Big set up question.

[ssraid]

I have a friend who just went and bought 30 5970's and I was wondering is it worth it in to go that big.  Its about .12cents a kwh here. I think he might be a lil crazy to go that big. What do you guys think?

[Ponies]

Thats a lot of power being used, he should make sure his wiring can handle that.

[nmat]

Right now, I wouldn't invest in bitcoin mining at all. Let me make some calculations on how much will he earn... Do you know how much did he spend with everything (cards+motherboards)?

EDIT: Those would need a lot of calculations, but at current prices it isn't profitable at all. I think it would take more than a year to cover the initial investment. And who knows how much a bitcoin is worth a year from now... If you want a calculator, check here: http://bitcoinx.com/profit/index.php

The 5970 should make around 700MHash/sec according to this: https://en.bitcoin.it/wiki/Mining_hardware_comparison

[ssraid]

He spent about 30k total.  He think hes gonna be a millionaire in a year.  Not sure how big of a chunk the power is gonna cost him, but im sure its gonna be a lot. 

[Stalin-chan]

Hope he doesn't get a brain injury.

[FreeMonies]

Man 5-7 months ago he'd of made a killing. Now... probably not so much.

[nmat]

He spent about 30k total.  He think hes gonna be a millionaire in a year.  Not sure how big of a chunk the power is gonna cost him, but im sure its gonna be a lot. 

He is going to lose money. If he mines at 20GHash with 9000W with bitcoins at $10 each (now they are at $7), he will cover the initial costs in 1 year and a half. However, the 7000 series will come out in the next couple of months and the difficulty will rise a lot. So unless bitcoin's price jumps to $30, he may never break even.

[Stalin-chan]

He spent about 30k total.  He think hes gonna be a millionaire in a year.  Not sure how big of a chunk the power is gonna cost him, but im sure its gonna be a lot. 

He is going to lose money. If he mines at 20GHash with 9000W with bitcoins at $10 each (now they are at $7), he will cover the initial costs in 1 year and a half. However, the 7000 series will come out in the next couple of months and the difficulty will rise a lot. So unless bitcoin's price jumps to $30, he may never break even.

Hes probably losing money to electrical bills, so in theory he will never recoup his losses.

[deherbs]

I would say it's a gamble...

[Revalin]

Mining with that rig will roughly break even right now, or probably be a little bit negative.  If the exchange rate falls (Likely in the short term; long term it's entirely speculation but I'm speculating it'll go down) his profitability will become more negative, since difficulty trails price.  Newer more efficient GPUs will drive profit down as well (difficulty will rise).  Long term mining is only really profitable when the price is rising faster than people can buy GPUs.

I advise against speculatively investing in BTC.  My reasons are over here:  https://bitcointalk.org/index.php?topic=40214.msg498449#msg498449

[BTC guy]

30 cards is over doing it.

[BitcoinRedLight]

This is not a good bet.

[Cosbycoin]

I would say he should have just bought BTCs with the money.

[worldinacoin]

He will be poorer by $30k depending on how he calculate depreciation .  Yeap I agree with the other members, might as well purchase bitcoin on the market

[Dargo]

He think hes gonna be a millionaire in a year. 

Wow, really? Totally unrealistic.