Newbie after a day of research

[tvcontrolsyou]

For the better part of a day I have researched bitcoins, litecoins, and a multitude of similar Digital Currencies.

WOW, so much to learn it is incredible.
Trading, loans, and the financial end I still need to dive into more detail. But I mainly focused on Mining.

At first is awesome to thing about running a rig similar to this:
http://3.bp.blogspot.com/-mbnlPvGl_QY/ThWM8ClHiiI/AAAAAAAAARw/87JprT6oZ-w/s320/bitcoin_mining_rig_hardware.jpg

After some quick research it is COMPLETELY unreasonable to go out and build something similar.
Doing some quick calculations back to USD, you can find that a $1000 + rig will profit mere dollars before electricity costs.

Ok, so cool? Asic special hardware just for mining. Sound Neat? Right.
Wrong again....

There are three major players in the Asic market:
1) Avalon Ascalon:
Only available Asic on the market, as far as I'm aware.
Completely out of stock, and any pre-orders put on ebay are going for nearly 30,000.
Although early pre-orders are making TONs of money.... Unless you have 30,000 forget it.

2) ASICMiner:
From what I understand don't sell any actually hardware Asic.
Instead you invest in their bitcoin farm. Didn't really investigate that much...

3) Butterfly Lab:
Every single bitcoin discussion includes a unhappy customer from there.
Boy am I glad I didn't get sucked into that crap hole.
Surprised no legal action has been put forth. Customer's potential profits are getting cut shorter and shorter every day.
Shame on the owners.


My conclusion:
I came in late to the game, as I'm sure many people are after the bitcoins raising to over $100.
It caught alot of people's attention, but there is no profit in small home bitcoin mining anymore.
And by the time you get your hands on a ASIC the return on investment isn't going to be that great.
Investing/trading might be fun (but definitely need alot more research on my end)



 

[gogxmagog]

That you bro?

[mislevi]

Hi,
I don't know if you are asking something or..?

Aniway ill give you my opinion, when i found all of that that you have said I considered investing on GPU litecoin mining or some other alternative currency, but then i thought if BFL delivers there is going to be a massive jump from all the gpu power which wont be profitable any more competing with asics for btc, these will spread to alternate currencys, being litecoins the second most popular it will get flooded. In my opinion (and many others) BFL is still going to take a while to deliver, if they even do. Meanwhile avalon i think was delivering batch 2 early this month, and they still got batch 3 left to go, so there is going to be a significant increase in difficulty aniway which will increase ltc aswell.

LTC is also going to rise price as they have been saying when it was only 0.69, it jumped from less than 2$ yesterday to 4$ today so this is also going to make a lot of people start mining ltc.

Since i don't have much (to not say any) money to invest i decided mining wasn't worth it for me atm, so my recommendation is considering all this factors (if you didn't know about them already) carefully study and decide if it will be worth it to invest in it and you can take the risk.

I like your name btw, into nwo stuff?

[btchaver]

For the better part of a day I have researched bitcoins, litecoins, and a multitude of similar Digital Currencies.

WOW, so much to learn it is incredible.
Trading, loans, and the financial end I still need to dive into more detail. But I mainly focused on Mining.

At first is awesome to thing about running a rig similar to this:


After some quick research it is COMPLETELY unreasonable to go out and build something similar.
Doing some quick calculations back to USD, you can find that a $1000 + rig will profit mere dollars before electricity costs.

Ok, so cool? Asic special hardware just for mining. Sound Neat? Right.
Wrong again....

There are three major players in the Asic market:
1) Avalon Ascalon:
Only available Asic on the market, as far as I'm aware.
Completely out of stock, and any pre-orders put on ebay are going for nearly 30,000.
Although early pre-orders are making TONs of money.... Unless you have 30,000 forget it.

2) ASICMiner:
From what I understand don't sell any actually hardware Asic.
Instead you invest in their bitcoin farm. Didn't really investigate that much...

3) Butterfly Lab:
Every single bitcoin discussion includes a unhappy customer from there.
Boy am I glad I didn't get sucked into that crap hole.
Surprised no legal action has been put forth. Customer's potential profits are getting cut shorter and shorter every day.
Shame on the owners.


My conclusion:
I came in late to the game, as I'm sure many people are after the bitcoins raising to over $100.
It caught alot of people's attention, but there is no profit in small home bitcoin mining anymore.
And by the time you get your hands on a ASIC the return on investment isn't going to be that great.
Investing/trading might be fun (but definitely need alot more research on my end)



 

Its better to buy and hold than to try and build a system if you ask me but thats just my opinion i dont know everything i am new to bitcoin

[PachucoBro]

My conclusion:
I came in late to the game, as I'm sure many people are after the bitcoins raising to over $100.
It caught alot of people's attention, but there is no profit in small home bitcoin mining anymore.
And by the time you get your hands on a ASIC the return on investment isn't going to be that great.
Investing/trading might be fun (but definitely need alot more research on my end)

Not so fast... I am a newbie also. Started researching bitcoins this past Saturday Afternoon, so 3 days into it so far. But I bought $2,000 in BitCoins in 24 hours or so I have seen a 12% increase in my money and still climbing. I am in it for the long haul though.

I also am interested in mining. But don't despair... You didn't come late to the game:

• There are like 9-10 million of the 21M BTCs available to be mined.
• Even after all of them are mined there are still fees to collect and at that point the hope is everyone will be using BTCs and there should be BILLIONS of feees floating around.
• There is no small, home profit if you are only working on slow Hashing rates like under 1Gig
• Even a YEAR from now the hardware and the number of people mining and hopefully the BTC value will continue to make mining profitable in some way

Definitely those who keep talking about wanting to drop $30k on an ASIC and wondering when they should actually buy one are 'stupid'... ok un-educated.

The reason I say that is while they are waiting... if they would have bought $30k BTC even 2 days ago and sold at the moment I am writing this they would have made a total of $6,315 AND STILL have their original $30k...

Oh I know... you are telling me: "You're doing it WRONG!" LOL

[goshi]

Im still home mining. I didnt buy bitcoins but I am very happy with what little I was able to mine so far. It's still "profitable" to home mine assuming you either already have the hardware OR can get it for really cheap.

[wopwop]

Im still home mining. I didnt buy bitcoins but I am very happy with what little I was able to mine so far. It's still "profitable" to home mine assuming you either already have the hardware OR can get it for really cheap.

Stop living with your parents

[PachucoBro]

Heh...     What he said.

I don't mine myself... yet. But the cost to me for electricity and the wear and tear of running my machine 24/7... I'm better off trading the BTC than mining it. Atleast until ASICs are a reality and I can throw down $150-$1,200 to buy one and run it off of some USB or SD card OS on a Raspberry PI or some other little controller.