not another fpga mining contract on glbse

[talpan]

Hello fellow miners,
 
good news everyone!

We're now listed on GLBSE!
The ticker symbol is B-FCMC, which stands for Bitcoin FPGA-Community-Mining-Cluster.

With the very good help from molecular, we defined the following IPO and contract:

Initial Public Offering:
In this document the basic targets of the IPO will be defined.
The basic principle is to acquire FPGA based mining hardware from the initial issued shares (20,000 shares @ 0.25BTC = 5,000BTC). Our first cluster will consist of ztex USB-FPGA Modules 1.15y ("Quads"), to reduce acquisition costs, we will use a bulk order organized by the user chefnet of bitcointalk.org. The estimated price per miner is 903€.
After all the shares have been sold, there will be no additional shares issued.  



contract:
The mining-cluster will consist hardware that is optimized for a low energy-costs and a high efficiency of watt per mhs. All operational costs will be deduced from the mined bitcoins. In order to grow, 40% of the earnings will be stored for further growth. The remaining 60% will be distributed to all shareholders evenly. The 80% of the 40% deduced from all earnings will be used to buy new hardware on availability. The last 20% will then be stored in order to take bargains and provide a buffer if the operational-costs are higher than the earnings.
Each share, will receive a weekly dividend.  
Expansion costs are: acquire hardware to maintain the growth and 3rd-party-services necessary to run the operation.  
Every purchase of new hardware will be announced on b-fcmc.com and be decided through a motion on GLBSE.  
Motions to change to the contract and hardware-purchases require a yes by 51% of the participating shares.
I reserve the right to abort all operations and liquidate all hardware purchased and distribute the earnings to all shareholders at any time.


Happy trading and mining!


For general donations (hardware) to this project: 1CqAJaHWpEUi9QEmHkh3V6znAdwQf6Z6yL
 
For donations to me: 1LeuycrKQXHUetWbrCWtWDQzCrNajSEuyU


If you have any questions, comments, ideas feel free to share.


regards, talpan

[kronosvl]

1. 8*830MH/s!=8GH/s
2. What is the price per Kwh there. In future competition will increase and % of power costs will increase even for fpga tehnology to important levels
3. Do you need to pay VAT above the stated price for the singles?

[VVS dump]

1) that's what I thought
2) 0.25 eurocents per kwh, 0.20 if you get lucky.
3) he probably does, but whats more important is that there apply about 200 USD in customs taxes which he'll have to pay too.

to be honest - when I bought my bitforces, I purchased a cheap flight to Florida as well, because it was way cheaper to get them delivered to a US street address and then smuggle them back home.

[Glasswalker]

You should be clear that in order to reach 8Ghash/s you will need 10 BFL Singles.

Also, your statement that there are only one-time mining contracts without growth opportunities is incorrect

See the post about the Bitcoin Syndicate here in this forum (or go to our site at: www.btcsyn.com) to read up on how we operate
(note, not intended as an advertising post, we've already completed our IPO, I'm simply posting an example of another mining op that does what the OP suggests, a growth oriented publicly traded mining op).

Good luck with your venture!

[talpan]

Thanks for the replies .

I've corrected the number of BitForces, it was just a typo.
The rest of the numbers are based on 10 BitForces.

Also, your statement that there are only one-time mining contracts without growth opportunities is incorrect

I said "almost"


As for the VAT, checking that now, haven't thought about it thank you very much for the hint.
And the price per kwh is 0.23€ ~ $0,30.


kind regards,
talpan

[HorseRider]

OP's Identity? please.



 

[Nefario]

Watching.

[DeathAndTaxes]

$0.30 per kWh?

You aren't going to be any more competitive than a good GPU miner with low electrical rates.

It would be like someone saying.  I want to startup up a growth GPU mining contract (@ 8 cents per kWh) because GPUs are the future of mining.

[John (John K.)]

Your electricity rates wouldn't much do you good as compared to someone who has lower rates and uses gpus to mine.

[talpan]

Your electricity rates wouldn't much do you good as compared to someone who has lower rates and uses gpus to mine.

Sorry but I'm not seeing this.

8320gh/s for both as a comparison

10 BitForce single  @ 800W  with $0.3 kwh
Power cost per 24h: 5.76 USD
Revenue per day: 26.55 USD
      ... less power costs: 20.79 USD
System efficiency: 10.00 MH/s/W


33,28 6850 (each 250mh/s) @ 6656W with $0.1 kwh
Power cost per 24h: 15.97 USD
Revenue per day: 27.62 USD
      ... less power costs: 11.64 USD
System efficiency: 1.25 MH/s/W


Feel free to calculate this for other cards too.


calculated with: http://bitcoinx.com/profit/index.php

[DeathAndTaxes]

I have 20GH/s in 3x5970 rigs getting 2.5 MH/W (870W AC at the wall for 2.125 GH/s).  
I am moving them to 4x5970s to push efficiency even higher (2.7 MH/W).  I am not moving them for fun I am moving them to ensure I stay ahead of the efficiency "race".  If network efficiency forces me to be more competitive I have already tested I can undervolt & underclock to get > 4 MH/W.

Daily operating cost per 1 GH/s @ $0.09 per kWh
Currently - 2.5 MH/W Cost per day per GH/s = $0.90
Modified Farm - 2.7 MH/W Cost per day per GH/s = $0.80
Undervolted - 4.0 MH/W Cost per day per GH/s = $0.50

Daily operating cost per 1 GH/s @ $0.30 per kWh
Best Case (10 MH/W) = $0.72
As Observed (9.25 MH/W) = $0.78
With 150W host overhead (8 MH/W) = $0.90

Rigs with 7970 can do better (bad news for me).  Rigs with 7990s can likely push even higher.

$0.30 per kWh is like the top 1% of electrical rates in the modern world.  Kinda hard to be competitive.  Even if you were having the same exact farm using same components somewhere that has $0.10 electricity would net investors $1800 more annually.

[talpan]

Hello,

I think 4MH/W is a bit high-flying, you have to consider that the hardware has a shorter
expectancy of life. But well, yeah my choice wasn't may be right.

May be there are others who live in a country like germany where the power costs
are that high and they like the idea of the project itself.


regards,

talpan

Edit: currently it looks like I'd have to pay 19% VAT, but I'm not so sure about this yet , I'll be investigating.

[DeathAndTaxes]

Why would hardware have a shorter life expectency when running more efficiently.  Lower voltage, lower clock, lower current, lower thermal stress = shorter life?

May be there are others who live in a country like germany where the power costs
are that high and they like the idea of the project itself.

Well then hopefully you sell a lot of shares.  Best of luck.

[molecular]

1) that's what I thought
2) 0.25 eurocents per kwh, 0.20 if you get lucky.
3) he probably does, but whats more important is that there apply about 200 USD in customs taxes which he'll have to pay too.

to be honest - when I bought my bitforces, I purchased a cheap flight to Florida as well, because it was way cheaper to get them delivered to a US street address and then smuggle them back home.

really, you did that? That must've felt pretty weird.

Imagine customs checking your luggage...

customs1: "dude, what is that?!?"
customs2: "looks like some strange hardware to me."
customs1: "hey, traveller, what is that stuff"
you: "well, those are butterfly bitcoin miners"
customs1: "what?!? what is bitcoin? is it a weapon?"
you: "a decentralized cryptocurr..."
customs2: "MONEY LAUNDERING MACHINERY!!! ARREST!"
customs1: "What?!? A washing machine for money?"

[John (John K.)]

Your electricity rates wouldn't much do you good as compared to someone who has lower rates and uses gpus to mine.

Sorry but I'm not seeing this.

8320gh/s for both as a comparison

10 BitForce single  @ 800W  with $0.3 kwh
Power cost per 24h: 5.76 USD
Revenue per day: 26.55 USD
      ... less power costs: 20.79 USD
System efficiency: 10.00 MH/s/W


33,28 6850 (each 250mh/s) @ 6656W with $0.1 kwh
Power cost per 24h: 15.97 USD
Revenue per day: 27.62 USD
      ... less power costs: 11.64 USD
System efficiency: 1.25 MH/s/W


Feel free to calculate this for other cards too.


calculated with: http://bitcoinx.com/profit/index.php

As what D&T said, it's possible to have higher efficiencies with 5xxx series cards, particularly the 58xx and 5970 series. And the hardware would have a longer life expectancy  when running more efficently. If it fails though (just happened to me recently with a 5870 and a 5850 dead), you could RMA em and have them back in 2-3 weeks. And there's the inherent problem of one of those bitforces suddenly dying as there's no mention of warranty (I could be wrong, so correct me).

Where's your country? I find it astonishing to have power rates at $0.30 per kWh as your rates are beating even industrial power rates in my country. For domestic use, my power rates go like $0.06 - 0.12 and its already quite high as compared to other countries.

[DeathAndTaxes]

There is a warranty it is 180 days.  I would imagine at least in near future than RMA would be taking a lot longer than 2 weeks though.

[Bitbird]

I want in.

[talpan]

Imagine customs checking your luggage...

customs1: "dude, what is that?!?"
customs2: "looks like some strange hardware to me."
customs1: "hey, traveller, what is that stuff"
you: "well, those are butterfly bitcoin miners"
customs1: "what?!? what is bitcoin? is it a weapon?"
you: "a decentralized cryptocurr..."
customs2: "MONEY LAUNDERING MACHINERY!!! ARREST!"
customs1: "What?!? A washing machine for money?"

 



Let's see where this goes


Replied to your PM Bitbird.

[Nefario]

I have verified talpans identity.

The home address, phone number, email and photo ID.

Nefario.

[talpan]

LOL! no need to book a flight my friend, why not just use this:

http://shipito.com

Also, if customs find your bitforces in the airport, they'll still make you pay for the import duty.

Thanks, I will take a look at this.

And thx to nefario (glbse) for verifying my identity