Yes, one has to be a bit ballsy right now to mine. I'm doing it still with $0.10 cents per kWH. I don't think I will make the move to Washington State the last quarter of this year or first quarter of next year as previously planned. I'm in "wait and see" mode concerning what KnC and Spondoolie's will add to the network hash rate in the future. I would hate to get out there, only to find I need to double my hash rate 3 or 4 months after arriving to mine the same amount of bitcoin I mined when I first arrived.
I ordered 9 x S7's the other day. I was planning on ordering 21 more S7's in December but now I'm only going to order 11 more S7's in December. I'm using the rest of the money I would have spent on the other ten S7's to open up an E-Cig store here in Alabama. A buddy of mine has 13 E-Cig stores open now and is clearing over $60,000 a month from all of them combined. He's riding around in a convertible Mercedes after two years with his house paid off. So, I figure it's worth a shot to open one and open another one 4 months afterwards. Then open two of them every 4 months until I have 10 or more of them within a 100 mile radius of my location.
I'm doing this cause I think it's important to be a bit more cautious at this point in the game as a serious home miner. I want to have some rigs mining in the hope of having rigs going at the right point in time before a potential pump in bitcoin price. The rigs could easily pay for themselves in a much shorter time if we have a big pump within the next 3 to 6 months. I think everyone knows the price of the S7 would rise considerably if bitcoin price rises considerably. It would be advantageous to buy the S7 now while it's cheap or do not buy it at all. If one waits until a BTC price pump, the price of the S7 will out of ROI reach for many who choose to get in that late after a pump.
So, I'm gambling by mining with 20 of them by end of December in the hopes of a BTC pump coming soon. I think it's too risky for me to buy anymore than that at this time with $0.10 cents per kWH. One who is paying less than $0.05 cents per kWH is in more of a position to gamble with more HW than I am. Yet, still it is gambling quite a bit. We just don't know yet how much HW KnC and Spondoolie's will add to the network.
Spoondoolies is done. so don't worry about them adding hashrate. KNC has a ton of overhead and isn't as competitive anymore. They produced solar on 16nm fin 1 process, but at a huge costs for tapeout and being an early adapter. Sure they are private and have huge efficiency but take a look at how small there total hashrate is... Its tiny. 4% of the network for KNC... We have more than that and our company is a fraction of the capital investments. I would agree we're at about .05 cents all in including cooling and overhead. Lets face it, if your in the bitcoin mining world, bitmain sort of crushed the competition. The logistics and capabilities that company have far exceed any capabilities KNC, and Bitfury have of keeping up... Spoondoolies is gone, and everything else is gone.
I don't think even with a huge price jump that you would be extremely profitable. Your best way as a home miner to make money is, buy direct from Bitmain, mine for 2 months at high profits, then sell the miner for 90% of cost, and make money by reselling. That's about your best bet.