining while the price is stable is an excellent way of fighting the depreciation of mining hardware.

As with everything - you make your choices, but as CEX,io is not just about mining - it would be misleading to write it off on that basis alone.

If you're going to say you made back your ROI (on Block Erupters no less) please specify that you made back your fiat.  No Block Erupters have been able to make back their BTC unless they were purchased second hand or stolen.  Most newbies will think that hardware is worth getting now.

I'm glad you made a profit but the reality is that had the $ been spent buying more BTC directly you would have more BTC.  That's the debate with all the mining hardware now - will you make more BTC with it over its lifetime than you would have by buying BTC outright.  Currently no hardware for sale seems to be worth buying.

Fiat ROI is only realized if it is sold and retrieved from an exchange.  At least with BTC ROI you ca have it sitting in your cold wallet.

I have 13 USB Block Erupters that reached ROI and then some (electricity included). The very tiny profit was invested in CEX and profits from that got re-invested. I also pointed my miners to GHash. I'm not sure that was the best move but i keep my chin over the water level. I don't make a bunch of dollars but i never intended to either. I am on the + side and i also became a hodler a couple of hours ago.. 

Comments?

After the bitcoin price rise too many newbie lured into the mining game without knowing a single thing about difficulty

I was wondering about those too. They're really expensive! No way to make a profit.

Same as how I don't understand people buying expensive usb erupters..

I'm currently making a loss... waiting for price to go up so I can sell and at least to break even.

But it's another option than trading at exchanges and the site is a breeze to use, plus you can keep an eye on all all kind of stats about your GH/s shares vs pool speed and difficulty.

Maybe the right response is a competing commodity market / pool rather than FUD about this "guarantee" of losses.

I'm not sure if we are in imminent danger of a 51% attack, however if there is a message we need to get out it isn't this drumbeat that it's a terrible service with no chance or an extremely low chance of making profit, since there is evidence that's false. The message should be that everyone with private hashpower pointed at the pool should be ready to pull it out quickly if it ever appears that we are in imminent danger of 51%. Selling GHS won't change the pool's power, but all this private power pointed at it is probably making some difference.

Of course the conspiracy theorist in me wonders how likely it is that the only hashpower they control is what is actually on GHash.IO. I tend to think they are not mining 100% of their capacity there in order to not spook the community. It wouldn't be in their best interest to destroy the currency, but then again a short term play where the value crashes temporarily may be in some people's interest.

Or perhaps maybe we're protecting out thousands of BTC by not concentrating all the mining power into a single pool 

Chasing pennies while dropping dollars...

I read these anti cex.io  threads and can't help but to think they are started by owners of other pools.



http://blockchain.info/pools   you look at the chart cex.io is a  huge pool  it has the lowest fees.  plus  it allows free exchange of the nmc coins you earn.

A big rig like a knc miner earns .5 nmc a day.   If you are running 2 knc miners in house cex.io  will make you thousands in extra money in a year.


The key is when you build the extra gh from your miners with your nmc  + btc earned  do that 2 times a day. 

 Then  convert the gh to btc and pull it out  1 time every 5 days or so.   this will make a lot of money for you.  more then other pools.

 and what did it cost  as little as buying .1gh of hash  or about .0073btc to start.

yep  by far the best of all btc mining pools.   It would be nice if someone read this post and joined with my referral link.. A nice big rig I would get some free hash power.  they would save a lot in fees. win win

And if you just want to join without helping me at 0 cost to you…  use

https://www.cex.io/


although I prefer   you click my signature link.

This is what I've been doing, but on a much smaller scale.  I have 21 GH of hardware at home pointed at their pool.  I also invested about .75 BTC in their GH.  In less than a month that has grown to 25 GH and at current CEX prices I've more than doubled my BTC.

If they ever get IxCoin and DevCoin trading going that'll be another bonus.

duh buy .1 gh  and point 500gh at the miner from your in home mining.   then grow the .1gh .   you must own some gh from them to do this.


  all my in home mining  points to their pool.  

 I am up to 10gh of their hash.  I have 2gh in referral.  the service of exchanging your nmc to btc for free is worth a lot of money.


 anyone with a big rig that is not using cex.io  please do click on my referral below and do your self a favor make more money mining with them then any other pool.

I can show you what a knc will save using them as their miner.. and if you have a knc and do not point  your mining to them you are wasting money.

   a 550gh knc miner earns .3btc a day   or about 4gh from them.   point a knc at them for 5 days.  change your nmc to btc every day. and then buy  the 4gh with the btc and maybe .5gh with the nmc…  every day for 5 days.  you will have grown your .1 gh buy in  to 22 gh .. then sell it. then pull the btc out.  rinse and repeat day after day for 5 days then pull the btc out.

 more money more money.  if you understand what I wrote your would reverse your statement as it is the ignorant one.    due to 'the only reason' part of your statement
    
 my reason is a  reason and makes your statement incorrect.

 To be fair to you  anyone that buys 20 gh from them as their one and only btc investment is not that bright.

But I want you to realize my method is really good and will almost certainly make you money from cex.io

false, it's not that they dont understand difficulty, it's the greater fool theory,

cex.io started as a legit hashrate exchange that were priced competitively(cheaper) vs the miners you could physically buy at the time, without the setup/upkeep headaches.  

Now it's a ponzi scheme, the guys owning the shares thinking they can always sell the shares at little loss to the next fools and meanwhile they can mine some btc.  The fools buying those shares at 3-4x above market think the same - that there will always be some greater fool who will buy their shares down the road at llittle loss, the stable flat price further enforces this false belief.

Hence the whole thing is a house of cards propped up by all the market participants all thinking they wont be the ones holding the bag after the price gap up from $200 to $1000. However there will be a tipping point once the difficulty reaches so high the average account total GHs becomes too little, then the dump will begin -  someone will be left holding the bag that's for sure.

I got out once the cex.io goes above 2x the hardware price.

They're only selling for more in fiat.  I guarantee they're worth less BTC now.  Would have been better to buy BTC

Most of users there are small players buying few GHS. IF you play it good (watching for diff change and all that) you can earn alot of BTC/GHS. It sure isnt for long term mining like bu and forget.

Yes, it's a kind of strange play,  it's a short term "short" against BTC,  unfortunately it is a long term bet against difficulty going up.

Very tough trade.  But in terms of USD profitability one may come out ahead. 

Ok, but why do you want the price to be lower. I don't consider myself to be some kind of trading genius by any stretch. Nor did I babysit it for hours on end for small trades. It was an interesting hobby for a little while, but for the moment I am out.

It would probably be in my interest to buy and hold right now, which means I would love the price you suggest. There are more people interested in making profit on the volatility so the price is higher. I am, instead, diversifying into several group buys which are a much better long-term dean even than .03, although they unfortunately don't start right away.

I think in the end our goals are the same. We are both saying that the price is too high for mining. The difference is that I'm saying to use it for what it is: A commodity trading platform with no transaction fees where the commodity or it's real value is mostly irrelevant except that there is a dividend. You are saying to stop buying until the price reaches a level that mining is a viable investment. I don't think cex.io is a mining platform, and I don't think it ever will be. The price will always be inflated at times because of the hype/panic cycle. My suggestion is to use your knowledge of those cycles to profit, because with the amount of traffic the site gets, the day will never come when it is priced right for mining.

You provide your personal experience of success as a counter to my "nay-saying" without also noting that your success is unusual. You have to at least agree with me that the typical/average cex.io investor will lose money. Otherwise, you are promoting unrealistic expectations.

The only reason that 1 GH/s sells for 0.07 BTC is ignorance. My goal is to eradicate this ignorance, and these claims of making a profit aren't helping.

Who has implied "I have made money trading, therefore most people will make money trading"? I looked back through the thread and couldn't see anyone. From what I can tell there are a few categories of people here:

1. People that believe money can be made or lost by careful or not so careful trading / botting.
2. People that believe easy money can be made by mining; they don't read or participate on these forums, but they do pump money into the system.
3. People that have a vested interest in seeing the market on cex.io fluctuate wildly in order to profit from it and are thus trying to spread FUD/hype about it.
4. People that wish they had enough to invest, or made some poor choices leading to big losses and just want others to share in their misery.

I would say most people fall into category 1 but the most vocal people fall into 3.

If cex.io wanted this to be a mining operation they wouldn't have implemented a no-fee commodity trading platform. Without an external auditor of their platform I'm sure they are making plenty on the rises and falls themselves. If there's anything negative to be said about them, that's it right there. Everything else is just crying (4).

You are right that the value of a GHS will approach 0 over time, but it will never reach absolute 0 unless the value of a bitcoin and all other SHA256 coin is also 0. It is just as easy to make money in a declining market by playing the short term rises and falls. The value of a share of GHS on Cex is much different than the value of the GHS warming my basement in both positive and negative ways. It is smart to understand those differences before investing, but isn't required. The market says 0.074 right now, so that's what it is. Find someone who cares nothing for profit and is willing to sell their cex.io GHS to you at 0.03 on the belief that's all they should be worth and I'm sure we'll find people willing to buy all they are selling at that price.