I don't think you understand. What I described may have a lower upside potential than simply purchasing bitcoin, but I also have a significantly lower downside potential. As long as KnC offers refunds (which is key), then I have a low chance of losing any USD.
Furthermore, it doesn't matter if I paid in USD or BTC, since it would have costed me the same amount of USD to buy the BTC I needed to purchase the Neptunes at the moment I needed.
The amount of time KnC has my money is relatively trivial while less than 6 months. Perhaps if this investment was a larger part of my portfolio I'd care.
I understand your logic but as i said if you want to hedge against the worst case scenario
you don't have to buy a miner from KnCWhat you say is like selling now bitcoins that worth 10000$ and then wait for 5 months. If in the end of those 5 months bitcoin still holds then you 'll buy back bitcoins but probably in a much higher price. If bitcoin collapses your hedging strategy saved you from the worst case scenario. Got it now?
The refund from KnC don't introdute a unique hedging strategy against bitcoin collpasing.You're right, there is nothing unique about what I'm saying. I'm not sure where you got the idea that this was unique. I'm obviously having trouble understanding what you're trying to explain though. Why would I buy back BTC after 5 months? I would have a miner generating coins for me at the higher value and wouldn't need to buy back in. Let's suppose I'm able to mine 10 coins per Neptune, even though I spent 12. If the coins are valued at 1.2x what they were when I purchased the miner, I will profit in USD. If they are less than that, I could refund my order and buy the same number of bitcoins I started with or more.
well said. I also have same value in my mind. The best thing of course new miner could generate more you spent and the value itself increase at the same time. It would be more than double if that would be the case. I am betting this would happen.
one question, what's that KnC refund policy about?! can you send back the miner and ask for same amount of BTC back in terms of USD?!
NO, refunds are based on fiat equivalent, just as the purchase was
IMHO refunds are foolish, given the appreciation of the units themselves...
If you bought Gold @ spot price, and it increased in value..would you ask for a refund on the original purchase? KNC units are like "Unobtainium"!
Most who bought October first run units, have long since recovered their BTC...
selling now is an outrageous gain on them..... especially when applied to future units.... ...but what do I know.... I'm just an Ewok.
On that note...I could really use an update on units shipped...with the account page messed up, I don't know if my two Novembers have been shipped yet or not... they were "In Progress" several days ago...now show just "Paid", so no tellin'...
could be on the way already, but no email from UPS..... wondering...
Is that a cross between Napster and iTunes or an ASIC miner?
