Bitcoin Forum
March 28, 2024, 05:39:34 PM *
News: Latest Bitcoin Core release: 26.0 [Torrent]
 
  Home Help Search Login Register More  
  Show Posts
Pages: [1]
1  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: July 18, 2014, 04:15:43 PM
Yes, the figures in the prospectus are only an estimation. No one can accurately predict what the exact pricing and performance data of mining hardware will be even only several weeks down the road.

We might be able to accelerate. But to be on the safe side, it's better to still refer to the same time frames mentioned earlier.

Please keep in mind as well that we will not really offer DTMA units as one single option as per earlier definition in the prospectus. We are currently only offering DTMB for pure capacity, and then another funding round (e.g. DTMH for "H"ardware) only for mining hardware alone at a later time.

If someone buys only the mining hardware (e.g. DTMH) alone, then those mining hardware unit holders would obviously still have to pay DTMB unit holders the 20% mining revenue as their hosting fee as described in the prospectus - this is the main incentive of buying DTMB units.

However, with DTMB unit holders buying mining hardware (e.g. DTMH) on top, you could say that they pay themselves the 20% hosting fee and would therefore still end up in a similar high profit model as described for DTMA in the prospectus. Essentially, if you are interested in DMTA, the current path has to go through DTMB first. With any other path you might end up with less than the DTMA forecasts in the prospectus due to paying the 20% hosting fee.
2  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: July 17, 2014, 11:21:45 AM
Could I please get some clarification on what all this means for small buyers in terms or price / capacity?  ie; how much will a single DTMA unit now cost, what hashing capacity will it represent, and what will the OpEx costs be?

Another question is; what will we be 'buying'?  Will this be a purchase of mining gear, rental, shares representing earning capacity?  What kind of resale/onsale options will there be?

Also, I realise that this is very early days, and you may not be able to give me an answer at this point, but do you have any ideas on a ballpark timeframe for units to be ready for sale?  I assume it will now be quicker than the originally estimated 3-6 months?

Thanks.

Apologies for the delayed reply.

While you can still take a look at the example DTMA Revenue Forecast and Profit Model on page 15 out of our Data Tank Mining Ops Prospectus for unit costs, hashing capacity and OpEx as general reference, we are currently only accepting investments of at least 10,000 units of DTMB or more. We have mentioned earlier that it would be better for unit buyers if we don't raise any money for mining hardware under DTMA units yet.

There will be another funding round later, specifically only for the mining hardware at the then best available efficiency and price, instead of committing to hardware now already and letting it lose on value with every difficulty increase and upcoming new hardware releases competing on price with older hardware. This would then essentially be like a DTMA unit if added on top of the DTMB.

Page 9 of our prospectus lines out what you are going to purchase. It is essentially purchasing capacity, which can be traded later as well:
http://www.datatank-mining.com/files/DataTank_Mining_Ops_Prospectus.pdf

If you are interested, then please use the contact information on our prospectus on page 16 for direct purchase of 10,000 untis of DTMB or more.
3  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: July 07, 2014, 09:55:43 PM
1 tank aka the minimum amount for direct investment (~100kW) is therefore ~$70k for capacity alone.
why is one tank billed as being 100kW according to the statement
Quote
a minimum purchase of 10,000 units (1 tank)
It should really be at least ~200kW per tank....

10,000 units are 100kW. Has been corrected in the update.

4  Economy / Securities / Re: [FUNDED] DataTank Mining: 1.2MW 3M Novec Immersion Cooled Mining Container on: July 07, 2014, 07:40:01 AM
Update 07 Jul 2014:

We are pleased to report several positive developments.

Offering on Havelock:

•   DataTank Mining has received enough funding via direct investments in the pre-offering phase to proceed with the business plan.

•   Offering of single DataTank Mining units on HavelockInvesetments.com has been cancelled for the time being. The internal platform (control panel) will be developed in parallel to the initial DataTank systems.

•   The prospectus will be updated in the near future to reflect latest information and further changes. Most significant changes are that DTMA units (capacity and mining hardware) won't be necessary in its current form. This is a step towards reducing investment risks and making DataTank Mining a more predictable venture. DTMA and investment in future hardware for future deployment has caused confusion that can be avoided (we are working with DTMA direct investors to convert units).

•   Direct investments into capacity units are always welcome by emailing to admin@datatank-mining.com. Please note that until the internal platform is available, a minimum purchase of 10,000 units (edit: 100kW).

•   We apologize for the dust to the community and to HavelockInvesetments.com, please bear with us to make this not only the most efficient mining venture, but also to raise the bar for safe mining investments. We plan to make this as predictable as possible for participants and partners.

Other Information:

•   Production for DataTank No. 1 has already commenced and AM BE200 hardware is the hardware of choice for initial deployment. We are currently evaluating if Scrypt hardware will be available in time for at least a partial deployment to use some spare capacity.

•   We keep working with ASIC manufactures for their current and future chips to make them available as immersion blades. We are also offering capacity in DataTank systems and prototyping runs to existing and new ASIC manufacturers to get their hardware immersion ready.

•   We will keep working on hardware support, deployment locations, and other partnerships while the initial DataTank container systems are built for deployment.

•   We would like to re-emphasize that DataTank systems and the operation expenses include everything required for mining, including electrical switchgear, transformers, power supplies, cooling, rents, 24/7 on-site support staff, iPhone control panel, and anything else that is needed for operation. There are _no_ other costs.

•   Reselling of ASIC hardware for air cooling users will be possible. Please note that immersion blades are based on a dual design for immersion and air cooling (1U form factor or tube-like) and we encourage manufacturers to follow our design guidelines.
https://www.googledrive.com/host/0ByWHHc0u_thNT293cTl6OXBVZms/AirCooling_01.pdf
https://github.com/blockerupter/AM_Tube/blob/master/complete_set.png
https://docs.google.com/uc?export=download&id=0ByWHHc0u_thNdzB3c2hvVzJkcTQ

•   If reselling for air-cooling is indeed in demand by Q4 2014 or Q1 2015, DTM will make available at-cost DIY reselling packages that consist of inexpensive cardboard boxes, thermal paste, heatsinks and fans, with a compartment for immersion blades. DTM will also offer shipping services at a transparent small fee to unit holders to liquidate their hardware (with or without air cooling kit).

Please also follow DataTank Mining on Twitter to receive updates:
http://www.twitter.com/DataTankMining

We also posted a couple of videos recently showing several chips in action and will keep posting progress reports and pictures frequently:
http://www.vimeo.com/datatank/
5  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 29, 2014, 11:41:55 PM
The last progress update was here:
https://bitcointalk.org/index.php?topic=655464.msg7469776#msg7469776

The public sale of capacity units on HavelockInvestments.com has been pushed back (preliminary date Monday July 7, after the U.S. Marshall's  Service Bitcoin auction and the July 4 weekend).

It is now also copied to the first post and will be done so in the future for consistency.
6  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 24, 2014, 12:33:42 AM
• We are in discussion with a manufacturer to provide ASIC hardware in return for DataTank capacity. This is an unexpected turn of events, but it may prove to be a very important development with the potential to (a) reduce the need to finance chips and outlay required at the time of deployment, and (b) to speed up the production pipeline earlier than expected. We have agreed not to post details before a consensus is reached. How this affects existing and future DTMA holders will remain to be seen when we have results.

Does this mean a move from ASICMiner chips to another manufacturer's?

That is what it sounds like.  Not good for AM holders

Last time I checked AM was a "manufacturer that provides ASIC hardware".


We're a bit worried about the "unexpected turn of events" line. AM has already been a long-term established partner of Allied Control and the initially planned partner/supplier for this operation. Now this sounds like the supplied may have changed.
Do you know more in order to wipe away those doubts?

Apologies for the confusion. AM is not at risk being the Bitcoin chip supplier of choice for this operation. Keep in mind there will also be a shift to Scrypt mining in the future, at least partially.

For DTM it's most important to deploy capacity in order to fully utilize the potential of fast deployment and efficient operations. Having manufacturer support is an important element and it is in the interest of ALL chip manufacturers for their customers (miners) to be successful and "come back for more".

I guess that means that at their quantity levels the chips themselves should be significantly less than $0.40/G today.

So, the public IPO of both DTMA and DTMB units have been pushed back, right?

Both is correct. The push back is mainly to avoid the risk of swings in the BTC price due to the U.S. Marashall's Service auction (unusually unstable BTC price during funding rounds may cause additional noise), and to allow sufficient time to consider the points made in yesterdays update. Less investment required for ASIC hardware is good news for stake holders and means lower funding requirement for DTMA.

The confusion should be over when concrete details can be posted, but definitely before any public offering.
7  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 23, 2014, 03:02:18 PM
Progress Update 23 Jun 2014:

Here is a first progress update since the original announcement of DataTank Mining last week.

• The public sale of capacity units on HavelockInvestments.com has been pushed back (preliminary date Monday July 7, after the U.S. Marshall's  Service Bitcoin auction and the July 4 weekend). In the meantime, early investors may contact us by email.
   
• We are in discussion with a manufacturer to provide ASIC hardware in return for DataTank capacity. This is an unexpected turn of events, but it may prove to be a very important development with the potential to (a) reduce the need to finance chips and outlay required at the time of deployment, and (b) to speed up the production pipeline earlier than expected. We have agreed not to post details before a consensus is reached. How this affects existing and future DTMA holders will remain to be seen when we have results.
   
• We have also received inquires for exclusive partnerships from two different known parties in the mining space, and at least one of them is seriously considered at the moment.
   
Several questions have been raised in regards to the choice of locations. We would like to comment as follows:

• DataTank Mining is not fixed on a specific location (such as the USA) and can deploy in parallel if required, even internationally (minimum requirement for DataTank Mining systems is power feed and internet, deployment of containers can be indoors or outdoors).

• Next to pure electricity prices, consideration is given to other factors such as long term (and political) stability, unrestricted trade and access for staff and also local resources and talented personnel available.

• Average electricity price at DTM's first choice locations is below $0.03, while there are several more locations (including China) available with $0.03 to $0.05/kWh. We would like to hear opinions via email, especially in regards to US or China as locations of choice.

• If you are in Hong Kong for the Inside Bitcoins event, please come say hi on Wednesday June 25 11:00 to 11:45 am, when one of our very own is hosting a panel with mining professionals.
   
Crypto Currency Mining: A 360 Industry Perspective
http://www.mediabistro.com/insidebitcoins/hong-kong/agenda.asp
   
Panelists:

Guy Corem CEO, Spondoolies-Tech (SP10/SP30)
Rock Xie CEO, ROCKMINER/ASICMiner board member
Li Yingfei, Business Development Director, Bitmain Tech (AntMiner)
Mao Shi Xing COO, Yibite & Co-Founder, Discus Fish, f2pool
Marco Streng CEO and Co-Founder, Genesis-Mining.com
Alex Kampl VP of Engineering, Allied Control/DataTank (Moderator)

We also would like to remind everyone that DataTank Mining is NOT offering shares in the company, but units of capacity ("units") of DataTank container mining systems (ie. one unit represents 0.01 Kilowatt (kW). 100 units are one 1 kW block).

Here is a sneak peek at the future of mining (preview video):
http://www.vimeo.com/datatank/mining
8  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 23, 2014, 07:31:42 AM
Previous posters are correct.

DataTank Mining is not selling or purchasing any hardware (as in hashrate, ASICS, etc) today, and prices are merely a representation/reference to make a business case. It is at the core of the business strategy _not_ to engage in such practice and bet on hardware. Hardware will be purchased in time for deployment, no earlier than that, at the price and performance that is best suitable to serve its purpose.

Hardware acquisition needs to happen at a certain point in time, no doubt. Because numbers cannot be pulled out of thin air, we are using today's known data for reference calculations. However, it can be safely assumed that the hardware will be cheaper (more competition) and that the same money can buy more hashrate (advancement of technology) in the future. Both cases are accounted for in the insurance sections: unit holders receive excess funds paid back via dividends or receive more capacity/higher hashrate in form of extra units if we are over-funded.

The reason why today's known hardware cost (large downwards trend) and production cost (very little change) are used, instead of guesstimating or making up numbers is because it's bad business practice to base a business plan on speculation.

Keep in mind that we run our own production line. We have produced ASIC hardware for third parties before, not only for immersion but also for heat sink users worldwide. Prior to that, early 2012, we have built and produced Spartan 6 based FPGA boards and there are surely a few forum users who could attest to that (info via PM if needed).

-- // --

Having said that, there will be a progress update within today, of which one particular point addresses exactly the risk of hardware acquisition. We have some good news in this regard but discussions are still ongoing.
9  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 23, 2014, 03:40:14 AM
how we will get in touch with you guys ? have you already a website designed to handle change requests for B stakeholders ?

DataTank Mining will have a control panel for unit holders to control their capacity.

In addition, there is a NOC (network operations center) staffed with engineers that will respond 24/7 to requests in addition to securing networks. This is part of the security protocol.

There are currently discussions with Havelocks and considerations for other (also open) exchanges to integrate an interface (API).

The easiest and solution already in place is moving units between the unit holder and DTM's account manually, but this introduces a lag due to manual interaction. We are confident that this can be automated, despite the the new twists that the systems introduces.

or are you creating a pool ?

A pool and a digital market place is under consideration, with third parties that are established with a proven track record in this space.

can people choose where they are mining ?

Yes. But DTM can only offer additional benefits (digital market place, ie. additional income via selling hash rate to cloud miners or cloud operators) when miners are pointing at DTM systems, not at external pools.

DTMB holders can essentially convert to DTMA-equivalent with the at-cost purchase of mining hardware right?

That is correct, via control panel or manual interaction.

How will you handle DTMB holders who want different things?  Eg, some might want you to help negotiate to franchise their capacity.  Others might want to handle their own franchising, while yet others may want to self-mine.  Seems like it would be messy to communicate with individual shareholders going in different directions.

This is a matter of proper planning and implementation. The mining market will definitely not stand still, so this will result in a ongoing effort.  Control panel, on-site technician and network operators will be prepared to handle requests and keep track.
10  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 23, 2014, 03:05:00 AM
Does the IPO also fund your 20% deployment of identical hardware?

That is correct. The 20% also function as safety buffer in case of price fluctuations.

DataTank: Sources and produces ASIC boards in-house without third parties involved for significantly more than 20% cheaper (relies on experience producing past ASIC boards and direct connections to designers/manufacturers). There are no profits involved through the complete chain and we are on-site for manufacturing, and on-site for deployment. Case in point. We produce hardware at today's prices for <$438/T (<$0.44/G). This compares to the price of other hardware available.

Traditional: Buys ASICs, components and PCB from third parties. Relies on manufacturing for third party. Needs to add mechanical components such as case, fans, heatsinks, screws, nuts, switches, cables.  Needs box and packaging. Needs logistics. Needs profit margin to make money. Needs to sell with customer support, billing, needs to cover NRE expenses. This total cost will be significantly more than 20% margin. In addition, when the end-user receives hardware, the costs continue. Power supplies, installation, deployment, overpriced data center rent, etc
These are some of the problems that DTM solves.
11  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 19, 2014, 01:15:34 AM
Given that the container, immersion cooling, etc. are all based on existing technology within allied-control, and that two sites with low electricity costs and no legal problems have already been identified, why would it take so long (3-6m) to deploy containers?  Surely the deployment time can be shortened and have less variance?

so from the Prospectus you mention "minimized manufacturing time and prefabricated DataTank mining systems... deployment can be carried out in hours, instead of ays or weeks." But the mining won't start for 3-6 months?

Short answer:

The goal is to deploy in the fastest time possible, but hardware and infrastructure deployments on a megawatt scale take time. It also has to be done internationally and safe without risks. Furthermore, it is not uncommon that manufacturers of electronic or infrastructure components take up to 12-16 weeks to deliver, or even longer on such a scale.

We have good people involved and hands-on experience building some of the largest and most efficient mines ourselves and will do so again. We also have our own production facility literally in-house, within our very own rooms.

Long answer:

In the case of the ASIC chips the delivery time is a price issue, in the case of other important components it's a quantity and industry issue. Example, a few hundred or a few thousand buck regulators can be purchased  online, but for 100k+ back regulators Texas Instrument or any other company will take several months or do partial deliveries, even in China.

Insufficient time also leads to inefficient and unproven board designs. Board designers get it wrong all the time, not because they are bad engineers but because everyone wants the boards out the door ASAP. Ultimately this leads to higher cost, lost money and lost time.

We solve this problem by putting capacity in place first and foremost, and committing to hardware at the right price with the right performance in time for deployment.

Most mining businesses in the past focused on investing in mining hardware first, hosting and infrastructure cost afterwards was often accepted as collateral damage. At today's scale and economics (hosting and infrastructure cost exceeding HW cost), the focus needs to shift or ROI will be significantly affected. In addition to the arms race for the chips there is now an arms race for capacity as well.

Based on the forecast in pg 15 of the prospectus, deployment in 3 months would mean that DTMA will not reach ROI.  6m would be worse of course.

That is absolutely correct. The solution is to put capacity in place first and then buy hardware when it is guaranteed to be efficient and can be brought online in the shortest possible time.

The reference data in the prospectus is based on today's known facts and prices including safety margin. It can be assumed that future hardware prices will be lower, but the business plan cannot be based on assumptions alone, hence today's prices/economics are used to represent the business model.

This is indeed a departure from the usual "buy hardware first and get rich quick" schemes which often overlook important issue such as hosting, logistics, manufacturing etc -  we firmly believe the long term approach in mining requires such a radical change in strategy.

We plan to be very profitable from the outset, but it's the next generation where it will make the biggest difference. Mining is to stay and our solution can be used again and again.

Secondary deployments literally take hours, with the complete structure being reused. This is true for DTMA investors (capacity + hardware) and DTMB investors who only invest in capacity.

When a better chip becomes available after DTMA starts operations, what is the procedure for swapping to the new chip and how would it be funded?

When hardware in DTMA capacity (hardware + capacity) stops being efficient, it can be switched off and DTMA effectively becomes the same as DMTB (capacity only).

DataTank Mining is working with hardware and ASIC manufactures (SHA and Scyrpt) to make immersion blade hardware available. DTMA or DTMB holders can chose to purchase (at internal cost) new hardware at any time, either by reinvesting paid dividends or raising new funds. Alternatively unit holders can send in their own hardware and get it deployed instead.

How would DataTank Mining's interests be aligned with shareholders'?  As far as I can tell, once the container has been sold, DTM just makes a tiny cut of electricity bills, so your only incentive is to keep the container operating?

The cost of operation and building of DataTank infrastructure is passed through, there is no profit involved.

DataTank Mining's profit comes from deploying 20% of _identical_ hardware alongside the public capacity. Hence, we only earn money if we are successful. The 20% fee on operating cost is used to fund the day-to-day operation, including on-site staff providing various services such as ongoing hardware re-deployments, maintenance and security.
12  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 19, 2014, 12:51:06 AM
As far as chips go, have you already received the chips from AM (24 PH worth) and what was the power consumption per Gh (you mentioned some could consume 33% less power than stated by manufacturers)?  In other words, have you already bought the chips while the BTC value is relatively high?

Chips will be purchased when capacity is ready and the IPO is deemed successful. This means at significant lower prices with more efficient boards and chips. But of course we have current AM BE200 and other chips available for testing.

In the Prospectus theres no mention of bitcoin price going down between IPO and deployment. IF this happens, will each unit represent less kW? Will the 20% extra hash be deployed to help with ROI if the BTC value does go down? Will the fee's be decreased?

Infrastructure and hardware is purchased in fiat money. To minimize risks, the funds will be managed well and safety buffers have been built into pricing.

For infrastructure development, the most sensible approach is to immediately exchange BTC for USD, as as this investment needs to be made first and prices are relative fixed.

For managing BTC/USD for actual hardware, a sensible approach will be followed to bridge the short time between IPO and hardware acquisition.

How will we individually as unit holders decide to reinvest (percentage) vs. no reinvestment? is this a shareholders vote with a majority needed to decide the reinvestment or will the DataTank give us to buy additional "units" with the mining dividend?

As 100% of the income is paid out, it will be an individual decision if you reinvest at a later point when the market changes. DataTank Mining will NOT keep income as reserve for re-investment. 100% is paid out.

4. With scrypt mining, will you establish a different type of shares? When would you offer this, if it becomes a separate unit? or will scrypt mining capacity be included in the DTMA/DTMB?

DTMA and DTMB holders can deploy new boards by either directly purchasing hardware from DataTank Mining (at cost) or third parties and mailing hardware in. New funds may only make sense if the hardware development is not yet completed or a certain scale needs to be reached to be economic. However, pre-orders in form of commitment (no-down payment) may be a more sensible option, assuming that DataTank mining is an attractive client to chip manufactures due to the scale involved. This will be a community approach.

Will ROI be measured in fiat or BTC?

It will be measured in the currency that is being mined. Initially BTC in the case of DTMA. DTMB will be up to the individual miners using the capacity.
13  Economy / Securities / Re: [HAVELOCK] DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 18, 2014, 11:20:59 AM
Thank you for your support and feedback.

Quote
I noticed you expect each 1.2mw container to house 2PH. Does this mean that asics have been tested at 0.6w/gh?

ASICs have been tested at various efficiencies including ~0.6W/G. Better cooling also changes power consumption (some chips 33% less at 65C vs. 85C).

I would like to reiterate that the center point of the business plan is not to buy into chips and hardware designs too early. The money that hat buys 1GH today might buy 2GH in a few weeks. It also allows more time to develop and produce mature boards. One of our engineers will participate in the open source board design too. Alternatively, we may use a board design by somebody else if it proves to be more efficient.
At the long term, it may make sense to use totally different hardware or currencies altogether. DataTank Mining is not just about the first deployment, all that should count for investors is capacity and performance, not brand or type of chip.

Quote
So it's quite possible that they will be releasing "shares" in multiple batches, for less and for less and again for less

We cannot release units of capacity for less than it costs to build, there is no profit in the build cost and we are passing through real expenses. In fact, we can build systems cheaper if we run them by ourselves, we don't require bells and whistles on our own systems, or glossy paint.

We earn by deploying 20% of identical capacity along public unit holders, and hence we will make sure that whatever we deploy is most profitable - our own income depends on it.

Quote
There's also minimal information as to who the operators are and whether they have a credible.

Our own team will build and operate the DataTank systems. We are also looking for external partners for later phases, depending how the market develops.

We are also in contact with some of the more successful mines to explore synergies for the future. A reliable operation needs reliable people and we are truly open when it comes to partnerships.

14  Economy / Securities / DataTank Mining: 1.2MW 3M Novec Immersion Cooled 2PH Mining Container on: June 17, 2014, 11:26:20 AM
-------------------------------------------------------------------------------------------------

* Update 7 July 2014: PLEASE NOTE WE HAVE BEEN FUNDED. *
https://bitcointalk.org/index.php?topic=655464.msg7713945#msg7713945

-------------------------------------------------------------------------------------------------

Introduction
DataTank Mining is a crowd funded and professional effort to take efficiencies in Bitcoin mining to the next level, and to solve some of the fundamental challenges that miners face today. The aim is to provide capacity and managed mining services to the public, mining for Bitcoin and any of the other crypto currencies of importance. Our business plan is focused on capacity and efficiency, and a radical departure from Bitcoin mining of the past.

Technology
Hardware is deployed in immersion cooled container mining systems using 3M™ Novec™ Engineered Fluids without heatsinks, fans or other mechanical parts or cables. With integrated power, networking and everything else required for mining, systems are universal, reusable, and most importantly, faster online and less expensive to build and operate than other methods of deployment.

Tech Introduction Video
http://www.vimeo.com/datatank/mining

The Offering
We are offering units of capacity of DataTank container mining systems in order to raise funds. Two different types are available, allowing investors to either invest in both "capacity and mining hardware" (A), or in "capacity only" (B).

Please read our full prospectus for details.



(prospectus has been replaced with a shorter document: Introduction to DataTank Mining. Original prospectus archived for historical reasons here)

Prospectus URL:
http://www.datatank-mining.com/files/DataTank_Mining_Ops_Prospectus.pdf

How to buy Shares/Units:
Units will be sold in 4 rounds on HavelockInvestments.com, discounts for early investors will be available (public offer date preliminary set to July 7).

Angel investors can also purchase units directly from DataTank Mining, please contact us via email. A minimum purchase amount of 100kW (10,000 units) applies for direct shares.

Dividend Payments
Profits will be paid weekly in form of dividends. First payments are expected when the initial hardware is deployed, 3-6 months after successful fund raising.

Reference DataTank Key Facts:

• $18/kW total operating cost per month
  (all in, including mining cluster electricity, cooling, full time staff, rent)
• 10 days or less to pay full infrastructure
  (heatsink miners will probably need longer than that to wait for FedEx and plugin their fans)
• 0 days to pay infrastructure on second deployment
• PUE <1.01 (less than 1% for cooling electricity)
• No heatsinks, no fans, no noise, no dust

Reference Case 2PH ASICMiner BE200 Hardware

• 2,400 DataTank Immersion Blades (80x AM BE 200/board)
• Integrated power, managed networking, servers
• <$820/T (<$0.82/G) total cluster with deployed DataTank system  on-site
• <$532/T (<$0.54/G) total cluster with power, servers, networking (no DataTank System)
• <$438/T (<$0.44/G) cluster only without power, servers, networking (no DataTank System)
• Hardware produced in-house by DataTank Mining
• Estimated chip price based on recent data, future price may be lower

Hardware and Currencies
Due to our past experience with ASICMiner, we are committed to using ASICMiner hardware for our own capacity, until we see a reason not to. DataTank systems are compatible with any hardware, including with chips from Spondoolies Tech, InnoSilicon, Hashra, HashFast, GridSeed, Cointerra, Butterfly Labs, Bitfury, Alcheminer, Avalon, ASICminer and more. Bitcoin, Scrypt, any other hardware, including GPU computers.
We are in direct contact with several of these manufacturers to get their hardware ready for immersion.

DataTank Design Guidelines for ASIC board manufacturers can be found here (PDF):
https://docs.google.com/uc?export=download&id=0ByWHHc0u_thNdzB3c2hvVzJkcTQ

Company & Founders
DataTank Mining Limited is a technology company founded by the Bitcoin cluster engineers at Allied Control. While headquartered in Hong Kong, the world's freest economy in the word for 20 years standing, the company focuses at overseas deployments, where electricity rates are low and renewable electricity (hydro, wind, geothermal) is available in abundant quantities. The team runs its own SMD and CNC production line and has produced immersion cooling systems and ASIC boards in large quantities. During years of engineering time, we have built a network of partners, resources and contacts in Asia, Europe and the USA. Our first larger scale immersion cooled cluster consisted of 6048 XilinxฎSpartan-6 FPGAs in 24 tanks and was built in early 2012 with the Bitcoin still below $5.

Some of our previous work:

YouTube: ASICMiner Bitcoin Cluster Hong Kong
http://www.youtube.com/watch?v=oZavKweMrP4

Analysis of Large Scale Industrial Bitcoin Mining Operations
http://www.immersion-cooling.com/publications/Analysis_of_Large-Scale_Bitcoin_Mining_Operations.pdf

Why DataTank Immersion Cooling is cheaper than anything else for Bitcoin mining
https://docs.google.com/document/d/1zQwlGoDfHgqlPFlLuUviKzkSUepWMTKcwGaNI_nqNjg/edit

Case Study Uptime Institute Symposium: Immersion-2 System
http://symposium.uptimeinstitute.com/images/stories/symposium2014/case-studies/3m-allied-control-immersion-cooling-case-study.pdf

Bitcoin 2-Phase Immersion Cooling & Implications for High Performance Computing
http://www.allied-control.com/publications/Electronics_Cooling_Bitcoin_2-Phase_Immersion_and_Implications_on_HPC.pdf

2-Phase Immersion Cooling Concept for Intelฎ Xeon Phi™ Coprocessor Cluster
http://www.allied-control.com/immersion-cooling/xeon-phi-immersion-cooling-concept

Value Proposition

• Cuts investment in half or doubles hashrate with identical investment
• Rapid deployment leads to significantly higher profits, ROI in weeks
• Infrastructure at unparalleled low prices, reusable systems with zero overhead
• Most efficient ASICs are purchased in time for deployment
• DataTank is the result of a multi-year effort of miners and ASIC manufacturers
• Safety, transparency and reliability of operation
• Public ownership of capacity

Main Revenue Sources for unit holders

• Maximize direct and indirect mining income for unit holders.
• Franchising or leasing spare capacity for profit share.
• ASIC co-location and hosting directly or with strategic partners.
• Introduction of spare capacity via bidding model.
• Digital marketplace, contracts, cloud mining.

Insurance (excerpt):

In case production cost of final mining hardware is lower than raised funds or there is a significant movement in Bitcoin price, the difference will be paid back in form of additional units or via dividend payments or both.
The company will publish financial statements and certified audits frequently to make calculation of operating expenses transparent.

DataTank Capacity Explained

The permanent measures of capacity at DataTank Mining are MW and kW. This is in contrast to MH/s, GH/s or PH/s or other measures of hashing power. These measures are important to calculate mining income at a certain period of time, but they change depending on network difficulty and currency being mined. What does not change over time is the available power, infrastructure and cooling capacity.

As an example, today 1kW of Bitcoin ASICs may produce 1.66TH. When new hardware (ie. 28nm) is released, the same 1kW of power may produce over 3TH by simply pulling out the old board and replacing it with the new one. Alternatively, it could be used to mine a different currency altogether (Scrypt).

Once in place, capacity will be used again and again, including its power supply, infrastructure, and anything else. Nothing, except the boards with chips, has to change.

Detailed information:
http://www.datatank-mining.com/capacity-explained/

Questions and Updates
Questions are welcome and will be addressed in this forum before the date of public offering.

-------------------------------------------------------------------------------------------------

Update 19 Jun 2014:

Q: why would it take so long (3-6m) to deploy containers?
A: The goal is to deploy in the fastest time possible, but hardware and infrastructure deployments on a megawatt scale take time. It also has to be done internationally and safe without risks. Furthermore, it is not uncommon that manufacturers of electronic or infrastructure components take up to 12-16 weeks to deliver, or even longer on such a scale.
Furthmore, we have to be frank to investors. We have good people involved and hands-on experience building some of the large mines ourselves. We also have our own production facility in-house, within our very own rooms. We believe we are capable of making such an assessment.

Q: Is DataTank Mining the same as Allied Control
A: DataTank Mining is a spin-off of Allied Control and we are indeed the same people. The purpose is to focus 100% on mining infrastructure.

Q: When a better chip becomes available after DTMA starts operations, what is the procedure for swapping to the new chip and how would it be funded?
A: When hardware in DTMA capacity (hardware + capacity) stops being efficient, boards can be removed and DTMA effectively becomes the same as DMTB (capacity only).
DTMA or DTMB holders can chose to purchase (at internal cost) new hardware either by reinvesting paid dividends or raising new funds. Alternatively unit holders can send in their own hardware and get it deployed instead. We are working with hardware and ASIC manufactures (SHA and Scyrpt) to make hardware available.

Q: How would DataTank Mining's interests be aligned with shareholders'?
A: DataTank Mining's profit comes from deploying 20% of _identical_ hardware alongside the public capacity. Hence, we only earn money if we are successful. The 20% fee on operating cost is used to fund the day-to-day operation, including on-site staff providing various services such as ongoing hardware re-deployments, maintenance and security etc.
DataTank Mining and Allied Control builds and runs systems at-cost, there is no profit involved. In fact, running systems internally by ourselves also means that we can build them cheaper - we don't require bells and whistles on our own systems.

Q: What happens if the Bitcoin value goes down between IPO and deployment.
A: To minimize risks, the most sensible approach is to immediately exchange BTC for USD as infrastructure is paid in fiat money. For managing BTC/USD for actual hardware, a sensible approach will be followed to bridge the time between IPO and hardware acquisition.

Q: How will we individually as unit holders decide to reinvest (percentage) vs. no reinvestment?
A: As 100% of the income is paid out, it will be an individual decision to reinvest or not. DataTank Mining will not keep income as reserve for re-investment. 100% is paid out.

Q: With scrypt mining, will you establish a different type of shares or will it becomes a separate unit? Or will scrypt mining capacity be included in the DTMA/DTMB?
A: DTMA and DTMB holders can deploy new boards by either directly purchasing hardware from DataTank Mining (at cost) or third parties and mailing hardware in. New funds can be considered, this will be a community approach.

Q: Will ROI be measured in fiat or BTC?
A: It will be measured in the currency that is being mined. Initially BTC in the case of DTMA. DTMB will be up to the individual miners using the capacity. This may be subject to change over time in order to provide a practial solution (dividend distribution may be BTC while mining for other currencies etc).

-------------------------------------------------------------------------------------------------

Progress Update 23 Jun 2014:

Here is a first progress update since the original announcement of DataTank Mining last week.

• The public sale of capacity units on HavelockInvestments.com has been pushed back (preliminary date Monday July 7, after the U.S. Marshall's  Service Bitcoin auction and the July 4 weekend). In the meantime, early investors may contact us by email.
   
• We are in discussion with a manufacturer to provide ASIC hardware in return for DataTank capacity. This is an unexpected turn of events, but it may prove to be a very important development with the potential to (a) reduce the need to finance chips and outlay required at the time of deployment, and (b) to speed up the production pipeline earlier than expected. We have agreed not to post details before a consensus is reached. How this affects existing and future DTMA holders will remain to be seen when we have results.
   
• We have also received inquires for exclusive partnerships from two different known parties in the mining space, and at least one of them is seriously considered at the moment.
   
Several questions have been raised in regards to the choice of locations. We would like to comment as follows:

• DataTank Mining is not fixed on a specific location (such as the USA) and can deploy in parallel if required, even internationally (minimum requirement for DataTank Mining systems is power feed and internet, deployment of containers can be indoors or outdoors).

• Next to pure electricity prices, consideration is given to other factors such as long term (and political) stability, unrestricted trade and access for staff and also local resources and talented personnel available.

• Average electricity price at DTM's first choice locations is below $0.03, while there are several more locations (including China) available with $0.03 to $0.05/kWh. We would like to hear opinions via email, especially in regards to US or China as locations of choice.

We also would like to remind everyone that DataTank Mining is NOT offering shares in the company, but units of capacity ("units") of DataTank container mining systems (ie. one unit represents 0.01 Kilowatt (kW). 100 units are one 1 kW block).

-------------------------------------------------------------------------------------------------

Update 07 Jul 2014:

We are pleased to report several positive developments.

Offering on Havelock:

•   DataTank Mining has received enough funding via direct investments in the pre-offering phase to proceed with the business plan.

•   Offering of single DataTank Mining units on HavelockInvesetments.com has been cancelled for the time being. The internal platform (control panel) will be developed in parallel to the initial DataTank systems.

•   The prospectus will be updated in the near future to reflect latest information and further changes. Most significant changes are that DTMA units (capacity and mining hardware) won't be necessary in its current form. This is a step towards reducing investment risks and making DataTank Mining a more predictable venture. DTMA and investment in future hardware for future deployment has caused confusion that can be avoided (we are working with DTMA direct investors to convert units).

•   Direct investments into capacity units are always welcome by emailing to admin@datatank-mining.com. Please note that until the internal platform is available, a minimum purchase of 10,000 units (edit: 100kW).

•   We apologize for the dust to the community and to HavelockInvesetments.com, please bear with us to make this not only the most efficient mining venture, but also to raise the bar for safe mining investments. We plan to make this as predictable as possible for participants and partners.

Other Information:

•   Production for DataTank No. 1 has already commenced and AM BE200 hardware is the hardware of choice for initial deployment. We are currently evaluating if Scrypt hardware will be available in time for at least a partial deployment to use some spare capacity.

•   We keep working with ASIC manufactures for their current and future chips to make them available as immersion blades. We are also offering capacity in DataTank systems and prototyping runs to existing and new ASIC manufacturers to get their hardware immersion ready.

•   We will keep working on hardware support, deployment locations, and other partnerships while the initial DataTank container systems are built for deployment.

•   We would like to re-emphasize that DataTank systems and the operation expenses include everything required for mining, including electrical switchgear, transformers, power supplies, cooling, rents, 24/7 on-site support staff, iPhone control panel, and anything else that is needed for operation. There are _no_ other costs.

•   Reselling of ASIC hardware for air cooling users will be possible. Please note that immersion blades are based on a dual design for immersion and air cooling (1U form factor or tube-like) and we encourage manufacturers to follow our design guidelines.
https://www.googledrive.com/host/0ByWHHc0u_thNT293cTl6OXBVZms/AirCooling_01.pdf
https://github.com/blockerupter/AM_Tube/blob/master/complete_set.png
https://docs.google.com/uc?export=download&id=0ByWHHc0u_thNdzB3c2hvVzJkcTQ

•   If reselling for air-cooling is indeed in demand by Q4 2014 or Q1 2015, DTM will make available at-cost DIY reselling packages that consist of inexpensive cardboard boxes, thermal paste, heatsinks and fans, with a compartment for immersion blades. DTM will also offer shipping services at a transparent small fee to unit holders to liquidate their hardware (with or without air cooling kit).

Please also follow DataTank Mining on Twitter to receive updates:
http://www.twitter.com/DataTankMining

We also posted a couple of videos recently showing several chips in action and will keep posting progress reports and pictures frequently:
http://www.vimeo.com/datatank/
Pages: [1]
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!