If a CEX.IO voucher doesn't expire then shouldn't I get unlimited bitcoins?

Pony789

hero member

Activity: 882

Merit: 1000

Quote from: Puberty on August 10, 2014, 12:34:02 AM

Someone has been selling 2 GH/s CEX.IO vouchers on eBay for a couple of dollars each. Apparently these don't ever expire meaning that they continue hashing and hashing and hashing forever.

Now, my question is, why is this not a good deal? Isn't the potential reward infinite? Wouldn't it make great sense to spend a finite amount of money to get something that gives an infinite amount of money back?

1. Cex.io is just a company and it won't be in business forever.
2. As difficulty goes up, mining reward goes down.
3. Block reward halves every ~4 years, and there will be only tx fees for block finders in the end.

Mobius

hero member

Activity: 988

Merit: 1000

The TL;DR version is that the mining rewards will eventually approach 0 as the difficulty increases. Since CEX charges a fee for electric and maintenance your actual rewards will actually reach 0 at one point.

ranochigo

legendary

Activity: 2982

Merit: 4193

Quote from: Puberty on August 10, 2014, 12:34:02 AM

Someone has been selling 2 GH/s CEX.IO vouchers on eBay for a couple of dollars each. Apparently these don't ever expire meaning that they continue hashing and hashing and hashing forever.

Now, my question is, why is this not a good deal? Isn't the potential reward infinite? Wouldn't it make great sense to spend a finite amount of money to get something that gives an infinite amount of money back?

Yes it will hash for you forever. However, they charge a maintenance fee which you would need to pay from your shares submitted. When the payouts turns to 0, you would have negative balance and you have to pay for them. Even though it will mine for you forever, it isn't free.

Kprawn

legendary

Activity: 1904

Merit: 1073

You might get your money back, but "non expiry" contracts are just a marketing gimmick. The voucher will become worthless over time anyways.

You would be mining dust after awhile anyways. {Increased Difficulty will eat it up}

shorena

copper member

Activity: 1498

Merit: 1499

No I dont escrow anymore.

Quote from: odolvlobo on August 10, 2014, 02:53:44 AM

Quote from: Puberty on August 10, 2014, 12:34:02 AM

Someone has been selling 2 GH/s CEX.IO vouchers on eBay for a couple of dollars each. Apparently these don't ever expire meaning that they continue hashing and hashing and hashing forever.

Now, my question is, why is this not a good deal? Isn't the potential reward infinite? Wouldn't it make great sense to spend a finite amount of money to get something that gives an infinite amount of money back?

Before you jump in, consider these:

1. You may earn an infinite amount of BTC, but it will take an infinite amount of time to do so.
2. Right now, 1 GH/s at cex.io earns about $0.08 per day. How much are you willing to pay for that?
3. The amount you earn will get smaller and smaller, halving every 4 months or so.

~~If these numbers are correct:~~

I have been made aware that these numbers are indeed false

#1 for each GH/s you earn ~~$0.08 in BTC each day~~ 0.008$ is more likely
#2 the earning from #1 decreases by ~1.25% each day (~halfes every 40 days)
#3 for each GH/s you pay 2$

you will ROI after 33 days and double your investment after ~118 days. After ~304 days your return will be 2.55 $, after 340 days 2.56$, after 458 days 2.57 $ etc.

Keep in mind that the price for BTC changes as well as the rate the difficulty changes.

---------

Did some research on ebay to see how the prices are. If you take 2TH/s (2000 GH/s) you pay 3.0475$ [1] per GH/s and end up with this (ROI after 63 days, 1.50 $ profit after 298)

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If you buy a single GH/s 4.45$ seems to be the best price [2] unless you have luck while bidding.
ROI: ~207 days
.10 $ after ~ 304 days

[1] http://www.ebay.com/itm/2-TH-s-or-2000-GH-s-CEX-io-cloud-Bitcoin-mining-voucher-contract-LIFETIME-/201143869065?pt=US_Virtual_Currency&hash=item2ed51bde89
[2] http://www.ebay.com/itm/1-GH-s-CEX-io-lifetime-contract-voucher-ASIC-BitFury-BitCoin-cloud-mining-CEX-/181490588686?pt=US_Virtual_Currency&hash=item2a41ae9c0e

Wusolini

legendary

Activity: 1190

Merit: 1000

no need to carry heavy money bags anymore

Quote from: Puberty on August 10, 2014, 12:34:02 AM

Someone has been selling 2 GH/s CEX.IO vouchers on eBay for a couple of dollars each. Apparently these don't ever expire meaning that they continue hashing and hashing and hashing forever.

Now, my question is, why is this not a good deal? Isn't the potential reward infinite? Wouldn't it make great sense to spend a finite amount of money to get something that gives an infinite amount of money back?

until you redeem voucher those GH/s will mine for cex.io. Second point, check Ghs price chart (last month) ... dropped drastically, and this will continue due to raising difficulty. In few months 2 Ghs will be worthless.

odolvlobo

legendary

Activity: 4354

Merit: 3260

Quote from: Puberty on August 10, 2014, 12:34:02 AM

Someone has been selling 2 GH/s CEX.IO vouchers on eBay for a couple of dollars each. Apparently these don't ever expire meaning that they continue hashing and hashing and hashing forever.

Now, my question is, why is this not a good deal? Isn't the potential reward infinite? Wouldn't it make great sense to spend a finite amount of money to get something that gives an infinite amount of money back?

Before you jump in, consider these:

1. You may earn an infinite amount of BTC, but it will take an infinite amount of time to do so.
2. Right now, 1 GH/s at cex.io earns about $0.008 per day (less than a penny). How much are you willing to pay for that?
3. The amount you earn will get smaller and smaller, halving every 4 months or so.

williamj2543

hero member

Activity: 588

Merit: 500

Get ready for PrimeDice Sig Campaign!

The profit will slowly turn to zero, and cex.io might discontinue it. Also the price of ghs can fluctuate, and eventually they will be worth less than what they are worth now, so when you want to cash back into btc, you are left with nothing

Puberty

member

Activity: 84

Merit: 10

Someone has been selling 2 GH/s CEX.IO vouchers on eBay for a couple of dollars each. Apparently these don't ever expire meaning that they continue hashing and hashing and hashing forever.

Now, my question is, why is this not a good deal? Isn't the potential reward infinite? Wouldn't it make great sense to spend a finite amount of money to get something that gives an infinite amount of money back?

Topic: If a CEX.IO voucher doesn't expire then shouldn't I get unlimited bitcoins? (Read 1721 times)