I should have registered when it was accepting.. the site appears up however just no ability to create a new account

Lets see, mtgox last price $8.11USD/btc, so that means we can buy a 2x6990 miner for just $3000 us dollars instead of the $1700 it actually cost to build one. And then we can pay $550 a month to co-locate it when any datacenter in the country will do a 4U colocation for $120/mo. This looks legit.

I get what you are trying to do and its a pretty good idea, but trying to make flat fees based on bitcoin production without taking into account inflation or difficulty increases actually sounds like your trying to intentionally defraud someone. Percentage based on your edit, much better idea!

Essentially then what you're saying is the only people who will be able to afford to mine are those who were going to purchase the hardware anyway and only need to make a few cents over the devaluation of the hardware plus electric cost.

That puts me out of the project, the hardware has to earn enough to pay itself off entirely within a few months or it would be a terrible business decision on my part and would make more sense to just purchase the bitcoins and wait for the exponential growth to make them worth selling.

I really wanted to contribute over time and earn residual income but it looks like the smart money would be to just buy and sit on bitcoins like a day trader.

Ok but if it takes 25 days per block now, and that difficulty is going to increase 60-80-90-90-90% then if I'm reading that right its going to take 136 days per block in just a single month's time. Then 259 days a block at 40 days, and 493 days at 50 days to 938 days in just 2 months time, 6424 days in 3 months, 44143 days in 4 months, 302781 in 5, 2076778 in 6, and 14244621 by January or 39,026 years per block .

I guess what I'm asking, is if bitcoin needs new blood like myself in order to increase in acceptance and whatnot, but if there's no conceivable way I can build a machine right now that can pay itself off and cover the electric bill what incentive do I have to even get started in this venture.

The way I have it worked out right now I've been running numbers day and night for the last 8 days and the most efficient machine I can build economically is going to be 1500 dollars at 1Gh/s, that's around 8 days per block or ~31 days per gpu times 4 at the current difficulty.

The only way I see to even contribute is to join a mining pool, but at 5 btc/day and falling the prospect of it paying itself off at the 60 day mark as I had originally calculated it, seems bleak.



The value of the bitcoins would have to follow suit to the difficulty increases wouldn't they? So say today's market value of 5.60 on the same 60-80-90-90-90-> Would have bitcoins
5.60.. 9.. 16.. 30.. 58.. 110.. 210.. 399.. 758.. 1441.. 2739.. 5204.. 9888.. 18787.. 35696.. 67823.. 128863.. 244841.. 465198.. 883876.. 1679365.. 3190795.. 6062510 = January

So I guess what I'm saying is if the bitcoins rise exponentially in difficulty over the next few months, that means either the value of the bitcoins themselves have to rise at a similar exponential rate since by January using that formula its going to take 39 thousand years to do what takes 25 days now.

If there's flaw in my numbers please let me know I'm just seeing this as a bad omen that the difficulty and btc values are on such an exponential rise, it can only mean the value of everyone who has been hoarding coins is going up at an undeserving rate and will collapse the market when they decide to sell.

This sounds rather apocalyptic, if a 3Gh/s rig cant make a single bitcoin in a day by by January why would anyone do it? The electricity cost is higher than that.

I need you guy's opinion on a setup I'm building.

Basically I have 2 choices, I found (4) 6950 reference boards unlockable at a local shop for $300 each., or (4) 5850's for $180 each.

Using the wiki I see the 6950's should go 1.2Gh/s to 1.4Gh/s overclocked, and the 5850's should do 960 Gh/s to 1.3Gh/s overclocked.

This has me leaning on the 5850's since although its rare to find unlockable 6950's, they still aren't cheap enough.

Lastly, I did a little build up on newegg for a cheapie AMD sempron mobo, and a cheapie intel i3-2100T build.

The intel build is $1100 and the amd build is $740, is there any reason I shouldn't go with a couple MSI 870-G45's with sempron 140's over the intel build as ASUS P8P67 LE's with i3-2100T's?

So in summary, 5850's or 6950's, and amd or intel.

Thank you guys much!!

Re: Distribution

Ok thanks I'll use ClearCoin exclusively then until I too get established so my lack of reputation doesn't matter so much.

I'm jumping into the bitcoin community head first and getting scammed is essentially the only logistical concern I have. Would you guys say that these forums, or #bitcoin-otc's bot, or some other place is the best to establish someone as honest? I only say that because I'm inclined to trust anyone from here with a few good trades to their name but I'm also brand new to this and I am going to have to earn trust as well so I'd like to start in the place most people prefer.

I also looked at clearcoin but as I'm intending to be the one supplying the bitcoins and they allow you to simply not confirm receipt and get your bitcoins returned it doesn't really work irrespective of trust level.