[ActiveMining] Official Shareholder Discussion Thread [Moderated]

[zumzero]

Good point.  I think the middle ground is more likely.  Ken is in a quandary; pay 50% to shareholders as divs and slow the refund payouts or concentrate on those refunds at the expense of the shareholders?

Remember, we have Mark K. to thank for this shit storm, not Ken.

Because the preservation of the company is of paramount importance it is clear that the right thing to do is direct mining and hardware income towards pre-order refund customers.

I think Ken will find a balance between the two and appease both shareholders and those awaiting refunds as best he can.

As a shareholder who is in for the long haul I support any action that improves our chances to stay afloat during these difficult times.  The bitcoin price won't be suppressed for too much longer and when it starts to take off again there will be plenty of opportunity to enjoy weekly dividend payments.   

[zumzero]

You forgot a Godzilla attack.

Edit - Don't believe everything DTS tells you.  He is way more clever than he lets on.  He likes to have people think he is a low paid service industry worker but is out there investing in other high risk bitcoin startups as we speak, and clearly has money to burn.

[drawingthesun]

You forgot a Godzilla attack.

Edit - Don't believe everything DTS tells you.  He is way more clever than he lets on.  He likes to have people think he is a low paid service industry worker but is out there investing in other high risk bitcoin startups as we speak, and clearly has money to burn.

I wish this were the truth. I am investing with the leftover bitcoin I have.

I am a low paid service industry worker.

If you ever come to Perth I'll go out for a coffee with you and have a chat. It would be nice to meet some other shareholders.

dts I thought you were getting out? Why on earth are you still here?

I have sold a few shares.

[zumzero]

DTS, I will be moving to Perth in Australia for a few months to work with Paul Newsome of Swim Smooth if my bitcoins ever bare fruit.  If that happens I will certainly look you up.  What a laugh that would be.  Not sure you could handle my optimism for life though! 

[drawingthesun]

DTS, I will be moving to Perth in Australia for a few months to work with Paul Newsome of Swim Smooth if my bitcoins ever bare fruit.  If that happens I will certainly look you up.  What a laugh that would be.  Not sure you could handle my optimism for life though! 

[shadallion]

Seems to me that if selling hardware is the #1 revenue driver, then marketing and sales should be the primary focus.  Driving traffic to the website and making sure that the website is clean, professional and easy-to-navigate is paramount.   

 

[Vigil]

Ken,

When submitting the email for share validation and transfer, what name are we supposed to include in the "Received transfer from"? Our Bitfunder username?

I submitted my information and a reply stated my information was incorrect. I have resubmitted but have yet to receive shares or an email response. Thanks.

[kslaughter]

Ken,

When submitting the email for share validation and transfer, what name are we supposed to include in the "Received transfer from"? Our Bitfunder username?

I submitted my information and a reply stated my information was incorrect. I have resubmitted but have yet to receive shares or an email response. Thanks.

Yes, your bitfunder username.  I will be processing transfers later tonight.

Edit: Tomorrow night now.

[GTR_JOEY]

Is anyone keeping track of board sales?

[VinceSamios]

Did anyone notice we're hashing at 90TH/s now? Up 10th since yesterday.

[tuxxilla]

Did anyone notice we're hashing at 90TH/s now? Up 10th since yesterday.

Yes - It looks as if the hashrate is increasing even further. I hope we reach the promised 120TH-150TH soon.

[gujo82]

I aim to order 2 goldrush asics, but sadly i have been waiting for 2 days now to get a btc adress for depositing the coins, sent PM and email through the webpage as requested..    

Sounds good regarding the hashrate, holding a few thousand shares myself..

[klondike_bar]

Did anyone notice we're hashing at 90TH/s now? Up 10th since yesterday.

Yes - It looks as if the hashrate is increasing even further. I hope we reach the promised 120TH-150TH 170TH soon.

FTFY

[shadallion]

Share price scooting up to 0.00147, up 50+% in a couple of days. 

[minerpart]

Yeah so with 100TH/s which we haven't even reached yet the datacentre will currently mine around 5.5 BTC a day ($2,300) and 3 months from now that will have dropped to 2 BTC a day ($900).

So in 3 months time the data centre will have mined a total of around 105k USD.

So lets work out the costs to run the data centre for 3 months:

150 boards costing approx $500 each = $75k
data centre rental 10k
electric, 25k
staff, 5k
electricians, 5k
AC parts 5k

So it must cost approx 125k to open and run the data centre for the first 3months. This means the data centre wont break even during the first 90 days. And infact if we run the mine until the power used costs more than the mined BTC (around 150days) the total mined coin will only value 120k - and total costs at that point will be 175k. So this datacentre will not break even with BTC at $450 and in 150 days it will be making a loss due to power costs and will need to be powered down. At that point we will be 55k short on our outlay.

If you don't believe do the calculations yourself here:
http://www.vnbitcoin.org/bitcoincalculator.php

I put total data centre costs (all of above) into the miner cost field, then used - 100,000 GH, 170k watts power, 0.1 for electric, 15% difficulty increase.

So in summary the data centre will make us nothing and will leave us with a 55k shortfall by the time we need to close it down. How are the miner sales comming along?

[VinceSamios]

electric, 25k

Power for 100TH is $1500/month

edit: in washington, and I don't think ken is mining in washington yet.

[VinceSamios]

if we run the mine until the power used costs more than the mined BTC

Ok this is retarded - if power costs more than the value of BTC mined, with THE CHEAPEST POWER IN THE WORLD, then everyone will have stopped mining long ago, and have stopped buying hardware long ago.

Ken is able to be competitive and profitable indefinitely both on hardware costs, and power consumption.

Think about the market forces you crazy kid - people aren't going to be buying mining hardware if it doesn't ROI, let alone if it costs more in power to run than the BTC produced.

[VinceSamios]

Ok this is retarded

Why are you insulting me exactly?

edit - can we see your calculations Vince, because I don't see any. Let's start with the cost of the power for a month.

100,000 gh/s = 120,000wh/h

120,000 wh/h = 120kw/h

120kwh * 24 hours in a day * 30 days in a month = 86,400KHW

Power in Washington is around $0.017/kwh * 86,400 = $1468.80

Although he isn't in washington (yet) so its probably a lot more than that.

What I'm saying is retarded, is the notion that difficulty will continue to grow if the BTC price stays stagnant. It wont, because it won't be profitable.

[VinceSamios]

Ken is able to be competitive and profitable indefinitely both on hardware costs, and power consumption.

This is a bit vague and absolutely ludicrous if you are talking about this data centre.

Simple market forces dictate that:

If someone can buy hardware extremely cheaply (ie. basically cost)
AND
If someone can run the hardware at the lowest possible power costs (which he can, but isn't yet)
THEN
That someone is able to be more competitive than most, and at least as competitive as everyone.

If we also assume, logically, that people won't be buying hardware if it is not profitable to run
THEN
Ken will always be able to run hardware profitably.

Ken will need to move the DC to Washington at some point, or possibly iceland, but that is a minor hurdle.

[VinceSamios]

What about the 150BTC this farm has already mined? lol