Q2 Financial Report

ASICMiner has paid out a total of 117,515.62 BTC over the last quarter, a 74.05% increase from last quarter (67,515.09). Listed below are the weekly dividend payouts:


ASICMiner's revenue originates from both mining and hardware sales.

- Mining income this quarter resulted in 65,766.79 BTC, with 64,441.84 paid out. This indicates a 12.38% increase of 57,338.24 from last quarter, despite the 4x increase in difficulty (15,605,633 to 65,750,060).

- Net hardware sales income resulted in 52,035.07 BTC, indicating a 157.71% increase from last quarter (20,190.97).

Note: The term "Net hardware sales" was used because all expenses were deducted from gross sales revenue, while nearly all mining income was paid out. The sheer increase in sales revenue is largely due to sales starting at the end of last quarter.

ASICMiner Share Info/Value


Of the 400k shares, approximately 45k shares exist on whole share passthrus (burnside, Ukyo, and TAT). From June 1 to Aug 28, BTCT share prices increased from 2.481 to a high of 5.14 and fell back down to an average of 2.78 on August 28th's dividend payment. Share prices were determined by the the trading volume from the previous week's dividend payment up until the announcement of the direct share dividend payment of the following week.

Upcoming Competition

Other Startups:
-   Labcoin/ActiveMining
-   200 TH/s (via Bitfury)/IceDrill/Alydian
-   CoinTerra/HashFast/Bitfury/KnC Miner
-   Others not mentioned

ASICMiner has maintained the position as industry leader up to this point but adequate competition appears to be on the way. Companies like Labcoin/ActivemMining hope to enter as both mining farms/hardware sales. Large scale mines like 200 TH/s, IceDrill, and others plan to get their hardware soon and deploy in the coming months. Alydian is taking a similar approach to ASICMiner's "hardware franchising", renting out TH/s for a fixed duration. CoinTerra, Hashfast, Bitfury, & KnC Miner have joined Avalon/BFL in sales, taking preorders for the fall shipment.

Hardware Sales

Block Eruptor blades and USBs have continued to sell well, with the noticible decrease in price as other appealing alternatives appear. With such high demand for hardware, competitors now promise more efficient/smaller chips. Bitfountain is aware that hardware sales will soon become a very crowded market; turning into a commodity war, to fighting over razor thin profit margins. Their advantage still, is being able to get hardware into consumer hands quicker than anyone else.

Looking Forward

Little by little, more information is starting to come out on Bitfountain's 2nd generation chip. While the latest friedcat updates indicate 2nd gen assembly in September/October, investors have considered if those estimates are enough against the exponential hashrate growth. Friedcat has done his best to maintain the balance of being transparent as possible to investors without revealing too many trade secrets to the competition. Keep in mind that Bitfountain has run all possible simulations of selling all hardware to mining with all hardware and everything in between, choosing what is most profitable for the collective whole. Realize that they've done their research with all the new companies that hope to take the top spot from them.

All current investors should know that there are large scale plans in place for Bitfountain/ASICMiner in the fall. The "leaked" slides talk of the second mine deployment (~1 PH/s) and a larger variety of mining hardware. Competition is coming, there is no doubt about that. Any investor thinking otherwise is only deluding themselves. For those that think Bitfountain/ASICMiner's days are numbered, my question to you is this: If not them, then whom?


Disclaimer: I own ASICMINER shares. If there are numbers that are incorrect, please PM me. The remarks and points made are solely my own, and not BitFountain/ASICMiner. Any suggestions/critiques are always appreciated (via PM). Lastly, I only ask that if you're going to repost this somewhere else, please credit myself as the author.

Edit: Added the link for the slides, presented by Rockxie

Give it 30 days and get to Verified, Level 2. The convenience of ACH and Instant BTC (after verification) makes Coinbase the most appealing service to U.S. users who don't want to deal with exchanges/OTC.

Ah sorry, my mistake. Didn't mean to mislead anyone.

Everyone is too busy arguing to notice how clever my post was. This is rather upsetting... 

WWIII is Word War III, right? With all these grammatical corrections, someone may have forgotten the letter "L" somewhere...

It is currently in a "simulation" for a fixed time, after which the "demonstration" would then return the funds with the appropriate compensation for "participating" in the demo.

If that doesn't make sense, best not to participate. One can only give so many elbow nudges and winks.

Yea, come on. Someone needs to buy my DMS.Mining shares when I swap DMS.Purchase for a pair of Mining/Selling shares. Don't ruin it for the rest of us.

Also, the next difficulty change is going to be 40-45% increase.

If the SEC is interested in Bitcoin, think the FTC may be interested in ASIC pricing? 

Olaf,

Any thoughts on rockxie's situation?

You and Vycid should get together, I have a feeling both of you would get along.

Out of curiosity, which exchange prices will you be following?

Give the man a rating, runeks. Men who honor their bet losses should be praised, we've seen too many runners/scammers lately.

Dividends will be a moot point for the next couple weeks. If you're buying in, it's because of the upcoming plans, not because of the current returns.

Operation: "Offloading"

Generation 2 confirmed, commencing...

I'm surprised people aren't buying more into this. With the current prices of DMS.MINING and expected hashrate increase, there are still hearty profits to be made.

If we do, I might have to take out my life savings to buy more 

Wow! It's down to 2.3/share. I might have to get more BTC to buy more...

Is someone buying back in? 

As this thing is backed by Bitfund.pe, I'll be keeping an eye on this one. The Bitfund.pe group apparently includes a few large Coinbase investors and even a couple BitFountain (founders of ASICMiner) individuals.

ChartBuddy spamming 3D graphs on MtGox Wall Tracker doesn't really count...