[TAT.VIRTUALMINE]

[ThickAsThieves]

Retired

[ThickAsThieves]

Retired

[ThickAsThieves]

Retired

[🏰 TradeFortress 🏰]

Yay, waste more coins on PMBs that will have zero value soon

Take a look at this: http://bitcoindifficulty.com/

Print it out, hang it on your wall - upside down - and this is your PMB's value.

[ThickAsThieves]

Yay, waste more coins on PMBs that will have zero value soon

Take a look at this: http://bitcoindifficulty.com/

Print it out, hang it on your wall - upside down - and this is your PMB's value.

There is no denying that there is a market of people that want to buy their hashes through mining assets on the exchanges, rather than buy mining equipment themselves.

My goal was to lower that cost with this asset. It is priced to be less expensive than any other mining bond, per hash. Hopefully people will see that they are overpaying elsewhere, and take the opportunity to lessen their overhead.

[Deprived]

Backing of Bonds
The total amount of bonds issued will always be backed by a qauntity of ASICMINER shares that represent an amount of hashing power that is equivalent to TAT.VIRTUALMINE’s total simulated hashing power, as determined by http://www.asicminercharts.com/live/ or the most recent hashrate as verified by ASICMINER staff.

The ASICMINER shares backing this are unencumbered ones, correct?  i.e. this isn't being backed by the same shares that are backing your pass-throughs?

[ThickAsThieves]

Backing of Bonds
The total amount of bonds issued will always be backed by a qauntity of ASICMINER shares that represent an amount of hashing power that is equivalent to TAT.VIRTUALMINE’s total simulated hashing power, as determined by http://www.asicminercharts.com/live/ or the most recent hashrate as verified by ASICMINER staff.

The ASICMINER shares backing this are unencumbered ones, correct?  i.e. this isn't being backed by the same shares that are backing your pass-throughs?

That is correct, there will be no double-representation. All of my ASICMINER/G.ASIC/AM-PT/ASICM/TAT.AM holdings are verifiable, including my public BTCTC portfolio, my Friedcat address, and my BitFunder address (which is the same as mine with Friedcat).

[rini17]

Where do the dividends come from? If ASICMINER pays less than current mining reward per MH (due to various reasons, such as necessary reinvestment), will TAT fill up the dividend from own resources?

[Deprived]

Backing of Bonds
The total amount of bonds issued will always be backed by a qauntity of ASICMINER shares that represent an amount of hashing power that is equivalent to TAT.VIRTUALMINE’s total simulated hashing power, as determined by http://www.asicminercharts.com/live/ or the most recent hashrate as verified by ASICMINER staff.

The ASICMINER shares backing this are unencumbered ones, correct?  i.e. this isn't being backed by the same shares that are backing your pass-throughs?

That is correct, there will be no double-representation. All of my ASICMINER/G.ASIC/AM-PT/ASICM/TAT.AM holdings are verifiable, including my public BTCTC portfolio, my Friedcat address, and my BitFunder address (which is the same as mine with Friedcat).

I assumed that would be the case - just wanted it made explicit.

[ThickAsThieves]

Where do the dividends come from? If ASICMINER pays less than current mining reward per MH (due to various reasons, such as necessary reinvestment), will TAT fill up the dividend from own resources?

If ASICMINER dividends are insufficient, I have a reserved pool of bitcoins to cover any differences. As part of my personal plan to protect myself in this endeavor, I must reserve a fair amount of personal coins to remain agile and prepared for any market/mining shifts.

[ThickAsThieves]

The asset is open for early bidding: https://bitfunder.com/asset/TAT.VIRTUALMINE

The IPO will go live at 12 PM EST.

[Eric Muyser]

Sweet, I could use some TAT.VM for my TAT.AM

[gambitv]

tat.Virtualmine countdown

[PsychoticBoy]

Do you own any hardware to back up this asset?

Or is this a totally virtual asset?
Yes backed by shares, still virtual!

[Sukrim]

Since difficulty can change during a day, which of the 2 difficulties (higher/lower) will be used for calculation or do you calculate the actual proper amount based on the time stamp of the block where difficulty changes?

Also I'm not too happy with the "buyback at 200 times current dividend" clause... Maybe change it to "the mining income of 200 days at 1 MH/s at the current difficulty". All you need to do otherwise is to pay a 1 Satoshi dividend and then do a buyback.

In the end you're betting on hash rates going up while we are expected to bet on them going down.
If they go up fast enough, you can buyback and reap the profits, otherwise you at least have some cash at hands early while loosing some of your ASICMINER dividends.

[EskimoBob]

I guess you have no idea what the difference between a bond (debt) and a share (equity) are    

It sound like you are borrowing money forever to buy up some other stuff and are willing to pay a dividend from what ever this other stuff earns.

Lets fix this for you:

TAT.VIRTUALMINE represents perpetual virtual mining bonds at a value of 1MH/s.*

This is asset is being offered for the following purposes:
1. To provide the most affordable and competitive alternative to other mining assets currently available.
2. To provide an easy choice for investors to earn mining rewards without the responsibility and hassle of running personal mining rigs and farms.

Shares Bonds <-- you mean bonds?
Each 1 share of TAT.VIRTUALMINE represents the equivalent of 1MH/s of hashing ability at current mining difficulty at the time period for which each dividend is paid.

Dividends
Each TAT.VIRTUALMINE share has the right to 100% of its respective dividends. The amount of the dividend is defined as the average mining rewards that would have been generated in the previous 24 hours by 1MH /s of hashing power at the previous day’s mining difficulty at 12PM EST. Dividends will be paid daily and are not subject to any management fees, electricity costs, or miscellaneous expenses.

Initial Public Offering
The initial public offering will be 100,000 shares bonds, for a sale price of ฿ 0.007 each. Additional shares bonds may be issued at fair market price at any time, as long as TAT Investments has sufficient backing (see below).

Backing of Bonds
The total amount of bonds issued will always be backed by a quantity of ASICMINER shares that represent an amount of hashing power that is equivalent to TAT.VIRTUALMINE’s total simulated hashing power, as determined by http://www.asicminercharts.com/live/ or the most recent hashrate as verified by ASICMINER staff.
Note: If ASICMINER shares begin to represent a decreasing amount of hashing, or if ASICMINER stops hashing altogether, TAT Investments will stop issuing new bonds until a sufficient alternative backing source can be established.

Reserved Rights
Issuer reserves the following rights:
1. To issue additional shares bonds as the market demands
2. To buy back shares bonds at any time within the listed parameters
3. To make changes to this contract that represent the best interests of its shareholders
4. To correct and clarify any gross errors or details herein that may prove to be open to misinterpretation

Voting Rights
There are no voting rights associated with these bonds.

Buyback Rights
The issuer reserves the right to buy back bonds at a price equal to 110% of the highest price the asset was traded for over the prior 7 days or 200 times the value of the most recent dividend.

Dissolution
In the event that the issuer chooses to, or is forced to, close this asset for any reason, a new operator may be vetted and chosen by ThickAsThieves (TAT Investments) to take over control of the asset, or all bonds will be bought back by the issuer.

Links
Link to buy this asset: https://bitfunder.com/asset/TAT.VIRTUALMINE (Going LIVE at 12PM EST 6/2/13

Issuer Info
TAT Investments is a Tier 5 BitFunder trader, trusted member of the bitcointalk.org forums, and issuer of the popular TAT.ASICMINER assets. Identity information has been provided privately to BitFunder as a gesture of good faith, and an avenue for emergency contact.

A “dead man’s switch” will be implemented in order to pass control of this asset to a safe secondary operator in the case of the issuer’s untimely demise or hospitalization.

IRC: on Freenode, ThickAsThieves
E-mail: tat.investments -AT- gmail.com

* The formula used:
D is the current difficulty
H is your hash rate in Mhash/s = 1 MH
B is the current block reward in BTC = 25 btc
(H*B/D) * (60*60*24 * 65535 * 10^6 / 2^48)

If this is a perpetual mining bond with a fixed Mh/s , this is superb opportunity for investment if you truly believe that difficulty will drop or stand still after all those ASICS finally hit the market.
In really simple terms: Every time diff crawls up, your Mh/s earns you less than before.
Good luck!

[EskimoBob]

...and for fuck sake people, bonds do not pay dividends!
Bonds pay interest to the bondholders. Why? Because bond is a DEBT aka loan.

Get this shit right and you start making sense. This is not that hard to master

[ThickAsThieves]

Since difficulty can change during a day, which of the 2 difficulties (higher/lower) will be used for calculation or do you calculate the actual proper amount based on the time stamp of the block where difficulty changes?

The dividend section above specifies exactly what difficulty will be used. It will use the difficulty at 12PM EST they day before the dividend is issued. The only way this could ever be an issue is if difficulty changed at exactly 12PM EST one day. Which is extremely unlikely.

Also I'm not too happy with the "buyback at 200 times current dividend" clause... Maybe change it to "the mining income of 200 days at 1 MH/s at the current difficulty". All you need to do otherwise is to pay a 1 Satoshi dividend and then do a buyback.

You misunderstand how it works, the dividend is determined by the mining difficulty and the formula described. I can't issue a dividend at an arbitrary amount in order to buy back shares unfairly. Dividends are issued daily as described by the fixed method.

In the end you're betting on hash rates going up while we are expected to bet on them going down.
If they go up fast enough, you can buyback and reap the profits, otherwise you at least have some cash at hands early while loosing some of your ASICMINER dividends.

My goal is not to pull a "fast one". It is to provide the lowest cost mining asset on the market. There is indeed a risk that I face if mining difficulty stagnates. This offering simply provides people with the opportunity described at the beginning of its description:
1. To provide the most affordable and competitive alternative to other mining assets currently available.
2. To provide an easy choice for investors to earn mining rewards without the responsibility and hassle of running personal mining rigs and farms.

[ThickAsThieves]

...and for fuck sake people, bonds do not pay dividends!
Bonds pay interest to the bondholders. Why? Because bond is a DEBT aka loan.

Get this shit right and you start making sense. This is not that hard to master

I understand your points about wording things specifically as bonds and debt. The only reason I use both "share" and "bond" is because each one does represent a dynamic total of the hashing I am responsible for, which must ultimately be backed by its share another asset. Each bond represents a share of that total. The reason for calling them dividends is also a semantic issue because the payouts are strictly related to mining rewards from the 1mh/s being offered.

I know this is semantically frustrating, but I do believe the general understanding of the way this works is quite clear nonetheless. Everyone is getting what they are paying for, and functionally this asset works no worse than any other mining asset that distributes its hashing rewards.

[btceic]

Regarding the IPO, can we pre-purchase x shares @ the IPO price? Or will this open and then we will get filled at whatever price it opens at?