Mining With S9 vs Mining contacts

[abramelin582]

https://www.havelockinvestments.com/fund.php?symbol=B.EXCH
https://bitcointalk.org/index.php?topic=430137

Just crunching some numbers let me know what you guys think.

Mining with an antminer S9 vs buying B.Exch on havelock:

Antminer hashrate is 12.93 Th/s, one B.mine contract is equal to .25Th/s, so one B.mine contract is equal to 1/51.72. The S9 cost 3.05 Btc; if you divide that by 51.72 you get .05897. So that would be the bitmain equivalent cost of .25Th/s, only you don't need to buy a psu, pay pool fees, or pay the electricity cost to run the miner.
   Currently you can buy the B.exch contract for .05945 which gives you one B.mine contract and one B.sell contract meaning you are paying .00048 premium for the B.sell contract and getting the B.mine contract for a discount to bitmain when you consider the cost of electricity and set up.
    It looks as though when the block reward halving comes the fund will have just about 180 days of mining dividend in it (the threshold for the sell dividend payout). So any new purchases of the B.exch should result in a payout for the B.sell holders. Each purchase of B.exch will add .05945 to the fund if you divide that by 358 (contracts outstanding) you get a .000166 divided payout for each share of B.sell you own if difficulty stays the same. If this raises then the payout will be higher.
    In closing it looks to me that if you want to earn BTC from mining then you are better off buying B.exch then buying an antminer S9, it's cheaper when you consider pool fees and electricity, and comes with a built in hedge in case the difficulty rises.

[philipma1957]

Are you serious or truly new to the game?

[abramelin582]

I'm serious. Why do you say it like that am I missing something obvious? Any help would be appreciated.

[philipma1957]

I'm serious. Why do you say it like that am I missing something obvious? Any help would be appreciated.

You are touting a derivitive fund.

The company is not about mining it is about betting on miners.

It is also not about buying and holding it is about betting on price of contracts.

Basically the thread belongs in securities not speculation.

The tax consequences have a complete different set of rules  then owning a miner.

It is very difficult to explain on a forum tax laws and different sets of rules especially when the forum has many different members in many different countries.

It has many sets of why the site you mention is completely different then owning owning a miner.

[abramelin582]

I don't think you are viewing my question as I mean it. I understand that it"s a derivative fund and that's it's different from mining. I'm not touting a fund; I'm looking at the pros and cons of buying a s9 or a b.exch contract. If you can buy something that pays out more btc then the equivalent costing s9 why would I buy the hardware? Why is the s9 so much? When I run a mining calculator with the s9 stats at my electricity cost it tells me I will never earn a profit. I am only projecting adjustments of 6.5%, which is conservative. Also to get started with a s9 I need to risk over 3 btc, b.exch is less than .06 btc. Why can't I buy b.exch and hold it till the fund is depleted, it looks as though by doing that I'm more likely to earn a roi, with a lower cost of entry, than I am buying a s9. I also understand that I run a risk of the fund running out of money before I get a roi but it looks to me with the current volume on that asset that it would only happen if the difficulty skyrockets, but that too would make the s9 even less profitable and at least pay me back some from the b.sell half. 

[philipma1957]

I don't think you are viewing my question as I mean it. I understand that it"s a derivative fund and that's it's different from mining. I'm not touting a fund; I'm looking at the pros and cons of buying a s9 or a b.exch contract. If you can buy something that pays out more btc then the equivalent costing s9 why would I buy the hardware? Why is the s9 so much? When I run a mining calculator with the s9 stats at my electricity cost it tells me I will never earn a profit. I am only projecting adjustments of 6.5%, which is conservative. Also to get started with a s9 I need to risk over 3 btc, b.exch is less than .06 btc. Why can't I buy b.exch and hold it till the fund is depleted, it looks as though by doing that I'm more likely to earn a roi, with a lower cost of entry, than I am buying a s9. I also understand that I run a risk of the fund running out of money before I get a roi but it looks to me with the current volume on that asset that it would only happen if the difficulty skyrockets, but that too would make the s9 even less profitable and at least pay me back some from the b.sell half. 

I have played my share of hash contracts.  Most lost.

hash I did make money with hashnest.com

 my point is it is not hardware. 

your point is you think it could be better then mining an s-9 at home. I suppose you could be right if you want to buy some fine.

For me I will send my money into hard gear.