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Topic: Small time miners - What do you do when ASICs hit and you don't upgrade? - page 3. (Read 10086 times)

newbie
Activity: 44
Merit: 0
I will buy old gpu's, and use them to heat my house =D
It's cold and rainy where I live, and heating is useful everywhere!
I figure 10 kwh through video cards is better returns than 10 kwh through heaters =/

Ah, yes and no. Smiley  Heaters will probably give you more efficient conversion of power to heat compared to the cards, but it might be close. Smiley

For converting electrical energy to heat, almost any device is effective because it's basically the "waste" that's heat. Gas -> heat is still more cost-effective though.
full member
Activity: 155
Merit: 100
That's true meatball but a video card gives you a rebate Cheesy

Aaron
sr. member
Activity: 378
Merit: 250
I will buy old gpu's, and use them to heat my house =D
It's cold and rainy where I live, and heating is useful everywhere!
I figure 10 kwh through video cards is better returns than 10 kwh through heaters =/

Ah, yes and no. Smiley  Heaters will probably give you more efficient conversion of power to heat compared to the cards, but it might be close. Smiley
full member
Activity: 126
Merit: 100
Web Programmer, Gamer
I so love my computers running during this cold time, so nice and toasty (outside 42F, inside 75F) that I do not eager much to turn them off. I guess if you live in a house that would be a different story.

When  my asic arrives, I may just switch to litecoin mining, already tried figured out how it works so the process will be easy. Maybe consider gaming on them too, but haven't tested 2 5970's against gtx570.
Odi
member
Activity: 73
Merit: 10
why solo mine? just join p2pool Smiley

p2pool is only a way to make sure you get more regular payouts than solo mining.  If you don't care about the payouts and are just mining for fun, then why load the network with more transactions?

People are already complaining that the blockchain is big and hard to download, p2pool is accelerating that because of all the small transactions per block found
legendary
Activity: 1792
Merit: 1008
/dev/null
Are you going to switch to LTC, PPCoin, etc... or just cash out your hardware by selling on ebay or similar?

Non of the above.  I'll solo mine full time as soon as it isn't profitable to pool mine anymore.
Sam
why solo mine? just join p2pool Smiley
Odi
member
Activity: 73
Merit: 10
^^^^^^^ Was never a math major  Cool

I still won't just quit.

Or he could just not care about the small loss in electric and cooling costs

(like if I never receive my bASIC pre-order, I would still run my 400MH/s: https://bitcointalksearch.org/topic/m.1289314 )

For some, it is only a hobby, not a money maker.  Similar to why people run distributed.net, SETI@Home, or BOINC
newbie
Activity: 43
Merit: 0
I will buy old gpu's, and use them to heat my house =D
It's cold and rainy where I live, and heating is useful everywhere!
I figure 10 kwh through video cards is better returns than 10 kwh through heaters =/
legendary
Activity: 2506
Merit: 1010
As a bookend to this thread, further discussion on the topic here:


What will happen to all the "traditional" mines once the new ASIC based miners
 - https://bitcointalksearch.org/topic/what-will-happen-to-all-the-traditional-mines-once-the-new-asic-based-miners-114585
member
Activity: 109
Merit: 10
ROFL.  With a plan like that we should be able to charge at least 2x more for GPU coins.
hero member
Activity: 616
Merit: 500
Bigger picture I think the arrival of ASICs will be like the Industrial Revolution (in the US) impacted farmers - lots of small farms closed down or were consolidated into bigger, more efficient farming corporations. There were (and are) still plenty of small farms around, but the majority were replaced by larger, for-profit businesses. Bitcoin mining will go the same way. Mining farms will invest and buy tons of ASICs, some enthusiasts will run a few jalapenos for old time's sake, but most will sell their GPUs and (hopefully) start using their coins to buy and sell things.

This argument makes no sense really since it does not take into account the increase in difficulty that will result from a significant raise in overall TH/s that ASIC rigs will produce.

Industrial revolution allowed more land to be farmed but it did not make it harder to get the same yield, in fact it was the opposite.

Bitcoin mining is a totally different ball game altogether. With the ability to have for less than $10K 270 to 420GH/s of power and very limited electricity consumption, GPU mining will quickly become obsolete (read not profitable). Unlike farming, there is no gain in small MH/s operation (such as organic farming for example). ASIC mining will just become the new norm since anything else will be not profitable.

That said, this will not happen overnight but I would think over the next 2 to 6 months. We shall see.

quick.. somebody put out a youtube video saying that asic mined coins are tortured coins of low quality! buy organic GPU mined coins :-P
newbie
Activity: 56
Merit: 0
Bigger picture I think the arrival of ASICs will be like the Industrial Revolution (in the US) impacted farmers - lots of small farms closed down or were consolidated into bigger, more efficient farming corporations. There were (and are) still plenty of small farms around, but the majority were replaced by larger, for-profit businesses. Bitcoin mining will go the same way. Mining farms will invest and buy tons of ASICs, some enthusiasts will run a few jalapenos for old time's sake, but most will sell their GPUs and (hopefully) start using their coins to buy and sell things.

This argument makes no sense really since it does not take into account the increase in difficulty that will result from a significant raise in overall TH/s that ASIC rigs will produce.

Industrial revolution allowed more land to be farmed but it did not make it harder to get the same yield, in fact it was the opposite.

Bitcoin mining is a totally different ball game altogether. With the ability to have for less than $10K 270 to 420GH/s of power and very limited electricity consumption, GPU mining will quickly become obsolete (read not profitable). Unlike farming, there is no gain in small MH/s operation (such as organic farming for example). ASIC mining will just become the new norm since anything else will be not profitable.

That said, this will not happen overnight but I would think over the next 2 to 6 months. We shall see.
sr. member
Activity: 350
Merit: 250
Trust me, these default swaps will limit the risks
Don't forget though that soon after ASIC's hit, if it hasn't already, the bitcoin value is going to halve.  Your profits are now cut in half.   Now factor that into your cost of electricity and besides those who can
use their computers for cheap space heaters in the winter, I see many folks getting out because it's more expensive to mine than it's worth.

Aaron

You are correct....assuming the market value of a single bitcoin doesn't increase dramatically.
full member
Activity: 155
Merit: 100
Don't forget though that soon after ASIC's hit, if it hasn't already, the bitcoin value is going to halve.  Your profits are now cut in half.   Now factor that into your cost of electricity and besides those who can
use their computers for cheap space heaters in the winter, I see many folks getting out because it's more expensive to mine than it's worth.

Aaron
newbie
Activity: 45
Merit: 0
I'm not sure what I'll do. My cards are paid for and my electricity is cheap ($0.088 per kWh) and with current prices I am profiting. I am in Texas and would run electric heat anyway come winter, so I may keep the miners on in various rooms of my apartment to provide heat as long as I still relatively break even.

No matter what, I need to keep one PC on to run the Bitcoin client, so if it comes down to that, I'll liquidate most of the hardware and see how many cheap ASICs I can afford. They have to be shipping though, no wait list BS.
hero member
Activity: 561
Merit: 500
I sold my extra 5830s off a couple weeks ago. With electricity costs already close to break-even, my switch to a metered 4G connection for home broadband cinched it - mining uses too much precious bandwidth.

Once ASICs hit, I'll calculate how long it will take for a jalapeno to pay itself off, then order or not based on that number.

Bigger picture I think the arrival of ASICs will be like the Industrial Revolution (in the US) impacted farmers - lots of small farms closed down or were consolidated into bigger, more efficient farming corporations. There were (and are) still plenty of small farms around, but the majority were replaced by larger, for-profit businesses. Bitcoin mining will go the same way. Mining farms will invest and buy tons of ASICs, some enthusiasts will run a few jalapenos for old time's sake, but most will sell their GPUs and (hopefully) start using their coins to buy and sell things.
full member
Activity: 140
Merit: 100
Well I am not a small time miner.. well with the new diff yeah i guess i am.. hahaha

honestly i haven't upgraded anything yet.. no pre orders in place.. show me the hardware before i lay down the money.

Will i be left behind in mining? Probably.. so will many others.. I will just buy and sell Bitcoin.. i seem to make more that way anyways..

how many bitcoin's do you have in hand to buy ans sell them

and at what rate's you buy and sell them and which exchange you use.
member
Activity: 109
Merit: 10
Mine through the winter since GPUs will serve a 2nd purpose(space warmers) which is what made it so cool to begin with(gaming). When 2013 begins to warm up, I'll stop. Possibly buy an ASIC if production at that point doesn't require a multiple month waiting period for delivery.

That is something miners are good for.  I have mine in my basement and the excess heat trickles on up and helps heat my house by a degree or two.
sr. member
Activity: 454
Merit: 250
Technology and Women. Amazing.
Mine through the winter since GPUs will serve a 2nd purpose(space warmers) which is what made it so cool to begin with(gaming). When 2013 begins to warm up, I'll stop. Possibly buy an ASIC if production at that point doesn't require a multiple month waiting period for delivery.
newbie
Activity: 23
Merit: 0
I'm just going to sell my cards for as much as or a little less than I bought them for. I bought them used and worked out how much they'd make before the block halving/ASIC hit, so I have no qualms about just selling them off and taking my profit.

Of course, if the ASIC thing doesn't pull though how it's expected to or somehow GPU mining is still even a little bit relevant, I'll just keep mining away. Having free electricity helps!
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