[HAVELOCK] SCRYPT 4 GH/s hosted scrypt mining project by CRYPTX

[babcoccl]

I'm pretty excited about this being an active Peta investor.

However doing the pricing for the forecast 100kh/s per share concerns me a little.

If we benchmark against the alpha - t miner (granted apples to oranges) but if they deliver on their 5Mh/s(now 16) on time (July) this means that to get an equivalent hash power with scrypt-x we would need to purchase 160 shares (not including aAlphas additional cloud hashing). At 0384 per share this works out to 6.144 btc which is about 2611 USD. The alpha miner retails for 2300 USD. The difference works out to about $2 per share. That two dollars is what I would consider to be the price for never getting "your hands dirty" and having a better resell potential by re selling the share vs the hardwar.

That's not too bad, but when you do the same comparison on KNCs supposed miner, it works out to a difference of $13 per share. That's a significant additional cost versus hardware.

My question to cryptx would be what are you going to do to hedge against aggressive performance gains made by new hardware. The Asic btc environment was more mature when PETA started than the scrypt Asic market is today. I would hate to see money invested in a Gen 1 Asic when Gen 2 is a month or two away and offers 75 percent better performance.

That being said alpha and knc are still pre order but knc has the best track record going and I would tend to believe them.

Anyway keep up the good work and I am looking forward to the IPO.

[cryptx]

I'm pretty excited about this being an active Peta investor.

However doing the pricing for the forecast 100kh/s per share concerns me a little.

If we benchmark against the alpha - t miner (granted apples to oranges) but if they deliver on their 5Mh/s(now 16) on time (July) this means that to get an equivalent hash power with scrypt-x we would need to purchase 160 shares (not including aAlphas additional cloud hashing). At 0384 per share this works out to 6.144 btc which is about 2611 USD. The alpha miner retails for 2300 USD. The difference works out to about $2 per share. That two dollars is what I would consider to be the price for never getting "your hands dirty" and having a better resell potential by re selling the share vs the hardwar.

That's not too bad, but when you do the same comparison on KNCs supposed miner, it works out to a difference of $13 per share. That's a significant additional cost versus hardware.

My question to cryptx would be what are you going to do to hedge against aggressive performance gains made by new hardware. The Asic btc environment was more mature when PETA started than the scrypt Asic market is today. I would hate to see money invested in a Gen 1 Asic when Gen 2 is a month or two away and offers 75 percent better performance.

That being said alpha and knc are still pre order but knc has the best track record going and I would tend to believe them.

Anyway keep up the good work and I am looking forward to the IPO.

Our opinion is that time to market is of crucial importance in mining operations, we have seen that in BTC mining with AsicMiner and Avalon. Even in the 28nm process node race, time to market was/is important. KNC didn’t provide the most performant 28nm chip, but they were first, which gave them and miners a great advantage.

That being said, the A2 chip from Innosilicon is also in the 28nm process node, so it is not just a gen1 that will be obsolete in a few weeks (or even months) when others come out. Meanwhile continuous efforts are being made to optimize performance vs power consumption.

The Scrypt-X mining project is also not limited to one particular supplier, we are continuously evaluating and in negotiation with various suppliers, so we can make the best deals available and strengthen our growth strategy.

[babcoccl]

Thanks cryptx, I realize what I'm suggesting is highly subjective and could be totally irrelevant if either of the leaders fail to live up to their promises. However, if KNC meets their goal, the kh/s per share ratio will be hard to justify unless reinvestment by scrypt-x is very aggressive.

I do appreciate time to market is very important in this realm and that in itself is a very good point.

See you at the IPO.

[altoidmintz]

I'm pretty excited about this being an active Peta investor.

However doing the pricing for the forecast 100kh/s per share concerns me a little.

If we benchmark against the alpha - t miner (granted apples to oranges) but if they deliver on their 5Mh/s(now 16) on time (July) this means that to get an equivalent hash power with scrypt-x we would need to purchase 160 shares (not including aAlphas additional cloud hashing). At 0384 per share this works out to 6.144 btc which is about 2611 USD. The alpha miner retails for 2300 USD. The difference works out to about $2 per share. That two dollars is what I would consider to be the price for never getting "your hands dirty" and having a better resell potential by re selling the share vs the hardwar.

That's not too bad, but when you do the same comparison on KNCs supposed miner, it works out to a difference of $13 per share. That's a significant additional cost versus hardware.

My question to cryptx would be what are you going to do to hedge against aggressive performance gains made by new hardware. The Asic btc environment was more mature when PETA started than the scrypt Asic market is today. I would hate to see money invested in a Gen 1 Asic when Gen 2 is a month or two away and offers 75 percent better performance.

That being said alpha and knc are still pre order but knc has the best track record going and I would tend to believe them.

Anyway keep up the good work and I am looking forward to the IPO.

Our opinion is that time to market is of crucial importance in mining operations, we have seen that in BTC mining with AsicMiner and Avalon. Even in the 28nm process node race, time to market was/is important. KNC didn’t provide the most performant 28nm chip, but they were first, which gave them and miners a great advantage.

That being said, the A2 chip from Innosilicon is also in the 28nm process node, so it is not just a gen1 that will be obsolete in a few weeks (or even months) when others come out. Meanwhile continuous efforts are being made to optimize performance vs power consumption.

The Scrypt-X mining project is also not limited to one particular supplier, we are continuously evaluating and in negotiation with various suppliers, so we can make the best deals available and strengthen our growth strategy.

+1

[jimmothy]

Still no explanation for how you got 7600btc divs when they add up to about half that.

Also I find it extremely unlikely that difficulty only doubles when the price of hardware is 1/5th the original price.

[hephaist0s]

I'm not seeing the exact IPO start time on May 7. When is that?

[havelock]

Start of IPO May 7th 11:00 EST

[hephaist0s]

Start of IPO May 7th 11:00 EST

I have never regretted for one moment buying into PETA-MINE, and that was 3 exchanges and 6+ months ago -- cryptx has maintained clear communications throughout, dividends have been very strong and share price is still above IPO. I'll be there for SCRYPT-X tomorrow morning!

[Korbman]

So I may have missed the answers, but I have two questions that tie into each other:

1) Since dividends are paid in Bitcoin, which exchange(s) will be used to convert any mined altcoins into Bitcoin?
2) Given your projections, you'll be mining 5,000+ Litecoins each week (more at the beginning of course). How do you plan on converting that volume of currency to Bitcoin without disrupting the normal 'ebb and flow'?

With PETA, there were really two primary variables; network difficulty and BTC/Fiat price.
With SCRYPT-X, there are now three; altcoin difficulty (or difficulties), BTC/Fiat price, BTC/Altcoin price. It's like buying gold so you can speculate on the price of silver.

[altoidmintz]

It's like buying gold so you can speculate on the price of silver.

Clearly you do not understand altcoins.

[Korbman]

It's like buying gold so you can speculate on the price of silver.

Clearly you do not understand altcoins.

Ha, oh I understand altcoins perfectly well...but I see you're point. 

[Wayne_Chang]

I have prepared bullets and waiting for the IPO start. 

[fourhundredapm]

The problem I have with this IPO is that it seems the issuer is selling shares at a premium. Others have noted this as well. This is equivalent to "I want to buy a $100k house, now send me $250k and you can be a partial owner"

Cryptx, can you justify for the enormous premium you are placing on the share pricing?

[EnJoyThis]

At curent prices you would pay 163.4 usd per MH for the first 10.000 units. (much more if btc will rise)
You will have a few months at most mining with profit , accounting the flood of scrypt asics.
Some examples:
  - 125  usd/MH - The War Machine GawMiners
  - 33.31 usd/MH - Titan KnC

Looking at already available hardware like the Gridseed Blade.

These machines run +5.2Mhs. (averaging 5.6Mhs most of the time)

They nowadays retail at $950 when ordered in larger quantaties the price will more likely be around $750-$800 judging from the fact there are currently resellers which charge anywhere from 820-950.

But for the calculations, let's assume $800
At current btc price of $430 this would mean 1.86BTC

one blade would represent 52 shares of 100kh/s on SCRYPT-X
52 shares at IPO would cost 1.976BTC

In case all 100k shares are sold the average IPO price is 0.04475 a share.
For 52 shares it would mean 2.327BTC

We all now Gridseed is able to deliver quick and thus hardware will be available within 2 weeks.

Therefor the IPO price isn't cheap and I can say without hesitating, the premium of about 25% you pay is quite steep.

[freedomno1]

you will mine Litecoin but the payouts will be in Bitcoin ? what a shame, why don't you pay dividends in Litecoin ? I would invest in this case...

Don't belive havelock are using Litecoin, probably only BTC is avaliable on this market and that can be the reason for using BTC, You can always exchange it to LTC.

To my knowledge their hasn't been a litecoin exchange since BTCT closed down with burnside and litecoinglobal closed as well as an asset
That said the dividends should be converted to BTC from the altcoins so finding a cheaper exchange might be a good idea.
Since fees would factor into conversions from mining income to dividend income

[cryptx]

So I may have missed the answers, but I have two questions that tie into each other:

1) Since dividends are paid in Bitcoin, which exchange(s) will be used to convert any mined altcoins into Bitcoin?
2) Given your projections, you'll be mining 5,000+ Litecoins each week (more at the beginning of course). How do you plan on converting that volume of currency to Bitcoin without disrupting the normal 'ebb and flow'?

With PETA, there were really two primary variables; network difficulty and BTC/Fiat price.
With SCRYPT-X, there are now three; altcoin difficulty (or difficulties), BTC/Fiat price, BTC/Altcoin price. It's like buying gold so you can speculate on the price of silver.

1) We can trade them on the ghash.io and BTC-E exchange (or any other exchange that has good liquidity and rates).
2) We will convert alt-coins each day, both exchanges provide enough liquidity to not disrupt the market.

[EdoBcn]

1) We can trade them on the ghash.io and BTC-E exchange (or any other exchange that has good liquidity and rates).
2) We will convert alt-coins each day, both exchanges provide enough liquidity to not disrupt the market.

great news/info. Thanks!

[IamNotSure]

Hello, looking forward for that IPO

One question though : What justify the price difference between the 3 batches of the IPO ?

2014-05-05   2014-05-07 11:00   2014-05-15 11:00   pending   10000   10000   10000   ฿0.03800000   
2014-05-06   2014-05-07 11:00   2014-05-15 11:00   pending   10000   10000   10000   ฿0.03950000   
2014-05-06   2014-05-07 11:00   2014-05-15 11:00   pending   10000   10000   10000   ฿0.04100000   

[stompysteve]

why is first ipo listed at
0.0410

and not .038

[gen. specific]

THE DIFFICULTY INCREASE PROJECTS NEGLECT REALITY


they are projecting average 8% difficulty increases over time. when really 25% increases will be the norm as the ASICs roll out

caveat emptor.  their chart forecasting 8% increases in difficulty is MAYBE based on previous data for scrypt coins, this is because of lack of innovation in GPU mining efficiency. But look at bitcoin's difficulty chart for the past year, average 25% which I think is fair for scrypt asic too as all companies are aiming to roll out scrypt hardware at similar intervals