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

[EdoBcn]

Dear CryptX Team,

as you might already read in the SCRYPT Thread there is a lot discussion regarding the way you manage the Project. You as the Hoster/Share issuer are responsible for your investors so please do not ignore us. Happy Investors will spread positive word of mouth anywhere which results in a Win situation for you too.

With that official mail we would like to get your attention concerning our situation which is currently not reallly good.

Suggestions were made as follows:

(1) let the Shareholder decide which Hardware should be bought witht he reinvestment Fund

(2) write at least one update per week in the BTC-talk Thread. Further plans, current LTC rate, how many LTC were mined...etc.. pp

(3)  a Possible BUY BACK until IPO Price (perhaps also IPO price - 10%)  with the current Reinvestment Fund.

(4) Choosing of a more profitable Multi Pool than now (nice-hash e.g.)

Thanks in advance
Cheers

That is the Mail i wanted to send.  Please correct anything if there is something wrong. (grammer, content) and also feel free to add other suggestions.  I will send the Email in the next 2 days.

Thanks

I agree on 2,3,4, but on 1, I would change it "let the ShareholderS decide what to do with the reinvestment fund EACH WEEK"

[Korbman]

Dear CryptX Team,

as you might already read in the SCRYPT Thread there is a lot discussion regarding the way you manage the Project. You as the Hoster/Share issuer are responsible for your investors so please do not ignore us. Happy Investors will spread positive word of mouth anywhere which results in a Win situation for you too.

With that official mail we would like to get your attention concerning our situation which is currently not reallly good.

Suggestions were made as follows:

(1) let the Shareholder decide which Hardware should be bought witht he reinvestment Fund

(2) write at least one update per week in the BTC-talk Thread. Further plans, current LTC rate, how many LTC were mined...etc.. pp

(3)  a Possible BUY BACK until IPO Price (perhaps also IPO price - 10%)  with the current Reinvestment Fund.

(4) Choosing of a more profitable Multi Pool than now (nice-hash e.g.)

Thanks in advance
Cheers

That is the Mail i wanted to send.  Please correct anything if there is something wrong. (grammer, content) and also feel free to add other suggestions.  I will send the Email in the next 2 days.

Thanks

I've got a qualm with #1 and #3, though nothing major (and I'm happy to hear counter-arguments).
For #1, letting shareholders decide which hardware should be purchased isn't necessarily helpful. We can choose the fastest hardware on the market, but if Cryptx can't get a discount on them, then what's the point? Instead, I'd push for more of a combined effort, where Cryptx mentions who their primary partners are, and from there we can see if anyone else can beat their 'value' per MH/s (including price, efficiency, and speed).

For #3, a buyback using the reinvestment fund kills any chance this fund has of growing (how are we going to purchase hardware if all the money was spent on buybacks). This would just result in a [very] short-term gain as dividends would be higher (given there are less outstanding shares).

Other than that, I like the basic underlying content, but I think it should be fleshed out quite a bit more. I reworded the message a bit, but the overall substance is more or less the same:

Dear CryptX Team,

There has been quite a bit of discussion on the BitcoinTalk forums regarding Scrypt-X and its potential. Unfortunately we, the investors, are finding it difficult to have our voices heard as it doesn't appear you frequent the forums any longer.

Given the volatile nature of some active members, this is understandable, but we’d still love for you to communicate with us nonetheless. I trust you’re already aware of the unparalleled value active communication and professionalism can add to a developing asset. As a bonus, contented investors are more than willing to market your funds and skills; a positive situation for all involved parties. We just need a reason to go this route.

With this in mind, we wanted to bring your attention to several suggestions that have been posed so far, and with your guidance may help revive Scrypt-X to the growing asset it once was.

(1)   Communicate with investors at least once a week on the current status of the fund, including any upcoming plans or ideas to help expand the mining capacity. Doing this will bring some much needed insight to both current and potential investors. This doesn't have to be on the BitcoinTalk forums either. If a dedicated, active, and informative blog can be created on the Cryptx website, we’d be more than overjoyed with the update.

(2)   Include more detail in the financial statements, such as which coins were mined, what was their conversion rate to Bitcoin, how much electricity was used during the last period, etc. The more detail that can be provided, the better. There may be cases where investors know where to exchange coins for a lower fee.

(3)   Select a multi-mining pool that is more profitable, if one is available. It may be best to utilize a website such as PoolPicker (http://poolpicker.eu/text?algo=scrypt) to determine which pool provides the best payout per MH/s.

(4)   List hardware manufacturers that have offered discounted prices (if possible) and include details on the hardware that would be purchased. In some cases, investors may know of another manufacturer who can provide better hardware for a similar price, or the same hardware at a greater discount. This also allows the manufacturers to see what their competitors are offering. Increased competition will help drive better deals in the future.

As always, we appreciate your willingness to hear our concerns, and we hope our suggestions can generate a positive effect on the overall health of Scrypt-X.

Thanks in advance

[burner2014]

Dear CryptX Team,

as you might already read in the SCRYPT Thread there is a lot discussion regarding the way you manage the Project. You as the Hoster/Share issuer are responsible for your investors so please do not ignore us. Happy Investors will spread positive word of mouth anywhere which results in a Win situation for you too.

With that official mail we would like to get your attention concerning our situation which is currently not reallly good.

Suggestions were made as follows:

(1) let the Shareholder decide which Hardware should be bought witht he reinvestment Fund

(2) write at least one update per week in the BTC-talk Thread. Further plans, current LTC rate, how many LTC were mined...etc.. pp

(3)  a Possible BUY BACK until IPO Price (perhaps also IPO price - 10%)  with the current Reinvestment Fund.

(4) Choosing of a more profitable Multi Pool than now (nice-hash e.g.)

Thanks in advance
Cheers

That is the Mail i wanted to send.  Please correct anything if there is something wrong. (grammer, content) and also feel free to add other suggestions.  I will send the Email in the next 2 days.

Thanks

I've got a qualm with #1 and #3, though nothing major (and I'm happy to hear counter-arguments).
For #1, letting shareholders decide which hardware should be purchased isn't necessarily helpful. We can choose the fastest hardware on the market, but if Cryptx can't get a discount on them, then what's the point? Instead, I'd push for more of a combined effort, where Cryptx mentions who their primary partners are, and from there we can see if anyone else can beat their 'value' per MH/s (including price, efficiency, and speed).

For #3, a buyback using the reinvestment fund kills any chance this fund has of growing (how are we going to purchase hardware if all the money was spent on buybacks). This would just result in a [very] short-term gain as dividends would be higher (given there are less outstanding shares).

Other than that, I like the basic underlying content, but I think it should be fleshed out quite a bit more. I reworded the message a bit, but the overall substance is more or less the same:

Dear CryptX Team,

There has been quite a bit of discussion on the BitcoinTalk forums regarding Scrypt-X and its potential. Unfortunately we, the investors, are finding it difficult to have our voices heard as it doesn't appear you frequent the forums any longer.

Given the volatile nature of some active members, this is understandable, but we’d still love for you to communicate with us nonetheless. I trust you’re already aware of the unparalleled value active communication and professionalism can add to a developing asset. As a bonus, contented investors are more than willing to market your funds and skills; a positive situation for all involved parties. We just need a reason to go this route.

With this in mind, we wanted to bring your attention to several suggestions that have been posed so far, and with your guidance may help revive Scrypt-X to the growing asset it once was.

(1)   Communicate with investors at least once a week on the current status of the fund, including any upcoming plans or ideas to help expand the mining capacity. Doing this will bring some much needed insight to both current and potential investors. This doesn't have to be on the BitcoinTalk forums either. If a dedicated, active, and informative blog can be created on the Cryptx website, we’d be more than overjoyed with the update.

(2)   Include more detail in the financial statements, such as which coins were mined, what was their conversion rate to Bitcoin, how much electricity was used during the last period, etc. The more detail that can be provided, the better. There may be cases where investors know where to exchange coins for a lower fee.

(3)   Select a multi-mining pool that is more profitable, if one is available. It may be best to utilize a website such as PoolPicker (http://poolpicker.eu/text?algo=scrypt) to determine which pool provides the best payout per MH/s.

(4)   List hardware manufacturers that have offered discounted prices (if possible) and include details on the hardware that would be purchased. In some cases, investors may know of another manufacturer who can provide better hardware for a similar price, or the same hardware at a greater discount. This also allows the manufacturers to see what their competitors are offering. Increased competition will help drive better deals in the future.

As always, we appreciate your willingness to hear our concerns, and we hope our suggestions can generate a positive effect on the overall health of Scrypt-X.

Thanks in advance

100% Agree.  In my opinion Buyback makes no sense. So I am against (3) of Alexius.

Cheers!

[TheSmackDown]

If crypt x cant give the market or project confidence and ensure a good share price. Then they should buy back at IPO price and keep the mine 100% for themselves. Robbing peoples money or doing well and not caring if anyone else does. Is BULL CRAP. Totally.

[EdoBcn]

If crypt x cant give the market or project confidence and ensure a good share price. Then they should buy back at IPO price and keep the mine 100% for themselves. Robbing peoples money or doing well and not caring if anyone else does. Is BULL CRAP. Totally.

Sorry, Cryptx didn't give the market and project enough confidence and didn't ensure a good share price.
It didn't work out. It's done.

How to recover from here? It's either buying back at IPO price, or trying to increase the share price to a decent level. Apparently they are not willing to do either of the two.

Rather that sending them a nice polite email request, maybe we should hire a lawyer in Belgium instead... or maybe not...
However, I'm sure they can demonstrate that the initial income from IPO sell was "correctly" invested as advertised in their prospectus and that in the same document they are clearly stating the nature of the project and the risk liability. So most likely we won't have a case to get anything back. Also, assuming they spent the IPO money to purchase units and spent the weekly fees for electricity costs and management of the data warehouse (including all costs), they would not have the funds to buy back anything. So, the lawyer option would not work. Best case scenario they close down their activity, liquidate all assets and pay creditors first. Whatever is left, to shareholders. And I assume that "left" is not going to be much.

Using the reinvestment fund to buy back shares on havelock, instead, would still be a good option to actually create buy walls for who ever wants to liquidate and leave, while also preventing the price to fall further down. If they re-purchase option goes well, there will be less shares circulating, more dividends and the buy walls will generate a sense of a "good product", maybe generating some demand that will increase the shareprice.

Also, we can discuss how much we want in here, but it all ends up in each individual share power. If the majority of this forum decides for an option, but accounts for 10% of the shares, we won't go much further. So maybe it's time to play open cards and know who has how much.

Happy to go first. 8.68%

[TheSmackDown]

They must hv raised 1200BTC for the project and every week they earn half or they have many BTCs for re-investment, so they must be sitting on enough BTC to pay everyone back. I dont believe 1200BTC spent on scrypt mining could turn out this shit.

[stompysteve]

I only have 43 shares lol
smackdown has what 6000 shares?

for your comment above smackdown, they reinvestment fund is less then 100 BTC
why would scryptx buy back the shares when they can keep milking it until the hosting costs take over

how much is the hardware worth if they sold it all right now just curious

[TheSmackDown]

I dont believe any of it. I am mortified. I hardly believe someone could spend 1200BTC on hardware that turns into this shit mess and its due to the fact they dont seem to give a fuck about the share price or the dividend.

Does anyone technically absolutely know their stuff? Does 1200BTC turn to shit like this in mining or is it me.

I went by their PETA mine and its all bollox as far as I can see. It should be generating enough and re-invested correctly to ensure maximum yield. Thats supposed to be their job not mine.
I hv lost all my savings. Thanks crypt x. You guys rock and keep it rockin.

This what they say on PETA mine so what the hell is happening?

"Strategic partnership with leading hardware designers/manufacturers means CryptX will have access to future chip developments at the most competitive rates on the market."

[stompysteve]

I dont believe any of it. I am mortified. I hardly believe someone could spend 1200BTC on hardware that turns into this shit mess and its due to the fact they dont seem to give a fuck about the share price or the dividend.

Does anyone technically absolutely know their stuff? Does 1200BTC turn to shit like this in mining or is it me.

I went by their PETA mine and its all bollox as far as I can see. It should be generating enough and re-invested correctly to ensure maximum yield. Thats supposed to be their job not mine.
I hv lost all my savings. Thanks crypt x. You guys rock and keep it rockin.

This what they say on PETA mine so what the hell is happening?

"Strategic partnership with leading hardware designers/manufacturers means CryptX will have access to future chip developments at the most competitive rates on the market."

they have already bought another GH(from 3 to 4 now) with the reinvestment fund, but the network keeps growing quickly

just how mining goes sometimes

[DebitMe]

I dont believe any of it. I am mortified. I hardly believe someone could spend 1200BTC on hardware that turns into this shit mess and its due to the fact they dont seem to give a fuck about the share price or the dividend.

Does anyone technically absolutely know their stuff? Does 1200BTC turn to shit like this in mining or is it me.

I went by their PETA mine and its all bollox as far as I can see. It should be generating enough and re-invested correctly to ensure maximum yield. Thats supposed to be their job not mine.
I hv lost all my savings. Thanks crypt x. You guys rock and keep it rockin.

This what they say on PETA mine so what the hell is happening?

"Strategic partnership with leading hardware designers/manufacturers means CryptX will have access to future chip developments at the most competitive rates on the market."

they have already bought another GH(from 3 to 4 now) with the reinvestment fund, but the network keeps growing quickly

just how mining goes sometimes

I understand that this is a scrypt project, but why not use the reinvestment fund to buy some SHA-256 equipment?  It has a brighter outlook right now as difficulty adjustments are lower and ASICS are heavily introduced already, whereas, as the big companies start to ship scrypt ASICS, we will see further and further big jumps in hashrate.  At least buying some SHA-256 ASICS for this project will allow a higher bitcoin stream to come in.

With roughly 85 bitcoins in the reinvestment fund by tomorrow, they can purchase roughly 130 antminers S3's assuming no discount (possibly more with a discount).

That would be about 57 TH/s of hashing power, which would about double our current weekly bitcoin intake and would decline at a much slower rate than what scrypt is currently doing.

[stompysteve]

I dont believe any of it. I am mortified. I hardly believe someone could spend 1200BTC on hardware that turns into this shit mess and its due to the fact they dont seem to give a fuck about the share price or the dividend.

Does anyone technically absolutely know their stuff? Does 1200BTC turn to shit like this in mining or is it me.

I went by their PETA mine and its all bollox as far as I can see. It should be generating enough and re-invested correctly to ensure maximum yield. Thats supposed to be their job not mine.
I hv lost all my savings. Thanks crypt x. You guys rock and keep it rockin.

This what they say on PETA mine so what the hell is happening?

"Strategic partnership with leading hardware designers/manufacturers means CryptX will have access to future chip developments at the most competitive rates on the market."

they have already bought another GH(from 3 to 4 now) with the reinvestment fund, but the network keeps growing quickly

just how mining goes sometimes

I understand that this is a scrypt project, but why not use the reinvestment fund to buy some SHA-256 equipment?  It has a brighter outlook right now as difficulty adjustments are lower and ASICS are heavily introduced already, whereas, as the big companies start to ship scrypt ASICS, we will see further and further big jumps in hashrate.  At least buying some SHA-256 ASICS for this project will allow a higher bitcoin stream to come in.

With roughly 85 bitcoins in the reinvestment fund by tomorrow, they can purchase roughly 130 antminers S3's assuming no discount (possibly more with a discount).

That would be about 57 TH/s of hashing power, which would about double our current weekly bitcoin intake and would decline at a much slower rate than what scrypt is currently doing.

you guys must not follow the scene at all....
have you not heard of PETA

[DebitMe]

I dont believe any of it. I am mortified. I hardly believe someone could spend 1200BTC on hardware that turns into this shit mess and its due to the fact they dont seem to give a fuck about the share price or the dividend.

Does anyone technically absolutely know their stuff? Does 1200BTC turn to shit like this in mining or is it me.

I went by their PETA mine and its all bollox as far as I can see. It should be generating enough and re-invested correctly to ensure maximum yield. Thats supposed to be their job not mine.
I hv lost all my savings. Thanks crypt x. You guys rock and keep it rockin.

This what they say on PETA mine so what the hell is happening?

"Strategic partnership with leading hardware designers/manufacturers means CryptX will have access to future chip developments at the most competitive rates on the market."

they have already bought another GH(from 3 to 4 now) with the reinvestment fund, but the network keeps growing quickly

just how mining goes sometimes

I understand that this is a scrypt project, but why not use the reinvestment fund to buy some SHA-256 equipment?  It has a brighter outlook right now as difficulty adjustments are lower and ASICS are heavily introduced already, whereas, as the big companies start to ship scrypt ASICS, we will see further and further big jumps in hashrate.  At least buying some SHA-256 ASICS for this project will allow a higher bitcoin stream to come in.

With roughly 85 bitcoins in the reinvestment fund by tomorrow, they can purchase roughly 130 antminers S3's assuming no discount (possibly more with a discount).

That would be about 57 TH/s of hashing power, which would about double our current weekly bitcoin intake and would decline at a much slower rate than what scrypt is currently doing.

you guys must not follow the scene at all....
have you not heard of PETA

This has absolutely nothing to do with PETA.  There is about 85 bitcoins sitting in a reinvestment fund, now you tell me, is it better to buy scrypt miners or SHA-256 miners.  That amount can buy roughly 57 TH/s of SHA-256 or roughly 1 GH/s of scrypt.  Do the math and figure out which one will make more in its lifetime.

This project has sunk pretty darn far, I think most people agree on here it is time for it to make a change, lots of suggestions have been thrown out, this is just one that I see that is a better option than what we are currently doing.

[TheSmackDown]

Why not just BTC mine instead?

[stompysteve]

Why not just BTC mine instead?

because the same thing will happen to PETA, i dont think you guys understand? or maybe im not understanding you all

[DebitMe]

Why not just BTC mine instead?

because the same thing will happen to PETA, i dont think you guys understand? or maybe im not understanding you all

Whats there to understand?  These things are under the water, and something needs to be done.  What I said has absolutely nothing to do with PETA in the slightest.  I am saying, we need to maximize the amount of bitcoin that can be made with what is in the reinvestment fund.

Our reinvestment fund will have roughly 85 bitcoins in it tomorrow that can be used in one of two ways...
1) It can be distributed as dividends to shareholders
2) It can be used to purchase things to benefit shareholders.

Number 2 only makes sense if whatever you buy, will in its lifetime create more than 85 bitcoins.

Now, there are many theories going around about ways this would be useful, such as buying back shares or purchasing better scrypt equipment.  But I do not think either of those will produce a value of 85 bitcoins back from the investment, and as such, option number 1 above would have been better.  I am saying, take those 85 bitcoins and buy SHA-256 equipment, such as the Antminer, that has a reasonable chance to make back over 85 bitcoins in its lifetime, thereby making a profit for owners.  If whatever you do with those coins will not create 85+ bitcoins in the future, you might as well have just distributed them as dividends today.

[nwfella]

I dont believe any of it. I am mortified. I hardly believe someone could spend 1200BTC on hardware that turns into this shit mess and its due to the fact they dont seem to give a fuck about the share price or the dividend.

Does anyone technically absolutely know their stuff? Does 1200BTC turn to shit like this in mining or is it me.

I went by their PETA mine and its all bollox as far as I can see. It should be generating enough and re-invested correctly to ensure maximum yield. Thats supposed to be their job not mine.
I hv lost all my savings. Thanks crypt x. You guys rock and keep it rockin.

This what they say on PETA mine so what the hell is happening?

"Strategic partnership with leading hardware designers/manufacturers means CryptX will have access to future chip developments at the most competitive rates on the market."

they have already bought another GH(from 3 to 4 now) with the reinvestment fund, but the network keeps growing quickly

just how mining goes sometimes

I understand that this is a scrypt project, but why not use the reinvestment fund to buy some SHA-256 equipment?  It has a brighter outlook right now as difficulty adjustments are lower and ASICS are heavily introduced already, whereas, as the big companies start to ship scrypt ASICS, we will see further and further big jumps in hashrate.  At least buying some SHA-256 ASICS for this project will allow a higher bitcoin stream to come in.

With roughly 85 bitcoins in the reinvestment fund by tomorrow, they can purchase roughly 130 antminers S3's assuming no discount (possibly more with a discount).

That would be about 57 TH/s of hashing power, which would about double our current weekly bitcoin intake and would decline at a much slower rate than what scrypt is currently doing.

you guys must not follow the scene at all....
have you not heard of PETA

This has absolutely nothing to do with PETA.  There is about 85 bitcoins sitting in a reinvestment fund, now you tell me, is it better to buy scrypt miners or SHA-256 miners.  That amount can buy roughly 57 TH/s of SHA-256 or roughly 1 GH/s of scrypt.  Do the math and figure out which one will make more in its lifetime.

This project has sunk pretty darn far, I think most people agree on here it is time for it to make a change, lots of suggestions have been thrown out, this is just one that I see that is a better option than what we are currently doing.

Might not have anything to do with PETA but points out the obvious common denominator(s).

1.) CryptX and crew raking in serious BTC with hosting/admin fee's
2.) Both PETAMINE and SCRYPT are failing miserably (no communication on either)
3.) Barring something changing on either all either will manage to do is piss off entirely new waves of investors foolish enough to invest in either if something drastic doesn't change soon.

[EdoBcn]

I'll assume that Cryptx screw up enough not to get any more confidence from new investors. Whoever checks this thread (and the Peta one) will stay away from this company (and maybe from Havelock as well). So my idea of buying back shares to increase the price would not work. It could just give some investors a way out taking a huge loss.
Me, as an example, if I could sell today all my shares, would take 16btc versus the 82 I spent. Better than nothing? Yes, maybe. Still, not sure if I would take it. Distributing the full 85btc of the reinvestment fund to all shareholders would add another 7.4btc. Meaning I could take 16+7.4=23.4btc back and leave with a loss of 71%. Would probably accept it.

However, who would buy me out? At this stage, no one has more confidence in the project. But Cryptx knows that they will keep making a profit for many more months... so the only option on the table is that Cryptx buys us back. We can't force them to do such thing. Not legally and not by pressuring them with bad advertising. Worst case scenario, they will open a new company with a different name and start over.

Long story short, we are screwed.
But if we can get the shareholders that own more than 51% combined to send a strong message, maybe we could be heard. Maybe.

[TheSmackDown]

Look, i dont believe spending 1200BTC=600000USD on mining equipment can turn to shit like this. I just dont believe it.
That someone could spend that money irresponsibly and making the claims about chip manufactures then ends up with shit machines. I dont buy it right now.
That 1200BTC worth of mining equip only yielded 44BTC in 1st week. And if that was the case they should hv just turned it into a btc mine instead.
What happened to LTC and doge being mined on same chip?
I cant add it up anymore. I am not a techy.

Crypt x give us proper refunds and keep the mine for yourselves.
Or sort this shit out. It was all in your hands. And i for one hv turned 244btc into what exactly. I wont accept that loss. What hv crypt x lost? The shirts off their backs?

I wish I had paid my own engineers and bought machines.

[TheSmackDown]

They are supposed to be the tech experts??? What happened?

[EdoBcn]

Calculation:
11.88 BTC in total from mining
- 3.39771429 BTC as dividend (0.00011542 BTC/share)
- 5.09657143 BTC reinvestment
- 3.38571429 BTC as hosting fee

Total reinvestment fund of 86.78 BTC

Meaning, 15.7% less than last week.