Well you can get 3TH delivered in April for less than 10k, so really its a bet on how much (if any) KNC over-delivers.

There is some terrible tax advice in this thread.

Read this:
http://www.irs.gov/pub/irs-drop/n-14-21.pdf

Specifically, this:

Q-8: Does a taxpayer who “mines” virtual currency (for example, uses computer resources to validate Bitcoin transactions and maintain the public Bitcoin transaction ledger) realize gross income upon receipt of the virtual currency resulting from those activities?

A-8: Yes, when a taxpayer successfully “mines” virtual currency, the fair market value of the virtual currency as of the date of receipt is includible in gross income. See Publication 525, Taxable and Nontaxable Income, for more information on taxable income.

Q-9: Is an individual who “mines” virtual currency as a trade or business subject to self-employment tax on the income derived from those activities?

A-9: If a taxpayer’s “mining” of virtual currency constitutes a trade or business, and the “mining” activity is not undertaken by the taxpayer as an employee, the net earnings from self-employment (generally, gross income derived from carrying on a trade or business less allowable deductions) resulting from those activities constitute self- employment income and are subject to the self-employment tax. See Chapter 10 of Publication 334, Tax Guide for Small Business, for more information on self- employment tax and Publication 535, Business Expenses, for more information on determining whether expenses are from a business activity carried on to make a profit.

It is my understanding that assets (in this case bitcoin) are not taxable until CONVERTED to dollars by sale or other means. Also, you can claim self employment and depreciate the machines used to mine. Not full cost, but over time based on their useful lifetime. If you go that route, you WILL need a CPA to check your figures and sign off on them, for the inevitable audit.

Round two is up.  There is one available and one voltage modded gridseed running at ~400Kh/s at 1000mhz available.

I think this is a bit naive tbh.....

J

Well there's a lot of places in the world where electricity is an insane price per kilowatt hour. If KNC get a real good rate, then they can effectively "resell" the electricity to customers who are in expensive markets. Ergo, they will make a little bit more than mining for themselves, and the customers in $$$ electricity markets will make a little more, or break-even, considering the convenience factor, vs running a reasonably efficient miner in their locale.

I would guesstimate that anyone who is paying 15c or less per kilowatt hour will not find this worthwhile.

KNC's new direction and orama's abscence, connected ?

If they would sell that Boden hashpower at a decent rate, or fulfill orders with it...it would create a huge diff increase offset, and be a huge benefit to Neptune holders and the community as a whole, because it's already a part of the cloud, and would cause zero diff increase, yet at the same time offer a great deal. They do have the ability to turn it into a HUGE customer advantage in this way. I hope they "Do the right thing"
That would be HUGE imho, and may even happen.

I have used embedded hosted today and have had no problem. I used tinypic. which one did you use?

Some embedded Images are still working, depends probably on wich Img-Host you are using.

I wonder why they are so scared of selling a few upgrade boards to existing customers ?
I only want 2.
It's not like we would be big competition to them.  

You keep making flow diagrams.....

There are enough people using arbitrage trading bots for alts already, across many exchanges....
I wonder if there is any capacity in the system to actually make any money in that anymore...I doubt it

yeah i likely should follow your advice joe......but i did get a www.alpha-t.net (likely they are clueless and it will be late) at 5mh with KNC announcement of 100mh titan at 10,131.80...they pretty much matched the hash due to the fact they have not set chips into blades etc yet...so got lucky there..they say the 25mh for 9k will go to 90mh and the 5mh at 2.2k will go to 16mh...we will see they take paypal and the last 2/3 is due near shipping so ...if they make me pay the last 2/3 and it don't float i can kinda sorta bail most of it back...i think they are legit but they could muck up the technical ...they seem green as grass

anyway trying to follow in your scrypt miner footsteps but damn these big boy pants are large don't ya know

anyway giving it a shot ....will likely arrive late but hey gotta start someplace

Searing (at least they take paypal yet)

 

If these run on Multipool all altcoins are going to be decimated.

At 100 Mh/s, it is almost impossible to ROI if you are only looking at Litecoin, better off buying LTC.  Things do get more interesting if KnC over-deliver (150 Mh?) and if they can deliver middle of Q2/Q3, tape out in early May and ship by end of July?  If they would allow refund then it might be a good hedge against LTC price drop since unlike buying LTC, you are not locked into the loss if you can get a refund before shipment and you still gain if LTC value goes up.  However since there is no refund, the other advantage as someone has already pointed out is there could be some newer and more profitable scrypt-based alt coin (like dogecoin) in the future that can become more popular and make the Titan profitable for longer.  Unlike Neptune since bitcoin is so dominating, there probably won't be a new SHA-256 coins that will become popular and gain much value, so you are stuck mining bitcoin that will continue its decline in profitability.