For the foreseeable future (which is only a few months in the bitcoin world I guess), whatever these 28nm vendors can produce, they will be able to sell. Not for the current prices, but certainly profitably. I dont think you realize the gross profit margins on these products. NRE was very high,  but unit production cost is only a tiny fraction of current list prices. These chips themselves cost next to nothing. If margins on mining rigs become too slim, they will just start selling chips instead and leave it to others to produce the boards and rigs. For the record, BFL is still selling old 65nm chips for $75. these cant possibly cost more than $7.5 to produce.  We got quite some way to go down in price and up in hashrate.

If the current growth is amazing and surprising, buckle up, because you havent seen anything yet.

The current spike was achieved by a single small company that by its own admission, is struggling to get its goods out of the door and looking for ways to speed up production.
Still, KnC can produce ~4PH per month. What do you think these guys will be able to pump out:



Thats  Ciara, the plant Hashfast will use. So now imagine what will will happen once HF, Bitmine, cointerra, BFL and all the others join the race..
Its going to be a bloodbath.

Nope, but its certainly sustainable for the next months which are the ones that truly matter. KnC alone has the production and assembly capacity for ~4 PH per month, and they are looking to expand that. During the next few months, we will see the race joined by Hashfast, Activeminer, Bitmine.ch, Cointerra, possibly even BFL (monarch) and maybe some dark horses (asicminer, avalon, bitfury, .. ?). 117% monthly may well turn out to be a too conservative estimate for the next 4-5 months. Sometime next year it will inevitably slow down but by that time, no one who placed his order today will really care anymore.

Currently deployed hashrate is good for 350M (~2.5PH),
KnC is going to add another 500TH to that in the next few days, soon enough to count at 100%
Asicminer is supposed to bring 500TH online by the end of this month. NOt sure if that will be gradual and when it will start, lets count that for 25%
Bitfury and its resellers will likely continue to add at least another 100TH, as might BFL and others (avalon, btcgarden,..), Total say 250TH counted for 50% if deployed at a constant rate over the period

2500+500 +125+125= 3250 TH average hashrate for the next difficulty window (which  would end closer to 4000 TH)

=> 455M difficulty.

Damn, those actually are good prices for people with low/zero electricity costs.

If you could enter the ref number, then I guess they fixed it.

Withdraws are processed once per day and there is no way of knowing when. Can be early morning or late evening or anything in between, but usually late afternoon EU time. Once processed, it shows up pretty much instantly on the visa card, at least if it was processed during business hours. Otherwise its the next day.

So in less than 10 year a bitcoin will be worth $1,500,000,000,000 and the entire blockchain $20,000,000,000,000,000,000
Thats 20 quintillion.

Next.

frankly, MUCH too late. He should have started this at the latest after taping out his first chip.
Now thats easy to say, Im sure he had other things on his mind, but its true nonetheless.

You mean $0.5 to $1.5 per GH?
I think its even lower. The more cost effective asic designs would be below $0.1 per GH for the bare chip:
https://bitcointalk.org/index.php?topic=295270.0
PCB, cooling, case etc may double or triple that, but not more than that in large volumes.

It also means KnC alone could produce and ship 4PH per month if they can source enough components.  If KnC can do 4PH today, imagine what Ciara (Hashfast) could do.
Those saying exponential growth has to taper off will be proven correct eventually, but probably a lot later than they thought.

Not really. When the IPO started, getting any sort of asic working was a guaranteed gold mine. Today, announcing anything less than a 28m device that can begin hashing in Q1 2014 is not very exciting to put it mildly. Im surprised Asicminer let themselves fall behind this far. They scored a homerun on their first asic, but right now it looks like its a one trick poney that has run its course.

Let me explain:

=/ =/=
=/ == 

Easy.. mining hardware prices will crash. Nothing is going to stop difficulty from exploding, all these asics will be produced and will join the network one way or the other. The only variable is how much people will pay for them.

Oh common BitCsByBit, dont be so mean. You give them false hope! Now they will think labcoin may win big on justdice and pay out 2x the IPO in dividends!

Clearly if electricity demand for bitcoin mining would rival 100% of all available electricity production, prices wont stay flat. But seriously, you couldnt possibly defend bitcoins energy consumption on the basis that it would consume so unbelievably much, that prices will skyrocket?


Right, so if bitcoin replaced fiat, we could... kill those people?

I disagree. AFAICT, the MPP is just another way to get more presales. Lets take a babyjet december order. Without MPP it costs $2250. WIth MPP it costs $4050.
If you include the costs of the things you just mentioned, you basically pay the same for the MPP as for the original mining device, and for that money you get a maximum of 4x the hashrate 3+ months later (the plus is important, it could be 6 or more months later for all I know, since HF doesnt mention it). With hashrate still more than doubling each month, that just doesnt make a good deal. In three months the network would grow 8x at current rates, and if HF takes a month to ship your modules, it might have grown 16x by the time you receive your modules which "only" cost 1/4th per GH of your original order. And sure, hashrate growth might slow down, but in that case you most likely wouldnt get 4x the original hashrate either. So its just another unprofitable preorder scheme thats more likely to add insult to injury than protecting anyone.

OPen a support ticket. When I did, they said it was a glitch in the site that was now fixed. It wasnt fixed then for me and apparently it still isnt. Anyway, I filled out the VISA's card IBAN code and that seems to work fine.

Again, that price isnt for electricity, its for a full service datacenter rack. If you want a glorified warehouse, I still think Iceland could be the perfect place to build it. A few years old, but try to beat this:


Dirt cheap, 100% green and geographically not in the worst place imaginable inbetween the EU and US.

I know, but your garage doesnt supply 99.995% SLA's, nor did you include cooling costs (if you have several Sierra's), you probably have very limited theft prevention, no one on 24/7 standby etc. The fact the first quote I asked for a single rack is already competitive with most of our electricity rates alone bodes pretty well. I"ll see if I can work something out.

Oh and your garage probably doens thave 100% green energy. Even if it does, you would be using green energy that would otherwise replace non green energy elsewhere, making no real difference whereas in Iceland it really wouldnt contribute to pollution at all. They have far more (100% green) electric capacity than they can use.

PS, price was in euro, not dollar.

Wow, I was off by more than 100%
I stand corrected.