Bitcoin mining project, entry level investment

[Matias]

You still don't seem to get this so let's try again in plain English.

You are asking for 6,000 BTC, to buy machines that will make more BTC. Mining is just another way to get BTC, that's all it is. Someone with 2.1 million dollars does not need your help to get 6,000 BTC, so they have no reason to give you 2.1 million dollars, or 6,000 unless and until you can explain a plan to turn that money into more than 6000 BTC.

I would certainly not fund your project, nor am I a competitor because I realize that bitcoin mining, at the current status does not make sense. It is MUCH better for me, or anyone else to take my x amount of dollars, and turn it into x/350 BTC, instead of buying a machine that will generate less than x/350 btc over the course of it's useful life.

Even if i was so inclined to do that, I would be much better off buying my own miner instead of fronting all of the money for 21% of a miner as is offered here.

My only motive is to get people to stop throwing money and electricity at this stupidity.

I'm not pro or against this company, but I just want to point out, that they are planning to offer 325% ROI over 4 years.

[QuintLeo]

It's clear that you don't understand how mining works if you think that miners bought today will last for years on end.

 The 14/16nm full custom generation SHOULD be profitable for AT LEAST 3 and more likely 5-6 years, as it will have caught up with semiconductor state-of-the-art and there CAN"T be anything significantly better for a few years (probably 3-5 year timeframe, possibly LONGER, before the 8nm (IBM) or 10nm (Intel) generation hits commercial availability at all).

 The next generation WILL in fact be a new world for mining, since it WON'T have to look over it's shoulder wondering if it will have even 6 months to pay off before the next generation arrives.

If you think that, you don't get it.

New generations of miners are not the only way to damage a mining farm. Other people buying and running 14/16nm chips (which they will be doing in droves if they are so great) will cause the difficulty to increase, which will make these miners generate less coins over time, which will make them less valuable. That doesn't even deal with the issues of hardware failure that are sure to spring up.

Unless of course you have reason to believe that other people will be unable to acquire this magical chip that will be state of the art for 3 years. If that's the case, you may have something, and should at least state that in your public posting.

 YOU are the one that doesn't get it.

 Yes, the machines will produce less over time - but there is a limit on that, and they will NOT be "undercut" severely by NEW TECHNOLOGY making them obsolete and outdated and inefficient in less than a year.

 Also, a lot of current hashrate will dry up and go away from current miners when the 14/16nm generation renders them unprofitable. Not ALL, but a large majority - which will slow hashrate growth some.


 As it happens, a lot of miners HAVE in fact been operating for years at this point - not Antminer S5 or S7 units that haven't existed long enough to generate any track record at a 2 year of existance point, but quite a few of the older A1 based gear is still running after years among other examples.



 Also, why do you keep harping on the straw man argument about "turn 2.1 million into 6000 bitcoin"? Go back and re-read what was said.

 

The overall build is estimated to cost $2.1M (roughly 6000 BTC based on $350 USD).

[ColumbiaBasinMining]

Saw this question on Mining speculation “What difficulty level is a deal breaker for you?”

We thought this was a good question for us to answer here.

As it stands, we are not worried about the difficulty increasing as our power cost is extremely reasonable @ 0.0256 kw/H.

We also have additional parcels of land where we could put more mining power if needed to maintain our percentage of hashing rate, but this is a double edge sword as it therefore increases the difficulty (Zeno’s Paradox).  The only saving grace is more expensive power cost will drive less efficient miner out where the difficulty should start to stabilize.

[Phildo]

My only motive is to get people to stop throwing money and electricity at this stupidity.

So now we can address the elephant in the room.

Are you against bitcoin as it stands now?
Why are you motivated to hurt or hinder a company that has done nothing to you personally?

After reading your statement, all I see, is you want to stop the use of all the energy needed in the mining process.

Adding more mining power to the network is absolutely necessary otherwise you are inviting a 51% control problem, as it is we are already getting close to that.

Our take on it is, you are not necessarily against us, as much as what we are wanting to do.

I am not against bitcoin, I am against people needlessly spending money on new miners when it does not make financial sense to them. If you think it is worth spending your oney on miners, go to it. You have not said anything to prove to me that it would be worth my money, or anyone else's to participate in this project.

Stupid people bad at math paid a bunch of scammers too much money to make the difficulty, hashrate, and price of mining go up much higher than it should have ever gotten. Throwing more money into the hole isn't going to fix anything.

The hashrate does not need to continually go up, especially when you will never actually make more bitcoins in the operation than you could on the market.

[ColumbiaBasinMining]

My only motive is to get people to stop throwing money and electricity at this stupidity.

So now we can address the elephant in the room.

Are you against bitcoin as it stands now?
Why are you motivated to hurt or hinder a company that has done nothing to you personally?

After reading your statement, all I see, is you want to stop the use of all the energy needed in the mining process.

Adding more mining power to the network is absolutely necessary otherwise you are inviting a 51% control problem, as it is we are already getting close to that.

Our take on it is, you are not necessarily against us, as much as what we are wanting to do.

I am not against bitcoin, I am against people needlessly spending money on new miners when it does not make financial sense to them. If you think it is worth spending your oney on miners, go to it. You have not said anything to prove to me that it would be worth my money, or anyone else's to participate in this project.

Stupid people bad at math paid a bunch of scammers too much money to make the difficulty, hashrate, and price of mining go up much higher than it should have ever gotten. Throwing more money into the hole isn't going to fix anything.

The hashrate does not need to continually go up, especially when you will never actually make more bitcoins in the operation than you could on the market.

Are you willing to sign our NDA, so we can prove to you what we are offering is a good deal?

If not can we have a truce, because we will never see eye to eye.

[Phildo]

I am not willing to sign shit.

If you can't explain how your plan is better than buying 2.1 million worth of bitcoin on the market, in public, your plan is useless.

[notlist3d]

Something interesting they started a new topic here - https://bitcointalk.org/index.php?topic=1430539.msg14468525#msg14468525 and locked it after posting:

We are seeking individuals WHO are extremely knowledgeable in all areas of bitcoin mining.

We have bitcoin mining experience, but wish to obtain outside perspective on our project and goals, to avoid the pitfalls of so many.

If you have experience with ASIC design, PC Board Design, Controller, and/or software experience for monitoring miner(s), please contact us.

We/You may need to discuss confidential information, inasmuch as both parties would benefit from a mutual NDA.

If you feel you can assist us, please send a PM to us, as we will be locking this thread to avoid unnecessary distractions in our goal.


So not sure what their motive is but seems they are back with post they did above and locked in a new topic.   I think they will find out they need to tell more before most would touch a NDA.   

[ColumbiaBasinMining]

Something interesting they started a new topic here - https://bitcointalk.org/index.php?topic=1430539.msg14468525#msg14468525 and locked it after posting:

We are seeking individuals WHO are extremely knowledgeable in all areas of bitcoin mining.

We have bitcoin mining experience, but wish to obtain outside perspective on our project and goals, to avoid the pitfalls of so many.

If you have experience with ASIC design, PC Board Design, Controller, and/or software experience for monitoring miner(s), please contact us.

We/You may need to discuss confidential information, inasmuch as both parties would benefit from a mutual NDA.

If you feel you can assist us, please send a PM to us, as we will be locking this thread to avoid unnecessary distractions in our goal.


So not sure what their motive is but seems they are back with post they did above and locked in a new topic.   I think they will find out they need to tell more before most would touch a NDA.  

Since you posted here, will explain.

As stated we are looking to for information to help us along.  We are not requiring and NDA on this.

The NDA would only be needed if in our talks you or I need to discuss confidential information.  A mutual NDA protects both parties should it be deemed necessary.

I can change the wording a little to emphasize this point, but we are not requiring and NDA.