Noob Learning Bitcoin for profit Help

[DER3Z]

alright, so what i've been reading is my two sli 660 ti are piece of crap for bitcoin mining. I am fairly new to this bitcoin market and in trouble with school loans etc. I want to know what Mhash/s Mhash/j andMhash/s/$ stand for. Again, im a noob at this so i want to learn. I like learning new things and this is very interesting to me. Should i buy a mining rig or build a rig myself? I have money for a rig, but is it going to pay off? How many bitcoins would i get in a day, if i bought a mining rig? The baby jet says 400,000 Mhash/s does that mean i will be making $103 dollars a day?
Heres the data for the baby jet https://en.bitcoin.it/wiki/Mining_hardware_comparison
I also live at home, so i dont pay for the bills. I've been using this at the moment to add everything up. I live in Ohio so eletricity is around 11cents per kWh. https://bitclockers.com/calc
I have skype, if anyone could take me under there wing and walk me through this process i would apprecite it.

[dwdoc]

You are in trouble with school loans but you have money for a mining rig??
Between rising difficulty and inevitable delays in miner deliveries you are better off just buying and holding bitcoin.

[DER3Z]

Its a sticky situation, but yes i have the money for a rig. Again, i'm new at this and still learning everything. I mean if buying and holding onto bitcoin is better then buying a rig then so be it. My thought was buying a rig would produce bitcoins turning that into USD paying off my loans.

[bitcoindigi]

I' recommend you to buy bitcoin instead of wasting money on miners. it's not profitable

[DER3Z]

Everything you said was right on the money, I am a gamber and even though i'm in a bad situation i have a positive outlook on life. As for telling my parents, well they arleady know and they're stuck in the old ways of life. I'm a thinker and i like to think of ways to get out of a situation. If you just sit there and cry about it doesnt help you one bit. I have money in stock and just researching more way to live a better life. I wanted to know more about the bitcoin because in my hand it makes sense.

It make sense in my head but this machine HashFast Baby Jet – Second Batch does 400,000 mhash/s
if this is correct then i would be getting about $103 dollars a day. It work out like this on calculator

Hash rate:   400,000    Mh/s
Watts used:   350    W
Cost per kWh     0.11    USD*
Cost of hardware:   3000    USD*
Time frame:      90 days

                  1day           1month           1year                 90days
Revenue:   $ 108.35     $3,250.52         $37,419.33           $9,652.15
BTC earned:0.51458394   15.43751821   177.71338686        45.84039398

I know its like the stock market and it goes up and down, but this makes sense in my head so again if i buy a machine it produce that many bitcoins in 90 days?

[dwdoc]

You need to read the Hashfast thread. The baby jet is vaporware.  There is no picture and no guaranteed ship date.  Their customers are not happy. Sorry but the days of the profitable money printing machine are over.

https://bitcointalk.org/index.php?topic=262052.msg3443212#msg3443212

Instead of using your head trying to game your way out of a tight spot why don't you use the money to further your education and get a good job?  I know that would require more work and seems less thrilling but over the longterm you will be better off.  If there were easy shortcuts then everyone would take them. I know this is not what you want to hear but your parent's old thinking is correct. Your approach is just going to get you into one bad place after another.

[nerFohanzo]

It make sense in my head but this machine HashFast Baby Jet – Second Batch does 400,000 mhash/s
if this is correct then i would be getting about $103 dollars a day. It work out like this on calculator

Hash rate:   400,000    Mh/s
Watts used:   350    W
Cost per kWh     0.11    USD*
Cost of hardware:   3000    USD*
Time frame:      90 days

                  1day           1month           1year                 90days
Revenue:   $ 108.35     $3,250.52         $37,419.33           $9,652.15
BTC earned:0.51458394   15.43751821   177.71338686        45.84039398

I know its like the stock market and it goes up and down, but this makes sense in my head so again if i buy a machine it produce that many bitcoins in 90 days?

No, the difficulty will not stay constant, it increases every retarget, thus you cant multiply one day revenue x 90 = 90 day revenue


To get idea how the difficulty increases, difficulty graphs:
http://bitcoin.sipa.be/

[dwdoc]

Jspielberg's spreadsheet has proven fairly accurate. You can download it and enter whatever values you like. Just remember to always add at least one month to the projected ship date of any device.

https://docs.google.com/spreadsheet/lv?key=0Auya3iRE6az1dDc0UVgwMU52YVpTazVjSHByOGNiWHc&usp=sharing

[deepceleron]

Bitcoin is money. Knowing about money doesn't equal profit, and neither does just about any investment in mining you could make these days. That ship has sailed.

The most profitable thing you can do if you have loans is pay them off, highest interest rate first.

[Birdy]

Don't invest into mining
At the moment it's almost certain that investing into mining will lose you money or at least give you less than investing into Bitcoins directly (in case Bitcoin prices go up). -> it's a bad investment decision

[KamaHomeless]

yeah, I wouldn't recommend mining just from what I have heard from many sources.  Even bitcoin fountains are a better use of your time probably which tend to have very low payouts

[DER3Z]

Alright, apprecite the help everyone. As for paying the student loans, i'm paying but slowly. Can't go to school because credit,parent credit, and family members dont want to help. Like i said its stick situation, government says my parents make to much which gives me no free money. It not easy just to go to college now. The people that do go to college of debt about 100,000 plus. I want to go to school but i need to save up money to do so.

[DER3Z]

Jspielberg's spreadsheet has proven fairly accurate. You can download it and enter whatever values you like. Just remember to always add at least one month to the projected ship date of any device.

https://docs.google.com/spreadsheet/lv?key=0Auya3iRE6az1dDc0UVgwMU52YVpTazVjSHByOGNiWHc&usp=sharing

Appreciate the google spreadsheet doc made sense looking at the numbers.

[Mypink]

Hello everybody,

First thing first, I am totally new to BTC and I mean it. I watched a program yesterday who talked about it and that's all.

What I understood was that you can trade BTC (and make money if you are lucky, smart, or else) but also do what they call mining.
By reading different posts and articles about it everybody says mining is no good but no one says exactly why.

From my point of view as a newcomer isn't it a good position to "produce the money"?
What makes this investment not worth it? Is it because the return on investment is too long? Not enough? It is too difficult to set up technically? Are there unknown restraints?

Please enlighten me 

Mypink

[dwdoc]

1) Any mining device you can buy "off the shelf" right now costs more than it will pay out to the owner over its lifetime.
2) Devices that are pre-ordered and pre-paid months ahead of time almost always arrive late and also cost more than they will generate.
3) You are usually better off just buying and holding bitcoin.

[sirlev]

I'm pretty new myself, but I'm pretty sure I'm a faster-than-average learner.

Concerning the projected profitability of mining hardware, this little tool/site did an excellent job of helping me visualize the realities> http://mining.thegenesisblock.com/
So yes, the short answer is the way things are going now - if you want any hope of even breaking even within a year you need to start RIGHT NOW with some significant hash juice that you bought for as low a $/GH price you can possibly get (mining nonstop, and getting free electricity).  Unless of course BTC value TRIPLES.

[dwdoc]

There is no mining device available "right now" that will ROI.
If bitcoin price triples you are better off just buying bitcoin now.

[inty978]

Buy 1000 block erupters buy 100 usb hubs sit back and see the mistake you've made.. Such is the life of a miner.

[dwdoc]

Buy 1000 block erupters buy 100 usb hubs sit back and see the mistake you've made.. Such is the life of a miner.

If you are going to roll the dice you need to pay attention to this forum and wait for an announcement of a "next generation" miner. Then you have to do your homework and investigate who is doing the announcing and decide whether it is worth the risk and then if you decide there's a good chance it's not vaporware or a scam (there have been many) then you must buy the device the first day it is offered to make sure you are entitled to "first day shipping." Then you hold your breath and cross your fingers and hope that 1) the device gets produced 2) it is not delayed by many months, and 3) difficulty has not risen to high.

[inty978]

I assumed the majority of companies mined with their own products until their past their life cycle before they shipped them out at least that's how it seems these days