Bitcoin mining vs investing

[jbrock11]

Has this hit a tipping point yet? For the average person is it just cheaper to invest than to mine? If not, how much BTC can you mine per day on let's say a 5000-10000 dollar "rig".

[Fireblade]

The most of hardware on the market got a relationship with Fiat. Most of the hardware that has been announced the last period was based on a higher Bitcoin price. So many hardware is at the moment expensive.

To have any profit on mining your mining hardware needs to have sufficient Hasrate. Mining get less attractive for the small users.

[jimmothy]

Has this hit a tipping point yet? For the average person is it just cheaper to invest than to mine? If not, how much BTC can you mine per day on let's say a 5000-10000 dollar "rig".

Best bet would be to go with knc or whatever asicminer offers next.

[xephyr]

Bitcoin mining is risky for small investors. Better to just buy and hold bitcoin or consider mining altcoins. Litecoin and altcoin mining is not mature yet and will provide better ROI.

[cdog]

https://bitcointalk.org/index.php?topic=398290.0

[Entropy-uc]

This subject has been tackled many times.

Buying Bitcoin mining hardware versus buying Bitcoin is a risk.  Sometimes you can end up with more Bitcoin buying gear, sometimes you end up with less.  Sometimes you end up with a lot less.

The mining market goes through cycles where irrational actors distort the market and make it a bad investment.  Since early this spring, the market has gone from irrational, to bat-shit crazy in a few cycles.

To be successful with mining you have to compete with the irrational actors throwing their money down a hole.

Most of the winners to date have been the people standing with a bag at the bottom of the hole.  :-)

Think mining bond sellers, mining investment sellers, cloudhashing, equipment flippers, and manufacturers.

[ScaryHash]

The problem in looking at the question of "Should one buy mining equipment or just buy and hold BTC?" is the same type of question that stock market analysts try to ponder, and the same question fortunetellers try to answer.

The answer is, whatever works better for you (at least, in my opinion).

If you like to buy and hold, and not have to worry about running mining gear, great!

If you like to tinker with mining gear, great!

It's the same thing as in the stock market. Some people like to be hands-on, and run their own investments, do the research, buy the stock, etc. That's great for them.

Other people just dump money into a few mutual funds, and look at their statement twice a year. Great ! Whatever works for them.

Nobody could tell 3 years ago that BTC would hit $1200/BTC. Nobody could tell it would go back down to $700 and go back up again. If they could, they would not be on these forums. They would be on their private yacht with 5 gorgeous women, too busy to get on the forum.

Heh.

[frank754]

I invested in a block erupter cube which is running at 37+ GHs and earning about $10-11/day, even at the high diff levels now. Also trying to invest in BTC buy buying about $100 worth a week (all I can spare and making minimum payments on credit cards). Hopefully the BTC price will go up by 50% or more in the next few months and tehn I will cash part of them in to pay off bills. But I do see it as a good investment right now, as the price despite having ups and down seems like it will gradually climb due to more commercial interest like Overstock and others.