ASIC miner malarkey

[tommywommy]

So, I looked into mining in summer 2011, and did a little bit. But I remember reading on a forum (could of been this one) around Sept 2011 that people were turning off there rigs. I instead invested in the London Stock Exchange. Anyway bit coins stayed low and I only check a couple weeks back and they're pretty high. So this rise came from the incidents unfolding in Cyprus? Further these Avalon systems, how have they impacted the price. I think they're responsible for the rapid increase in difficulty (correct?).

So if I were to buy a Avalon or pre order a unit from Butterfly labs, and it comes by June, is it likely to be a profitable investment. For how long would one need to run it before seeing the ROI? How much will the difficultly of increased by June. How many of you are going the ASIC route. Are people turning off there GPU miners now, again?

Thanks
Thomas

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[nfhoward]

It's a pretty big gamble.
First, you're hoping that you will receive it on time, and then hopefully not that many other people will have them.
Honestly if you can snag one before they become really distributed you can at least make back your original investment pretty quickly.

If you have the money to gamble with then yeah go ahead, but IMO it's not worth the risk.

[tommywommy]

No, I don't think I do. Even so, what's going to happen to all the GPU miners?

[TCollar]

No, I don't think I do. Even so, what's going to happen to all the GPU miners?

GPU miners will make more bitcoins than ASIC miners.  But they will not recoup their cost of mining unless the price of bitcoin shoots really, really high.

[tysat]

No, I don't think I do. Even so, what's going to happen to all the GPU miners?

GPU miners will make more bitcoins than ASIC miners.  But they will not recoup their cost of mining unless the price of bitcoin shoots really, really high.

Not sure what this guy is smoking, but ASICs in general are going to be a lot more profitable than GPUs.

[TCollar]

I am not bullish on either and I am a GPU miner.

What I mean is that GPU miners are producing more bitcoin and will continue to do so, but the cost in doing so will not be effective.  This is by comparison to the number of working ASIC rigs out there.  They will be more profitable than GPU by leaps and bounds.  But, they are as rare as someone who has not seen a photograph of Paris Hilton naked, so I am going by what is on the ground and running and not what has been promised.