Bitcoin Forum

hi,

can someone explain me where i have made mistake in thinking.....

pre-orders. they take your money, then mine with that equip for a month, then announce delay of a month, and then probably ship unit/units.

http://www.youtube.com/watch?v=SCIovZ_IJuk

as you can see there they have unit (probably 100 prototype, but hey prototype, since ppl would stop paying if they just posted: working unit but let us get some coins)

and they announce that delay http://bitmine.ch/?p=4192

and even now, you have to wait 2 months to get your miner... what they are making new prototypes?


NOTE: THIS COMPANY IS ONLY EXAMPLE. NOT THE ONLY ONE PRE-ORDERING/ONLYMAKING PROTOTYPES COMPANY.

anyway my question is why do i have to wait 2 months to get miner?

1. they are    thoroughly looking in all aspects of their work and that takes 2 months

2.they can't make demanded miners in 2 weeks?

3. something else


anyway this company is only example, there are more of those out there....

be free to list them all here. and approx time from ordering a unit up to getting miner in a hand.


thx,
Gologuzan

well we don't have any choice. everything available right now is overpriced or not worth of buying.
that's the way the system works.
even if they ship them with one month of delay and mine with them it is still nicely profitable for us to buy at least if you are in first wave of next generation of miners.

Wait for asicminer gen3..

not true. ppl are doing to you what you let them to do to you. if you let someone kick you in private parts, and you do not do anything, that person will do that again.

easy. if no one would buy those pre orders, they would be forced to sell them right away. or sooner. it is easy. they make miner, they mine, miner price drops, and they have to make new miners and so on..... they get ROI after 4 months (for example).
and they are forced to sell new units to get better prices. or to mine.... their choice.
and with us buying pre orders, they have paid for parts with our money, and have kept some for expenses, and they are using our miners to get BTC.

have you ever asked your self why difficulty stays the same after those "new" machines are at customers and mining? maybe they were mining already?

who knows...... or that was just "test phase"?

Most of these companies have to do the prepaid pre-order to pay for the production and prototyping. Most banks will not lend to a Bitcoin miner mfg. because It's too high risk of a loan to them. As bitcoin is not officially recognized by any world power as a form of currency so banks can't lend. Also you need USD to pay for parts and mfg. they don't take bitcoin yet. Unless you go into business and bootstrap everything yourself then that is the only way to raise the money you need.         

Pre-orders are a legitimate way to fund smaller companies, without that funding some of these companies won't be able to exist.  The markup on the ASIC's give these manufacturers a good profit, by mining with customer products, they risk that future profit.  Those companies that abuse the pre-order model may make a quick buck early on, but sooner or later they'll pay.  Either their own employees will start stealing from them or future customers will not trust them as other better run manufacturers come online and they'll need to sell their products lower than what they could have gotten.  It's the wildwest now, but things will settle down and the companies that preserve their reputation and treat their customers right will win in the long run.