Bitcoin Forum

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Just because I have no any valuable amount of "spare" money to risk. That's all.  ;)

thats not a real excuse though because assuming you were smart super user / high ranking acct surely you could figure out a clever way to round up some people with some funds for your own mining rig

But a real excuse could be not wanting to bank others' money on it. Some folks don't like going into debt.

Not to mention the risk of not obtaining chips, or specifically not obtaining the chips on time and coming to market with an obsolete miner.  How many manufacturers fell due to that?

Taking others funds for mining is pretty iffy.  It would be a high risk investment. You might hit a home run or strike out.

And we have not talked about what kinda company.   A mining company that makes their own chips.... your talking about a lot of cash.   Or there is hosting depending on how you do it still a decent amount of cash, and with having coming up it will be interesting to see what hosting companies do.

I personally would not invest others money in this area.  

Yeah, that's exactly what I meant.

well none of these comments make sense either, sadly. So what is more important to you. Your own money that puts food on the table or someone elses money that puts food on their table? No matter how nice of a person you are the answer would always have to be your money is most important. That being a true statement..

You are not willing to risk others money (less risky / less important) into a mining company (yes building the chip etc.) but you are willing to risk your own money (more risky / more important).

smh this b.s. that perpetuates in shitcoin-land when will it end

 Your own money that puts food on the table or someone elses money that puts food on their table?


Both

and mostly


Peace of  mind and respect,   knowing they can eat like me , it's not as easy as you think to start a big thing like this, small is not hard if you it keep in your home .


 or are you

Trolling for fun . !!!

I think trolling as many had good points.   Odd though I'm not sure what he gains on this trolling in here.

"You are not willing to risk others money (less risky / less important) into a mining company (yes building the chip etc.) but you are willing to risk your own money ".  Yes I treat it as a hobby that I enjoy, but if someone else was footing the bill I would be even more cautious.

As far as " mining company (yes building the chip etc.)" I don't think you realize the amount of money to make a chip from a company built from scratch.  Also there are not a lot of people wanting to invest in this area.   Many have failed on this.

Power in my area is a bit too high profits would only be in the 30% margin which most people wont pay for, id rather just buy miners and cash out some dollars and maybe get lucky with some solo mining

ok since everyone wants to be difficult and say even d*mber things. Lets start by someone explaining how bitmain or spondoolies or bfl got started. If it is so difficult and takes so much money? Everyone here must admit there sites / products look a little "ring-dingy".

All this money and cant even get a str8 site?

This is not a board really that is bringing in angel investors.  Your thinking of a different type of group.   If it was not difficult there would be more names up there.

BFL is a good example of someone chances are losing money.  They failed multiple times and now are going through a legal battle.  It's a good example why you should not gamble with others money unless you have a very good business plan. 

Just go out and make chips or miners is not much of a business plan.

Calls our statements dumb, yet can't grasp simple economies of scale.

Show us wrong, go and wrangle together 6-10 million USD of other people's money for development funding and bring a chip to market, and with that a miner. Your business plan is VERY convincing, please show us how it's done since we aren't nearly as smart as you, and none of us have ever thought of it (oh wait, there was BFL, AMT, KNC, Cointerra, BA, Hashfast, others?) Those failures must not have been super smart people I suppose.

I do not like risking other peoples money, if I lose my own money that is one thing.

So I will build my mine and expand as my personal funds allow.  I am not saying I would not borrow money to start a BTC mining company.  I am just saying I would never borrow any amount which I can not personal pay back with my fiat backed day job.

Just my 2 cents.

Exactly on the amount of money needed to actually produce a chip.  And lets say you have your first batch and yield is low and chips sucked.... you have to get more money and fix problems and invest even more.   It's a vicious cycle played with lots of money.

I stick with what I said this is not a site most angel investors with millions are coming to for ideas.   And honestly I'm not sure how many would want to risk so much in current market.   

The main point is, you are dealing with a product that has high development cost, somewhat low margins (even for self-mining), large infrastructure costs (to set up a farm), and more importantly a hugely fluctuating revenue stream for the end-product (bitcoin) as well as time sensitivity (if your chip is 6 months late in development due to design flaws at any point of the process, it becomes essentially worthless).

That is why the game is now played typically by a small group of individuals who have experience developing full or semi-custom chips from the ground up to be more efficient for its intended use.  The best example of this is what Bitmain has done with 28nm chips, taking them from a 0.8 W/GHs miner to a 0.25 W/GHs at the wall by going to string design and fully-custom chip.  That kind of experience isn't as simple as it looks.

well for one there is that sense of pride that you get when you have done it on your own.. Not off the backs of the ones that lose out.  As your business plan proposes.. And second this is what happens to 75% of the ones that did attempt with other peoples funds.. https://bitmine.ch/

Best Regards
d57heinz

It's never as simple as it seems

One word : Risk

Well its a lot of work. Basically monitoring and maintenance is kind of a 24/7 job. I only have a few miners and thats how it is to me. Of course i just minimize the risk change and if something happen during the night i just eat the loss, but if it was a bigger mining operation i'd need staff and such.

Personally i prefer just keeping it private.

Even hosting could get risky like you mention it not being private.  It is one thing to fry your own gear but another thing to hurt someone elses.  

It would be horrible to go to people who trusted you and say "Oops it got to hot now half of everything is fried".   Sure that is a kinda worst case.  But it could happen and I don't think to many insurance companies will want to have a hosting operation under them.

I see getting insurance to be kinda hard when they send someone out and see the sheer amount of electricity a commercial center hosting asics would need.  Seems like it would be considered high risk with a pretty high premium if they take you as a client.

Indeed you would have to use a proper setup, starting your own hosting... service, to not say company is a lot of work as well. But for the end user, finding a trustable service for ASIC's machine should be possible. For instance i know there are a few around where i live, something like 75$/kW/Month.

Which is a bit expensive if you think about it considering it is possible to get 0.02/kW electricity here in a big industrial project.

I guess the real best way to do this is to run your machines at a friend who wont rip you off on the electricity cost.
But then again, you could run 2 S5 for 85$~ per month hosted here which is something like 50% fee/return.

Not sure if that's good for some users. Probably but ROI would be at around 1 year which is way too long imo.