Hello, I'm just wondering if anyone offers mining contracts? Any information would be greatly appreciated I offer them still (up to 25 GH/s). The rub is I only direct the payout to the buyer, and many buyers these days want the actual hashing power directed their way. If interested in just the payout on a certain amount of GH/s, I can make something happen. Yes I am very interested could you please tell me more ![Smiley](https://bitcointalk.org/Smileys/default/smiley.gif) I generally sell 10 or 30 day contracts, at a slight discount to expected payout. I garuantee the hash rate over the life of the contract, and you recieve the payments daily. A 10 day contract would sell for approximately .60 BTC per day, per GH. So 10 days of 1 GH/s would cost 6 BTC. Scale up accordingly.
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Added.
Yochdog: that's not even the whole of their production! it's just whats been reported.
Indeed.....I would imagine one could add 50% on top of that conservatively. I wonder if their supply of magical FPGA chips will ever run dry.
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Hello, I'm just wondering if anyone offers mining contracts? Any information would be greatly appreciated I offer them still (up to 25 GH/s). The rub is I only direct the payout to the buyer, and many buyers these days want the actual hashing power directed their way. If interested in just the payout on a certain amount of GH/s, I can make something happen.
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It does make sense in a way.....thanks for taking the time to respond. If nothing else, it is highly creative and allows you to retain ownership of all equity.
I wish you luck on the mini-rigs.....I am skeptical that they can hit those specs given their records on the singles. It will be very interesting to watch the timeline.
The bond makes sense for all involved. A win/win if you will. The idea of the perpetual bond is not mine, Meni deserves credit for it. I only took it to scale. I have been in contact with BFL for months. They are an excellent team and I have been impressed with their efforts thus far. I would not have put this bond together if I did not believe they could deliver. I can understand how you might be skeptical by reading others uninformed opinions. Hopefully we can keep this thread on topic now. Thanks, gigavps Pm'd you so I don't totally hijack this thing.
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Giga,
I have been following this thread with a lot of interest. I am curious what you hope to accomplish with the bond?
If you are paying out 100% of the PPS earnings on your 50 GH/s, aren't you eating the power cost? How about inevitable replacement needs? The time you spend keeping everything running smoothly? Is this a one time cash-out by you in order to monetize your (extensive) effort?
Perhaps you are just a benevolent benefactor for the entire community??
Hi yochdog, As was pointed out in my feedback thread, the 50Gh bond will be run by two Butterfly Labs mini rigs. I bought them at the early bird price of $12.5k each. Each BFL mini rig is spec'd to pull 1250w to generate 25Gh in mining power. With my electricity costs at $0.07104 and assuming 745 hours in a month, the electricity will cost ~$135 per month. I am willing to pay out 100% PPS because I run all my equipment on GPUMAX and have confidence that the service is only going to get better with time. There are other risk factors involved in running a bond like this which you have pointed out. Since all of the costs the mini rigs add will be incremental costs (aka I already have a working farm and have already purchased the mini rigs) the barriers for me to do this are pretty low. My ultimate goal was to create more working capital while offloading some of the risk of running the equipment. This has been accomplished and my first priority is to make sure bond holders are justly rewarded. Hope this helps. Best, gigavps It does make sense in a way.....thanks for taking the time to respond. If nothing else, it is highly creative and allows you to retain ownership of all equity. I wish you luck on the mini-rigs.....I am skeptical that they can hit those specs given their records on the singles. It will be very interesting to watch the timeline.
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Wildly optimistic. I get the 2nd cheapest power in the country and can't get to that number.
How inefficient are your rigs? (1 MH/s) / (3000 MH / KW) * 24 hour * 30 days = 0.24 kWh At $0.10 per kWh that's 2.4 cents. At $0.05 per kWh that's 1.2 cents. Anyway, it just seems like he should have priced it higher given the cost/benefit.
Priced higher is present a larger risk and lower profit to the purchaser. I mean we are talking zero sum game here. It costs me about $.035 per MH per month. My average cost of electricity is .075 per Kw/h My rigs are slightly overclocked. MAYBE I could get a 40% efficiency improvement with a massive undervolt/underclock, but I highly doubt it.
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It is pretty easy to calculate (roughly) what Giga has invested in his farm just by looking as the specs he has posted, as well as pics, etc. It is also fairly straightforward to estimate his electrical bill based on the same info. It is possible that he has invested less than $1 per Mh/s, but it cannot be hugely so. Lets say he did the whole thing for $.80 per MH. His $.20 profit that he is getting today by cashing out will be eaten up in a couple months by the electrical cost.
So again, I am wondering what his angle is.
What he paid for the farm is utterly irrelevant. What the farm is worth today is what matters. If the NPV of his farm is $0.50 per MH and his electrical cost is $0.02 per MH/s per month he has a long time before the deal is unprofitable. He also can close out the deal by buying it back at 105% of market value which will decline significantly over the next year (due to difficulty & reward cut). Getting the cash up front gives him capital to buy next generation of hashing power so when the farm is obsolete he already has replacement that has been running for a year. Wildly optimistic. I get the 2nd cheapest power in the country and can't get to that number. Anyway, it just seems like he should have priced it higher given the cost/benefit.
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Giga,
I have been following this thread with a lot of interest. I am curious what you hope to accomplish with the bond?
If you are paying out 100% of the PPS earnings on your 50 GH/s, aren't you eating the power cost? How about inevitable replacement needs? The time you spend keeping everything running smoothly? Is this a one time cash-out by you in order to monetize your (extensive) effort?
Perhaps you are just a benevolent benefactor for the entire community??
The price of the bond is higher than his hardware cost and his anticipated electrical cost over the effective lifespan of the bond. If he is right he comes out ahead. If he is wrong he comes out behind. Hypothetically if you could sell a 1 MH/s (perpetual) for 100 BTC upfront would you? Would you consider it losing money even if you needed to pay ~$0.01 per month in electricity? Kid of a ridiculous hypothetical. Of course if I could sell 1 Mh/s for 100 BTC I would. That is so far outside of what we are actually talking about, I am not even sure why you would throw it out there. It is pretty easy to calculate (roughly) what Giga has invested in his farm just by looking as the specs he has posted, as well as pics, etc. It is also fairly straightforward to estimate his electrical bill based on the same info. It is possible that he has invested less than $1 per Mh/s, but it cannot be hugely so. Lets say he did the whole thing for $.80 per MH. His $.20 profit that he is getting today by cashing out will be eaten up in a couple months by the electrical cost. So again, I am wondering what his angle is.
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Giga,
I have been following this thread with a lot of interest. I am curious what you hope to accomplish with the bond?
If you are paying out 100% of the PPS earnings on your 50 GH/s, aren't you eating the power cost? How about inevitable replacement needs? The time you spend keeping everything running smoothly? Is this a one time cash-out by you in order to monetize your (extensive) effort?
Perhaps you are just a benevolent benefactor for the entire community??
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In case you are wondering where you stand, I compiled everything then wrote code to put it in a nice neat forum table: ![Grin](https://bitcointalk.org/Smileys/default/grin.gif) Date Ordered | Confirmed | Quantity | Shipped | User | 11/4/2011 | | 1 | 3/5/2012 | rjk | 11/16/2011 | | 10 | 3/5/2012 | jddebug | 12/16/2011 | | 1 | 3/9/2012 | k.a.t | 12/26/2011 | 12/26/2011 | | 3/16/2012 | xDGDZEx | 1/4/2012 | | 1 | 4/10/2012 | sysrun | 1/6/2012 | | 2 | 4/10/2012 | p_shep | 1/6/2012 | | 1 | 4/10/2012 | Inspector 2211 | 1/8/2012 | | 1 | 4/12/2012 | bitcowok | 1/10/2012 | | | 4/12/2012 | enquirer | 1/13/2012 | | 2 | 4/12/2012 | btc-engineer | 1/14/2012 | 1/15/2012 | 4 | 4/11/2012 | fefox | 1/30/2012 | 1/31/2012 | 4 | | fefox | 2/1/2012 | 2/2/2012 | 1 | | JDBound | 2/14/2012 | 2/18/2012 | | | nbtcminer | 2/14/2012 | 2/18/2012 | 3 | | tarrant_01 | 2/14/2012 | | 2 | | heavyb | 2/17/2012 | | 2 | | p_shep | 2/20/2012 | 2/20/2012 | 3 | | phraust | 2/22/2012 | 3/5/2012 | | | abbeytim | 2/22/2012 | | 1 | | ognasty | 2/23/2012 | | 2 | | coblee | 2/23/2012 | | 3 | | sysrun | 2/24/2012 | | 10 | | sgtspike | 2/24/2012 | 3/7/2012 | 1 | | silverbox | 2/24/2012 | | 2 | | theotherguy | 2/29/2012 | | 1 | | wogaut | 2/29/2012 | 3/8/2012 | 1 | | askit2 | 3/2/2012 | 3/12/2012 | 7 | | phraust | 3/2/2012 | | 1 | | kjilmo | 3/2/2012 | 3/12/2012 | 1 | | tamerz | 3/7/2012 | 3/16/2012 | 1 | | kibblesnbits | 3/7/2012 | | 4 | | nedbert9 | 3/7/2012 | | 1 | | paul troon | 3/8/2012 | | 50 | | blackprapor | 3/8/2012 | 3/10/2012 | 1 | | fuuka | 3/9/2012 | 3/21/2012 | 2 | | dave3 | 3/9/2012 | | 3 | | cablepair | 3/9/2012 | 3/16/2012 | 4 | | kibblesnbits | 3/10/2012 | | 4 | | jddebug | 3/12/2012 | | 2 | | heavyb | 3/13/2012 | 3/19/2012 | 1 | | despoiler | 3/13/2012 | | 10 | | scared | 3/14/2012 | | 2 | | turbor | 3/14/2012 | 3/16/2012 | 2 | | dropt | 3/15/2012 | 3/17/2012 | 1 | | nothing | 3/16/2012 | | 1 | | unacceptable | 3/16/2012 | 3/16/2012 | | | p_shep | 3/17/2012 | 3/22/2012 | 1 | | abeaulieu | 3/22/2012 | 3/23/2012 | 1 | | guruvan | 3/23/2012 | 3/24/2012 | 4 | | cablepair | 3/23/2012 | | 1 | | lightlord | 3/26/2012 | | 10 | | camolist | 3/27/2012 | | 10 | | mrb | 3/30/2012 | | 6 | | JWU42 | 4/3/2012 | 4/3/2012 | 1 | | colinrgodsey | 4/7/2012 | | 1 | | Maidek | 4/12/2012 | 4/12/2012 | 1 | | DeathAndTaxes | 4/12/2012 | | 3 | | lightlord |
163 GH/s......thats some serious hash......
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Having problems doing BTC withdrawals. One has been cancelled arbitrarely, and now I have one that has been "pending" for hours.
What is going on?
there are not btc maybe ![Huh](https://bitcointalk.org/Smileys/default/huh.gif) most definitly are BTC.
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Having problems doing BTC withdrawals. One has been cancelled arbitrarely, and now I have one that has been "pending" for hours.
What is going on?
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I am curious......
There seems to be huge demand for this offering, which by my math works out to paying approximately $1 per MH (or .2 BTC per MH for you real die-hards). It is very easy to build rigs that offer nearly 2 MH per $1, so why the rush to buy this?
I am assuming people don't want the hassle of maintaining a farm? Don't want the electric bill?
I understand paying a premium for simplicity, but paying twice as much seems a bit steep.
Just curious.
Financially speaking, from a non-Bitcoin perspective, the ROI for a perpetual holding like this is just ridiculous - over 100% annually at the current difficulty. I suspect that draws some with less technical ability or inclination. Speaking as someone who is technically inclined and does run a mining farm, this is still appealing. I have (a) mediocre facility access, (b) frequent travel and (c) electricity that's not ludicrous but not cheap either. My mining farm is certainly profitable, but diversifying my holdings with a good ROI and an extremely trustworthy operator seems a good call. Makes sense. Thanks for taking the time to respond!
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I am curious......
There seems to be huge demand for this offering, which by my math works out to paying approximately $1 per MH (or .2 BTC per MH for you real die-hards). It is very easy to build rigs that offer nearly 2 MH per $1, so why the rush to buy this?
I am assuming people don't want the hassle of maintaining a farm? Don't want the electric bill?
I understand paying a premium for simplicity, but paying twice as much seems a bit steep.
Just curious.
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what is the general consensus on 6990's? Are they reliable miners? Power consumption too high? Are they needing constant attention?
Just started in on my first ones, and I am looking for some info.
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Will have final numbers for the month of March soon, but here is our preliminary production:
433.34 BTC produced.
I know that you are very busy, but I would appreciate seeing the final numbers for March if you get a chance. Hey there, No worries at all.....it helps to have a friendly reminder once in a while! Here they are: Production: 431.11 BTC Expenses: 300.00 BTC (including amortized cost of hardware to make an even 300) Free BTC: 131.11 BTC We are pretty much topped out on capacity for now. I might be able to make incremental improvements, but nothing like the growth of the last 5 months. Also, with difficulty rising fairly consistently, we might see our first production decline ever in April. I am holding out hope we can squeeze out a small increase though!
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Congrats! This is awesome! Did you figure out some ways to hedge it?
The most effective hedge comes from my mining farm. Beyond that, I am going to be using some bitcoinica contracts to guard against huge moves upward. More of a shock absorber than anything.
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And as a joke: if you are going to dump 10k on the open market please PM in advance so we can move in and by a lot of coins shortly after ![Cheesy](https://bitcointalk.org/Smileys/default/cheesy.gif) Anyway cool that this loan is fulfilled and I'm also quite curious who took it. Can you elaborate on precautions were taken? Is the promissory note a legal contract? Was an accountant involved? Also good luck on the equity investment. Proff of ID, proof of address, letter from my firm confirming the equity sale, and a legal promissory note. No accountant. Thanks for the well wishes!
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