Mining: too good to be true

[purplellama]

The difficulty seems to be rising so damn quickly, I don't think profiting will be possible. People will be luck to break even I'd say! Man I thought I was going to be making 3k a month, but no, only $400...

[ArpFlush]

On the other hand, when you take a look a the mining calcs, you'll get mega profit when you order one of those TH miners. 

[crocko]

The difficulty seems to be rising so damn quickly, I don't think profiting will be possible. People will be luck to break even I'd say! Man I thought I was going to be making 3k a month, but no, only $400...

Consider to invest in coins better than start mining. It's more safe.
hint: buy all type of coins (PPC,TRC, LTC,FTC), not only BTC.

[jamesc760]

Mining is for people with deep pockets now. Your best bet is to buy btc directly and hold. Follow the strategy:

25% btc
25% fiat
25% securities
25% real estate

Diversify. Never put all your eggs in one basket.

[glendall]

The difficulty seems to be rising so damn quickly, I don't think profiting will be possible. People will be luck to break even I'd say! Man I thought I was going to be making 3k a month, but no, only $400...

Hehe you must be new to this... Welcome to the world of mining.

Mining is mostly all about making as many coins as you can at break-even or a loss, and then selling them when the price is high in the future for a profit.

You can't make much money selling coins as soon as you mine them. Whether this was when coins were 2$, $200, or $2000 bucks.

[Jcw188]

Like 6 months ago I got into mining and it was all downhill, quickly from there.  Seems I caught on right when it was getting popular.  If you think value will be going up though it could still be worth it, but not immediately.  More like an investment.

[bennybong]

When I first ordered my Avalons I was looking to make something like BTC6.5 a day! Each!

[hieroglyph]

It is a shame how hard it is to get in the mining game these days.  You have to put up thousands of dollars and hope you don't get taken for a ride by the company you ordered from or something else comes along to foul things up.

[faizaa123]

It is a shame how hard it is to get in the mining game these days.  You have to put up thousands of dollars and hope you don't get taken for a ride by the company you ordered from or something else comes along to foul things up.

best practice is to buy from people in-hand via craigslist or face-to-face.
i bought my knc from knc directly and that worked out fine, but i got my redhash from a feller (who lived down the road, actually) and that worked out well as well.

[TerraHasher]

Mining is for people with deep pockets now. Your best bet is to buy btc directly and hold. Follow the strategy:

25% btc
25% fiat
25% securities
25% real estate

Diversify. Never put all your eggs in one basket.

I really think jamesc760 said it best, the best financial managers will tell you to never put all your eggs in one basket. Pre-ordering hardware if you didnt buy it with Bitcoin you either mined or purchased when Bitcoin was under $100 is defiantly Bitcoin suicide in terms of profits. But it does feel good to be part of the network and know that you too are getting a piece of the pie, however small. That little amount of Bitcoin you mine today will feel like the best investment ever if and when Bitcoin hits $4,000 per coin and above.

[faizaa123]

i really think that q1 of 2014, we'll start to see the propagation of hashrate start stabilizing.

[KCmining]

19. 19btc in one day in July with my mini rig. Oh, for the good old days....!

[pand70]

On the other hand, when you take a look a the mining calcs, you'll get mega profit when you order one of those TH miners. 

Only if you do the calculations with the current difficulty. Usually all those TH miners will be delivered months later...

[pixl8tr]

i really think that q1 of 2014, we'll start to see the propagation of hashrate start stabilizing.

Never underestimate the power of greed.  If you listen to some of the talks at the Bitcoin conference.  This latest round of ASIC's is just the tip of the iceberg.  China is just starting to ramp up its production of cheap ASIC miners for the masses.  Also Litecoin ASIC's are just around the corner.  If anyting, the 4 PH/s jump we have seen in the last 3 weeks is just the beginning.

[Syke]

i really think that q1 of 2014, we'll start to see the propagation of hashrate start stabilizing.

Highly unlikely. We won't see the top till electricity costs become a significant factor in daily expenses. That's maybe 100x to 1000x higher than we are now. It's going to take more than 3 months to get there.

[carvecrypto]

Does anyone know what is minimum cost to mine 1 BTC at the moment if you would do mining as efficiently as possible?  (If you include some cost for human work, hardware-investments, energy costs etc.) Or what could be estimated rough average cost which miners have to use to get 1 BTC at the moment?

[pand70]

Does anyone know what is minimum cost to mine 1 BTC at the moment if you would do mining as efficiently as possible?  (If you include some cost for human work, hardware-investments, energy costs etc.) Or what could be estimated rough average cost which miners have to use to get 1 BTC at the moment?

It can be calculated. The calculator over at thegenesisblock is a good place to start since it contains a list of miners from where you can see the average $/ghs cost

[jeppe]

Its impossible to profit if u buy ur equipment with Bitcoins. But if u buy mining equipment with fiat u will be able to profit.

[polarhei]

Its impossible to profit if u buy ur equipment with Bitcoins. But if u buy mining equipment with fiat u will be able to profit.

That's true, I use fiat for a bi-annual contract, which is 80Gh/s in total with Re-investment option. I don't own any big equipment in home, Only 7 USB Eruptors and one weak GPU (HD7750) for emergency.

The possible way is, You should find the lowest point as it is likely not possible to lower to usd 200. This may be good time to get some, Just proceed with caution, always.

[klondike_bar]

I bought an antminer for 4.75BTC and a second one at 4.25BTC

they have mined 4BTC between them in about a 4 week period. I expect they will breakeven around the end of winter if you consider the powercosts to be less than 1BTC in that time frame.

all-in-all, on a 9BTC investment i expect to end up with 10-12BTC and 2 awesome pieces of hardware that will probably still hold $1000 in resale value on ebay