Bitcoin Forum

My friend works at a "big" University, and he has been responsible for a "big" cluster for years.

About 1 week ago, he knew digital coins from me and start to use that cluster to mine Altcoins and sell it for about 1---3 bitcoins every day. That means, no cost. 100% profit.


He want to ipo at cryptostocks or other sites. Because he thinks digital coin is a great opportunity so he wants to get much money (about 300 BTC) earlier to start bitcoin related business.

But he is uncertain if he can IPO successfully. Especially he can't give out his personal information to Public. So, how can people trust him?

He mines in the pools of altcoins, so every one can monitor the hashrate. He also can distribute the profit every day.

If he starts IPO, will you buy?


Similarily, in China, many people can use free electricity. If they use it to mine, and want to IPO, will you buy?

So, I suggest that he should wait 100---300 days to get enough bitcoins himself.

(Hint: He can't be trusted.)

He mines with the University's system? If this is true. He is a scumbag. I hope he gets caught and they arrest him.

Edit: Nothing is free, if you're not paying for it and you're using it to mine. Someone else is paying for it. If you're morally ok with that then you're probably morally ok with fucking over your investors when shit goes south. Which is a very common thing here. I don't think your friend will do well IPOing here.

Yeah, clearly this is a bad idea. He's making (stealing) money here - what does he even need to IPO for?

More money?

Okay lets say i invest 1btc in him and then what how he's going to use my btc? To buy more miners or what?

Absolutely not.

Some people will point out the obvious flaws in this plan, but I'm sure some geniuses out there will give your friend money, they always do.

Sunrise, sunset...

People seem to have become a tad more reasonable when it comes to spend their money on crazy IPOs. But in this case, how big is that cluster that he can mine altoins worth 1-3 BTC per day? Also: Yeah, he is effectively stealing from the university and thus from the tax payers or tuition fees...

Your friend not the first person to try this

http://www.paratera.com/al_detail/newsId=34.html

Easier for him to just keep the BTC if it is such a profitable venture that he expects to last

Geeezus, yeah that's stealing to begin with. I mean, he should prolly just take money and run. He's got enough bad Karma already if he really did this on a large CPU cluster.!.!

What would be the meaning of IPO?? :D:D:D Why he would need to raise money as he has no running cost and no possibility to scale(he doesn't actually own the mining hardware nor server rooms).

This is just pure ignorance or scam preparation.

Absolutely can't buy more miners and similar things. What he want to do is to start new bitcoin businesses like changetip and so on. And to be honest, I felt like that he only wants to use others' money to invest in Bitcoin business to gain further success, instead of using his own money earned from mining.

What he owns is the right of control these machines. There are also many people in China who can use free electricity for decades.

Someone felt such actions are "theft", But in China it's very common. And to some extent it's well accepted by people morally.

(Nearly) All universities belong to Government here, and all electricity belongs to Government.

Yes he is not the 1st. We all know there are many people in China doing such things.

If one has such previlege, it's nearly no reason that he won't do such things. Because he has nearly no risk and great profit.
Also, if his friends know he is doing such things, they will not blame him. 

Is this "friend" you Mr OP ?

"If he starts IPO, will you buy?"

Are you out of your fucking mind?

If he wants to use the coins for something else, he shouldn't "ipo" "his" miners. If this is serious in any way, he should try to set up some sort of cloudhashing type deal or sell/lease the hashing power. I don't know much about the laws involved here, but that is probably a lot more legal, and it seems like you kind find more suckers people willing to fall for jump into cloudhashing/mining than jumping into a bad ipo.

Absulotely not.This is a scheme->more money.And he's stealing.

Yeah, it's totally dishonest to operate mining equipment by using electricity someone else has paid for. We're not talking about a mere couple of cent, but rather about hundreds of USD being misused here!

If you intend to do an IPO on Cryptostocks you have to give out your personal information, why exactly do you claim he cant give out his personal information when you claim he has the right to use the equipment for this purpouse ?

Why does he need to do any IPO in the first place when he already have the right to use and access to the machines generating him the profit already ?

I feel mortified to see you say "And to some extent it's well accepted by people morally". Please do not say it before you get solid evidence to support this argument. From my point view, at least, theft is theft.

Ask yourself this.  If somebody offered to let you in on an IPO to do essentially what amounts to a computational bank robbery would you invest in it?  I would recommend your friend cut out the funny business and take the 1-3 bitcoins he earned hijacking cpu cycles, develop a workable concept and invest his/her mined coins in that, i.e. getting listed on an exchange.  I mean, how hard was it for him/her to dedicate a cluster of systems to mining a few coins for a time?  If he's/she's legit, and wanting to IPO something legit you would think they at the very least could risk the free coins.

BTW, I would recommend they put the keibosh on doing it too, more than likely gunna catch him/herself a case if they keep it up with the funny business!

This "friend" needs a business plan and financials. Any serious investor would need to see both of those along with a legitimate business plan and a valid reason why their funds are needed.