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1  Other / Beginners & Help / Re: $10 Reward for answering some questions on: December 12, 2012, 12:55:54 PM
So should I be getting a BFL or a bASIC?
2  Other / Beginners & Help / Re: $10 Reward for answering some questions on: December 12, 2012, 04:34:15 AM
Electricity is essentially free for me. Does that change my situation any?
If this is true, and remains true, then you have a competitive advantage that will improve your chances of mining profitably.  If I plug in devices that run at 100 Watts and run them 24 hours a day at an electricity rate of 0.15 per kWh, I'm looking at nearly $11 per month in electricity.  That means I need to earn more than $11 worth of bitcoin per device per month to turn a profit.  If I'm earning $10 worth of bitcoin per month per device, then I might as well just shut them down and use my electricity money to purchase the bitcoins at an exchange.  That way I'll at least get $11 worth of bitcoins for each of my $11 instead of $10 dollars worth (or less).  On the other hand if you are running 10 of these 100 watt devices and have free electricity, you can continue to run them when they earn $10 (or less) worth of bitcoin per month per device and get the $100 (or less) worth of bitcoins without any additional expense.  An exchange won't give you bitcoins cheaper than free.

Of course, unless you have your own solar panels or windmill and are already producing extra capacity, someone must be paying for that electricity you are using.  If their costs increase by $100 per month because of your activities, they may come looking for you to compensate them a bit.

Someone is paying for it. It just isn't/never will be me.

And all the models assume I leave my hardware on 24/7. Isn't there a risk of my gear overheating or simply wearing out?
3  Other / Beginners & Help / Re: $10 Reward for answering some questions on: December 12, 2012, 04:07:38 AM
Electricity is essentially free for me. Does that change my situation any?
4  Other / Beginners & Help / Re: $10 Reward for answering some questions on: December 12, 2012, 03:58:09 AM
I think you meant bitmit.net in your first post? bitmit.com goes to a site with software for the elderly...
5  Other / Beginners & Help / Re: $10 Reward for answering some questions on: December 12, 2012, 03:50:51 AM
This is a great community. Thanks for the help guys.

So the tl;dr of all this is that nobody really knows what ASICs will do. We all just have to wait and see?

On a side note, here's my "strategy":
I know that BFL will give you a full refund between the time you pay and when your order ships if you decide to cancel. Assuming I ordered today, my batch wouldn't ship until say, mid February, when the first batch of ASICs has (hopefully) already been delivered and running for a couple weeks. If the bitcoin economy looks too grim by January or early February, I still have the chance to cancel my order.

Is this sound logic?
6  Other / Beginners & Help / Re: $10 Reward for answering some questions on: December 12, 2012, 03:31:14 AM
Thanks from the prompt replies.

I have .00112 btc right now so I'd prefer to reward DannyHamilton through paypal. You can PM me your email and I'll send over 5 bucks now, and another 5 if nobody else really answers. And Garr255, I'm trying. Really.

I had a question 4 and 6 that I answered myself trough additional research. I guess I forgot to renumber. Tongue
7  Other / Beginners & Help / $10 Reward for answering some questions on: December 12, 2012, 03:07:10 AM
I'll be giving $10 through paypal for a thought out/clear answer. Maybe more. Don't be a smartass, I just want answers.

My friend and I have gotten interested in bitcoin mining. We're noobs, but at least we've read the documentation and other stuff, so we have a basic idea of how it works. We also have money.

We're looking to buy dedicated mining hardware

1) Is buying an ASIC stupid? Why or why not?

2) How fucked will the economy be in early-mid 2013 when FPGAs and ASICs become more widespread? Will investing in mining hardware even be profitable?

3) How would my friend and I go about sharing the bitcoins we've mined with each other? Can the same wallet/address reside on multiple machines, or will I have to send coins to my friend's address? Would an online wallet be good for us?

5) How often should we cash out, as in sell our btc? I understand the longer you hold on to btc, the more "value" it will have, but is it really worth waiting long?

7) Right now we're looking at the BitForce 'Little' Single SC (30 Gh/s for $649 @ http://www.butterflylabs.com/pre-order-form-bitforce-little-single-sc/) and the bASIC NextGen Bitcoin Miner (36 Gh/s for $599 @ https://www.bitcoinasic.net/index.php?route=product/product&product_id=50). Which one should we get?

Any other tips/thoughts?
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