is cloudhashing.com a scam??

[cloudhasher]

10.06
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Hold tight. Couple of hours

Free accounts of 10 Megahash now available. For a limited period.

[cloudhasher]

Free account window now closed

[GuiltySpark343]

By my calculations:
BRONZE 1 GH/s contract - now starts in Sept

At current difficulty, 1 GH/s earns 0.0322 BTC/day. But as you know difficulty has been skyrocketing. Previously, on avg every 2 weeks difficulty increased 10%, the past difficulty (and looks like coming difficulty) have increased on the order of 20-25%!

If this trend continues, by the time the Sept contract starts (say 10 wks from now, or 5 difficulty adjustments of 20% each), 1 GH/s will only bring 0.0131 BTC/day. A year of such mining (again assuming 20% increase in difficulty every 2 weeks) would only net 0.91 BTC total. Since a 1 GH/s contract costs $150 currently, the price of a BTC would have to be $167/BTC to *break even*, let alone earn back a profit.

Even the best PLATINUM contract at 10 GH/s starting in Sept would only earn back 9.21 BTC at the end of a year (with assumptions above). But in this case, BTC would only have to be $103/BTC to break even.

For comparison, a BFL 5 GH/s ASIC costs $274, so to get the same 10 GH/s power you would only need to spend $548 vs $950 for the Platinum contract.

[philipma1957]

By my calculations:
BRONZE 1 GH/s contract - now starts in Sept

At current difficulty, 1 GH/s earns 0.0322 BTC/day. But as you know difficulty has been skyrocketing. Previously, on avg every 2 weeks difficulty increased 10%, the past difficulty (and looks like coming difficulty) have increased on the order of 20-25%!

If this trend continues, by the time the Sept contract starts (say 10 wks from now, or 5 difficulty adjustments of 20% each), 1 GH/s will only bring 0.0131 BTC/day. A year of such mining (again assuming 20% increase in difficulty every 2 weeks) would only net 0.91 BTC total. Since a 1 GH/s contract costs $150 currently, the price of a BTC would have to be $167/BTC to *break even*, let alone earn back a profit.

Even the best PLATINUM contract at 10 GH/s starting in Sept would only earn back 9.21 BTC at the end of a year (with assumptions above). But in this case, BTC would only have to be $103/BTC to break even.

For comparison, a BFL 5 GH/s ASIC costs $274, so to get the same 10 GH/s power you would only need to spend $548 vs $950 for the Platinum contract.

Your comparison to BFL falls short due to power usage ,  maintenance  cost and baby sitting the gear .

Also your price is wrong. 2 units from  are 548  plus shipping for 2 units is 34 so price is 582 not 548.  Plus power used will be around 75 watts. So 1 year at 75 watts  24/7 is about 105 usd .  Using my  New Jersey price of 16 us cents a k-watt.  Many people are far higher then 16  us cents a k watt.

 So the one year cost of the 2 bfl's is about 687 usd at 16 cents  a k-watt   to 899 usd at  48 cents a k watt.   With a lot of work .     the platinum contract would be 950. with no work.

Bottom line is each method has its upside and its downside,  BTW I have 4 bfl's on order and I have 1 contract with cloud hashing. Plus my soon to die GPU farm.


*_*_*_*_*_*_*_**__**_*_*_*_*__*_**_*__*_*_*_*_*_*_*_*_*_*_**__________*************_______________*********************__________________


To cloudhasher:

 My contract was pending I was charged 717 for the 1 year contract on my cc. It was listed on your site as pending it appears to have vanished  on your site.  I can see you did an update on the site. I am going to post my experience with your site once a week or so right here on this thread publicly.  So if you want to reply  publicly as to why I dropped off your site please do.  I realize that site updates do cause f' ups and that I am sure my contract will appear again on your website.  Thanks in advance for your attention to this error.

  Best Regards Phil

[cloudhasher]

By my calculations:
BRONZE 1 GH/s contract - now starts in Sept

At current difficulty, 1 GH/s earns 0.0322 BTC/day. But as you know difficulty has been skyrocketing. Previously, on avg every 2 weeks difficulty increased 10%, the past difficulty (and looks like coming difficulty) have increased on the order of 20-25%!

If this trend continues, by the time the Sept contract starts (say 10 wks from now, or 5 difficulty adjustments of 20% each), 1 GH/s will only bring 0.0131 BTC/day. A year of such mining (again assuming 20% increase in difficulty every 2 weeks) would only net 0.91 BTC total. Since a 1 GH/s contract costs $150 currently, the price of a BTC would have to be $167/BTC to *break even*, let alone earn back a profit.

Even the best PLATINUM contract at 10 GH/s starting in Sept would only earn back 9.21 BTC at the end of a year (with assumptions above). But in this case, BTC would only have to be $103/BTC to break even.

For comparison, a BFL 5 GH/s ASIC costs $274, so to get the same 10 GH/s power you would only need to spend $548 vs $950 for the Platinum contract.

Your comparison to BFL falls short due to power usage ,  maintenance  cost and baby sitting the gear .

Also your price is wrong. 2 units from  are 548  plus shipping for 2 units is 34 so price is 582 not 548.  Plus power used will be around 75 watts. So 1 year at 75 watts  24/7 is about 105 usd .  Using my  New Jersey price of 16 us cents a k-watt.  Many people are far higher then 16  us cents a k watt.

 So the one year cost of the 2 bfl's is about 687 usd at 16 cents  a k-watt   to 899 usd at  48 cents a k watt.   With a lot of work .     the platinum contract would be 950. with no work.

Bottom line is each method has its upside and its downside,  BTW I have 4 bfl's on order and I have 1 contract with cloud hashing. Plus my soon to die GPU farm.


*_*_*_*_*_*_*_**__**_*_*_*_*__*_**_*__*_*_*_*_*_*_*_*_*_*_**__________*************_______________*********************__________________


To cloudhasher:

 My contract was pending I was charged 717 for the 1 year contract on my cc. It was listed on your site as pending it appears to have vanished  on your site.  I can see you did an update on the site. I am going to post my experience with your site once a week or so right here on this thread publicly.  So if you want to reply  publicly as to why I dropped off your site please do.  I realize that site updates do cause f' ups and that I am sure my contract will appear again on your website.  Thanks in advance for your attention to this error.

  Best Regards Phil

Hi there

Please PM me your order number or send an email to info. Will have it resolved straight away.

Kind regards

[philipma1957]

I will pm. 

pm has been sent with my order info.

[GuiltySpark343]

By your logic, might as well take the $950 and instead of buying a contract, just buy BTC directly. At current price of $101, you could get 9.4 BTC. And just like the platinum contract, if the price rises about $101, you make a profit. If it is less, you will lose money. Oh, and since you are nit-picking, I forgot to include the 10% management fee that Cloudhashing charges, so the platinum would actually earn 9.2 BTC * 0.9 = 8.28 BTC. (https://cloudhashing.com/revenue-reinvestment)

By buying BTC directly, it is even less work than a contract. And, you avoid the uncertainties of whether Cloudhashing would actually have the hash power ready when Sept contracts start.

[philipma1957]

By your logic, might as well take the $950 and instead of buying a contract, just buy BTC directly. At current price of $101, you could get 9.4 BTC. And just like the platinum contract, if the price rises about $101, you make a profit. If it is less, you will lose money. Oh, and since you are nit-picking, I forgot to include the 10% management fee that Cloudhashing charges, so the platinum would actually earn 9.2 BTC * 0.9 = 8.28 BTC. (https://cloudhashing.com/revenue-reinvestment)

By buying BTC directly, it is even less work than a contract. And, you avoid the uncertainties of whether Cloudhashing would actually have the hash power ready when Sept contracts start.

 

You could be right buying  coin and sitting on it is a move I am doing as I type.

  I am holding 10 coins.
 
 My cloud hashing contract..
  
 I am running a gpu farm 10 pc's 22 gpus  soon to be sold on ebay.

my group buy with swede75 of a 110gh bitfury machine.   just 1/12 of it

4 bfl jallys 2 at 5gh and 2 at 7gh.    

 Multi prong strategy .  

 Every one above could be bad  and result in a total loss.

except the sale of the gpu /pc's  that will bring in money.  

   the cloud hashing contract I purchased starts on july 1st not sept 1st.   it is for 700usd and 6gh then 7.5 gh in sept.   I paid for it with this sale.

http://cgi.ebay.com/ws/eBayISAPI.dll?ViewItem&rd=1&item=161027162240#ht_2107wt_1165  

 this miner made coin for me for quite a while  but you can see it was designed to be sold as a decent gamer/htpc or miner machine.  I built my machine this way so they would have resale value.

 When all is said and done  no one should be a one trick pony when it comes to BTC investing.  I am not proving that cloudhashing is good I am acting as a guinea pig and testing the waters for those that have an interest in cloudhashing.com   So far they have not done anything bad and they have been responsive to my problems and questions.
 Come July 1st  I will let you know what they hash for me.
Then July 3rd.  
Then July 5th.
Then July 7th.  

I will post the earnings for this contract  until  oct 1st.   this would be 90 days or 1/4 of the contract.   After that I won't post info as often. 

I am not going to ask for tips to my tip jar or try to profit for my testing of cloudhashing.com .  via a kickback from cloudhasher

This is a free service to the BTC community at bitcointalk.

the worst case I am out about 723 usd as my 700 dollar contract cost me 723 since i used a cc/google payments to pay for it.

 the cc gives me protection for 45 days. since it was an overseas payment I had to pay an overseas charge fee of  23 usd.

So if they were to pay me  Starting July 1st just a few parts of a BTC then BTC dies I would be out the 723 USD.

[Rampion]

The prices are ridiculous: $1,000 per 10GH/s - right, they buy the machines from KnCMiner, which cost $7,000 per 350GH/s, and they sell them for $35,000... And they have the guts to say the the estimated yearly revenue for 10GH/s is aprox. 50BTC

Yeah, so we are all going to be rich.

Jokers...

SCAM

[cloudhasher]

The prices are ridiculous: $1,000 per 10GH/s - right, they buy the machines from KnCMiner, which cost $7,000 per 350GH/s, and they sell them for $35,000... And they have the guts to say the the estimated yearly revenue for 10GH/s is aprox. 50BTC

Yeah, so we are all going to be rich.

Jokers...

SCAM

Usually don't respond to daft comments but here goes

So quick to jump the gun. Read

https://www.cloudhashing.com/revenue-reinvestment

Our contract holders get additional hashing power monthly. Very hard to so solo mining. Plus no need to worry about hosting etc.

We host in a secure level 3 data centre with reserve power etc.

Happy hashing

[Rampion]

The prices are ridiculous: $1,000 per 10GH/s - right, they buy the machines from KnCMiner, which cost $7,000 per 350GH/s, and they sell them for $35,000... And they have the guts to say the the estimated yearly revenue for 10GH/s is aprox. 50BTC

Yeah, so we are all going to be rich.

Jokers...

SCAM

Usually don't respond to daft comments but here goes

So quick to jump the gun. Read

https://www.cloudhashing.com/revenue-reinvestment

Our contract holders get additional hashing power monthly. Very hard to so solo mining. Plus no need to worry about hosting etc.

We host in a secure level 3 data centre with reserve power etc.

Happy hashing

No math behind the 50BTC estimated revenue per 10GH/s, that's a joke, like offering 7% weekly interest on a loan.

The only fact is that you are offering 10GH/s that cost you $200 or less for $1,000

If there is any payment at all to your customers, it will come from the revenue collected from new contracts.

Good luck with your PONZI SCHEME

[philipma1957]

math for 10gh contract 

 use this https://bitclockers.com/calc   

at todays rate of 103 usd
diff of 19 mill 
9gh is used to account for fees of 10%
I put in 1 watt at 1 us cent for power

for the next 7 days.


btc  = 1.65128314
usd = $ 170.31   


I then did a 25% per month jump  which is possible . 

this would give a 1 week payout on the date of july 18 to 25 of $131.39

[Rampion]

math for 10gh contract 

 use this https://bitclockers.com/calc   

at todays rate of 103 usd
diff of 19 mill 
9gh is used to account for fees of 10%
I put in 1 watt at 1 us cent for power

for the next 7 days.


btc  = 1.65128314
usd = $ 170.31   


I then did a 25% per month jump  which is possible . 

this would give a 1 week payout on the date of july 18 to 25 of $131.39

1) current difficulty is not possible. They are not hashing NOW, so current difficulty will not happen. If they plan in september, multiply current difficulty at least x4, which is the change of difficulty we had from March to this very moment. This is conservative, because as you know the ASIC manufacturers didn't even start to ship units to the consumers.

2) A 25% per month is much less than we are having. Currently we are having 25% every 10 days, which basically means that difficult doubles every 30 days. That increase cannot be sustainable long term, so just use something lower, let's accept your monthly 25% even if it's way too optimistic during a technoglogy change (GPU+FPGA -> ASIC)

So: I'm running your calculations with 80 mill difficulty (x4 the actual one) and 25% monthly increase, no electricity costs, one year timeframe:

BTC EARNED: 7.85184820
Revenue: $ 824.29

So you are actually losing money ($1,000 - $824.29 = $175.71)

7.8BTC generated in one year. Now explain me how the heck do you generate 50BTC from 7.8BTC "reinvesting" 30% of that "profit" that costed you $1,000.

Wake up, 10GH/s cost $200, not $1,000.

[cloudhasher]

math for 10gh contract 

 use this https://bitclockers.com/calc   

at todays rate of 103 usd
diff of 19 mill 
9gh is used to account for fees of 10%
I put in 1 watt at 1 us cent for power

for the next 7 days.


btc  = 1.65128314
usd = $ 170.31   


I then did a 25% per month jump  which is possible . 

this would give a 1 week payout on the date of july 18 to 25 of $131.39

1) current difficulty is not possible. They are not hashing NOW, so current difficulty will not happen. If they plan in september, multiply current difficulty at least x4, which is the change of difficulty we had from March to this very moment. This is conservative, because as you know the ASIC manufacturers didn't even start to ship units to the consumers.

2) A 25% per month is much less than we are having. Currently we are having 25% every 10 days, which basically means that difficult doubles every 30 days. That increase cannot be sustainable long term, so just use something lower, let's accept your monthly 25% even if it's way too optimistic during a technoglogy change (GPU+FPGA -> ASIC)

So: I'm running your calculations with 80 mill difficulty (x4 the actual one) and 25% monthly increase, no electricity costs, one year timeframe:

BTC EARNED: 7.85184820
Revenue: $ 824.29

So you are actually losing money ($1,000 - $824.29 = $175.71)

7.8BTC generated in one year. Now explain me how the heck do you generate 50BTC from 7.8BTC "reinvesting" 30% of that "profit" that costed you $1,000.

Wake up, 10GH/s cost $200, not $1,000.

I think you are missing some important points here

1) We have not said difficult will not go up. It is the very fact that difficulty increases that by the revenue reinvestment program, additional hashing power is added to client account MONTHLY. This reduces the effect of difficulty in returns by a margin.

2) We have already given customer with July contracts an additional 25% increase in hashing power to compensate for difficulty. This does go some way.

3) No body knows for certainty what the difficult would be 1 year for now so throwing large numbers from thin air is easy to do. People have been going on about 100 million difficulty on June which we have failed to see.

4) BTC price is LIKELY to increase as it does more mainstream (cloudhashing is taking bitcoins mainstream). Customers could see an even higher return on that scenario. A doubling of BTC price is not impossible.

We appeal to those new to bitcoin and also those who do now want to manage hardware.

Very simple to call anything a scam without no ounce of proof something fraudulent is occurring. Borders on slander.

We are not forcing or service on anybody. If you are a techie and want to host your hardware, invest in the hardware. If you simply want a solution with reduced maintenance and hassle then Cloud Hash.

Good day

[Rampion]

I think you are missing some important points here

1) We have not said difficult will not go up. It is the very fact that difficulty increases that by the revenue reinvestment program, additional hashing power is added to client account MONTHLY. This reduces the effect of difficulty in returns by a margin.

2) We have already given customer with July contracts an additional 25% increase in hashing power to compensate for difficulty. This does go some way.

3) No body knows for certainty what the difficult would be 1 year for now so throwing large numbers from thin air is easy to do. People have been going on about 100 million difficulty on June which we have failed to see.

4) BTC price is LIKELY to increase as it does more mainstream (cloudhashing is taking bitcoins mainstream). Customers could see an even higher return on that scenario

We appeal to those new to bitcoin and also those who do now want to manage hardware.

Very simple to call anything a scam without no ounce of proof something fraudulent is occurring. Borders on slander.

We are not forcing or service on anybody. If you are a techie and want to host your hardware, invest in the hardware. If you simply want a solution with reduced maintenance and hassle then Cloud Hash.

Good day

Prove how investing 30% of an expected yearly revenue of no more than 7/8BTC per each 10GH/s you going to reach the 50BTC yearly return you are advertising for the 10GH/s contract.

If your proposal was serious, you would have a business plan with clear steps towards achieving that return. I'm a miner myself, and every serious miner in here knows that it's impossible to get 50BTC from 10GH/s deployed on September. Impossible. You are advertising an impossible return, therefore there is only one plausible option:

As you are selling the units at a huge markup (350GH/s cost $7,000 or less and you are selling them between $52,000 and $35,000), you will pay old investors with new investors money in order to suck more money into your scheme until it collapses. There is no legitimate business that give investors a 500% return in one year, apart from PONZI SCHEMES -> that's what you are going to run.

Anyone believing otherwise is a fool.

[philipma1957]

math for 10gh contract 

 use this https://bitclockers.com/calc   

at todays rate of 103 usd
diff of 19 mill 
9gh is used to account for fees of 10%
I put in 1 watt at 1 us cent for power

for the next 7 days.


btc  = 1.65128314
usd = $ 170.31   


I then did a 25% per month jump  which is possible . 

this would give a 1 week payout on the date of july 18 to 25 of $131.39

1) current difficulty is not possible. They are not hashing NOW, so current difficulty will not happen. If they plan in september, multiply current difficulty at least x4, which is the change of difficulty we had from March to this very moment. This is conservative, because as you know the ASIC manufacturers didn't even start to ship units to the consumers.

2) A 25% per month is much less than we are having. Currently we are having 25% every 10 days, which basically means that difficult doubles every 30 days. That increase cannot be sustainable long term, so just use something lower, let's accept your monthly 25% even if it's way too optimistic during a technoglogy change (GPU+FPGA -> ASIC)

So: I'm running your calculations with 80 mill difficulty (x4 the actual one) and 25% monthly increase, no electricity costs, one year timeframe:

BTC EARNED: 7.85184820
Revenue: $ 824.29

So you are actually losing money ($1,000 - $824.29 = $175.71)

7.8BTC generated in one year. Now explain me how the heck do you generate 50BTC from 7.8BTC "reinvesting" 30% of that "profit" that costed you $1,000.

Wake up, 10GH/s cost $200, not $1,000.

 I had other things to do and stopped my charts. I did enough to show how to get a correct number in the future to anyone that bothers to use the calculator I linked to.

This is the bet you need to decide on with cloudhasher


 If a 10 percent diff  each adjustment  of 10 days occurs  this contract would be okay.


If a 20 percent diff each adjustment of 10 days occurs this contract would be mediocre



 

 As for 200 bucks for 10gh  no one sells that anywhere but I did go in on a group buy and I am getting 10gh for 360 usd .


 a link to the group buy


https://bitcointalk.org/index.php?topic=223746.0  


  the sale  is over and frankly I have full exposure to a complete loss of 360usd on this purchase with just about 0 ,zip, no recourse if the theswede75 is a scammer.



 It will be very easy to see if cloudhashing is a scam by viewing this thread and seeing how they pay my contract as i said I got a july contract so come july see how they pay me. I will post the results.

[Rampion]

As for 200 bucks for 10gh  no one sells that anywhere but I did go in on a group buy and I am getting 10gh for 360 usd .

FYI: https://www.kncminer.com/

Cloudhashing is buying units from them.

Jupiter = 350GH/s = $7,000 = $20 x GH/s = $200 x 10GH/s

It will be very easy to see if cloudhashing is a scam by viewing this thread and seeing how they pay my contract as i said I got a july contract so come july see how they pay me. I will post the results.

I think you are not getting what "ponzi scheme" means. Old investors get paid with the money of new investors so more people get sucked in because everybody is speaking about how good they pay, until the scheme collapses. I'm quite sure cloudhasing will pay at the beginning, because a ponzi scheme is so much more profitable than a "hit and run" scam. They will just use the huge markup they have per machine to keep paying investors (each 350GH/s unit costs $7,000 and they are selling it for between $52,000 and $35,000 depending on the plan you choose). They will use YOUR money to pay OTHER folks, until the NEW money runs out - then the scheme collapses and they made huge profits, while their customers are left holding the bag.

Fools and their money are soon to be parted.

[philipma1957]

As for 200 bucks for 10gh  no one sells that anywhere but I did go in on a group buy and I am getting 10gh for 360 usd .

FYI: https://www.kncminer.com/

Cloudhashing is buying units from them.

Jupiter = 350GH/s = $7,000 = $20 x GH/s = $200 x 10GH/s

It will be very easy to see if cloudhashing is a scam by viewing this thread and seeing how they pay my contract as i said I got a july contract so come july see how they pay me. I will post the results.

I think you are not getting what "ponzi scheme" means. Old investors get paid with the money of new investors so more people get sucked in because everybody is speaking about how good they pay, until the scheme collapses. I'm quite sure cloudhasing will pay at the beginning, because a ponzi scheme is so much more profitable than a "hit and run" scam. They will just use the huge markup they have per machine to keep paying investors (each 350GH/s unit costs $7,000 and they are selling it for between $52,000 and $35,000 depending on the plan you choose). They will use YOUR money to pay OTHER folks, until the NEW money runs out - then the scheme collapses and they made huge profits, while their customers are left holding the bag.

Fools and their money are soon to be parted.

   I have a degree in accounting and work for the IRS.  My family has a long history of forensic accounting work  my brother is a CPA my wife is a retired revenue Agent as is my mother. Ponzi schemes are not unknown to me.  While you are assaulting this company with no mercy and no proof but plenty of accusation .

  I put my name and my money on the line to test them out. While you may have 2000 plus posts and while you may be correct that they  are a bad deal you have done nothing but make up future projections of network hash rate and difficulty that no one knows are right or wrong.

 Tell me will it rain at 11 Am on sept 1st in New York City,  The answer is ?
 Tell me the hash rate will be 800 th with a difficulty of 80 million on the 1st of sept.  The answer is ?
 So calling these people a ponzi scheme correct the answer is ?
 Calling BTC a ponzi scheme the answer is ?  


 In all cases the same answer  maybe yes maybe no.

[Rampion]

As for 200 bucks for 10gh  no one sells that anywhere but I did go in on a group buy and I am getting 10gh for 360 usd .

FYI: https://www.kncminer.com/

Cloudhashing is buying units from them.

Jupiter = 350GH/s = $7,000 = $20 x GH/s = $200 x 10GH/s

It will be very easy to see if cloudhashing is a scam by viewing this thread and seeing how they pay my contract as i said I got a july contract so come july see how they pay me. I will post the results.

I think you are not getting what "ponzi scheme" means. Old investors get paid with the money of new investors so more people get sucked in because everybody is speaking about how good they pay, until the scheme collapses. I'm quite sure cloudhasing will pay at the beginning, because a ponzi scheme is so much more profitable than a "hit and run" scam. They will just use the huge markup they have per machine to keep paying investors (each 350GH/s unit costs $7,000 and they are selling it for between $52,000 and $35,000 depending on the plan you choose). They will use YOUR money to pay OTHER folks, until the NEW money runs out - then the scheme collapses and they made huge profits, while their customers are left holding the bag.

Fools and their money are soon to be parted.

   I have a degree in accounting and work for the IRS.  My family has a long history of forensic accounting work  my brother is a CPA my wife is a retired revenue Agent as is my mother. Ponzi schemes are not unknown to me.  While you are assaulting this company with no mercy and no proof my plenty of accusation I put my name and my money on the line to test them out. While you may have 2000 plus posts and while you may be correct that they  are a bad deal you have done nothing but make up future projections of network hash rate and difficulty that no one knows are right or wrong.

 Tell me will it rain at 11 Am on sept 1st in New York City,  The answer is ?
 Tell me the hash rate will be 800 th with a difficulty of 80 million on the 1st of sept.  The answer is ?
 So calling these people a ponzi scheme correct the answer is ?
 Calling BTC a ponzi scheme the answer is ?  


 In all cases the same answer  maybe yes maybe no.

I will give you something: Cloudhashing *might* not be a ponzi. There's only another option:

They are blatantly lying to their customers about a fairy-tale return that will never happen. They are selling hardware at x5 or x8 mark-up depending on the contract (plus 10% commision) and advertising a fairy-tale projection they know for sure that will never happen to suck in ignorant customers. The best thing it can happen to their customers? Break-even. But then, this would be just a "hit-and-run" operation (but a very profitable one, just make the calculations), because as soon as investors realize they are barely recouping their money and the advertised 500% return is utter bullshit, no new investors will be sucked in. That's why I believe that greed will take over and that they will start running this as a ponzi, but I give you that they may not: in any case, lying to your customers advertising an impossible return is a scam in my book, even if it may not be "illegal".

About your question: difficulty projections are not like weather forecasting. You can be 100% sure that the difficulty won't be 20 million in September. You can be 100% sure that difficulty will GROW during the following year, it won't be constant as the cloudshare dumbass assumed in the calculations he posted to "demonstrate" how they arrived to the 50BTC per 10GH/s estimation. And BTW, that's a huge red flag (posting that dumbass calculations), I would be extremely worried if I were you.

They have no business plan whatsoever, if you are actually mining you know you won't never ever generate 50BTC with 10GH/s deployed in September, and the fact they say that they will reach that goal by investing 30% of the monthly profits of those 10GH/s makes it even more ridiculous. It's impossible.

Mining is a complicate business. A lot of folks don't understand the variables, how high the difficulty is going to go as soon as KnC or BFL deliver, they have just seen the insane profits Avalon batch #1 customers and ASICminer shareholders and think mining is a goldmine.

Well, listen carefully: mining was never a goldmine - it's a very competitive business in which you have to fight for pennies. If there are a few folks that made huge returns in the last months, it's just because a new disrupting technology arrived to the market (ASICs), and the very few who had this technology had a very big advantage on the folks mining with GPUs or FPGAs. In September you are not going to get a 500% yearly return with hardware bought with x8 markup. In that case, sorry to tell you man, all Jupiter customers are going to be filthy rich, as each one of their units will mine 1,750BTC per year (just reinvesting 30% of the profits, LOL), and they only paid $200 per each 10GH/s. But I'm telling you: that's not going to happen.

More ASICs will arrive to the market, fewer returns there will be. You simply do not get 50BTC from 10GH/s deployed in September, this is hard math. Then, you ask if difficulty will be at 80 million in September? Well, you can be pretty sure that if KnCMiner ships, difficulty will be 80million or above. And BTW, this guys are buying from KnC.

[philipma1957]

Today is July 1st .  My cloud hashing contract starts today.  Details to follow. I am supposed to be paid bi weekly. My hash rate is supposed to be 6gh stating today. It is supposed to jump to 7.5gh on sept 1st. On the good side if they start count from today 6gh should make about .14 coins today.

I will post in 2 weeks as I am to be paid biweekly. So far the website does not offer much info other then the fact I have a July 1st contract.