Bitcoin Forum
December 03, 2016, 04:50:13 AM *
News: Latest stable version of Bitcoin Core: 0.13.1  [Torrent].
 
   Home   Help Search Donate Login Register  

Warning: Moderators do not remove likely scams. You must use your own brain: caveat emptor. Watch out for Ponzi schemes. Do not invest more than you can afford to lose.

Pages: « 1 2 [3] 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 »
  Print  
Author Topic: Diablo Mining Company  (Read 87090 times)
BinaryMage
Hero Member
*****
Offline Offline

Activity: 546


Ad astra.


View Profile
April 22, 2012, 11:01:31 PM
 #41

Keep in mind 1 million bitcoins is 4.7% of all bitcoins ever to be mined. Yes, I understand you wont hold these all at once but its still just a massive percent of the whole economy.



Just for comparision, 4.7% of all USD in existence is ~2 trillion dollars. Apple's market cap is just about 600 billion.

Uh, no. All USD in existence is measured in the quadrillions. Our annual Federal budget is more than 2 trillion. The war in Iraq cost more than 2 trillion.

The difference here is, Wall Street valuation is not based on reality, and USD is inflationary. Your comparison is rather pointless.

Meaningless in the number, yes. Meaningless in the point, not so much.

Potential investors and I are just not seeing eye to eye on this, and its a waste of time and money to try to continue. I want to make sure no one can get a stranglehold on the Bitcoin economy, but no one really seems to either think that can happen (stealth privately owned mining companies, etc), or they don't see its worth plunking the money down as a sort of insurance.

I think it's possible for a big, long-term mining operation like this to get funding and succeed, but this isn't a good way to issue shares. You should partner with someone who knows more about finance/business.

I concur with theymos. Your idea is perfectly valid, and I think interest does exist, but to launch a venture on this scale is a whole different ballgame with whole different rules in comparison to the GLBSE-funded companies in existence.

-- BinaryMage -- | OTC | PGP
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1480740613
Hero Member
*
Offline Offline

Posts: 1480740613

View Profile Personal Message (Offline)

Ignore
1480740613
Reply with quote  #2

1480740613
Report to moderator
Nefario
Hero Member
*****
Offline Offline

Activity: 602


GLBSE Support support@glbse.com


View Profile WWW
April 23, 2012, 12:47:13 AM
 #42


I concur with theymos. Your idea is perfectly valid, and I think interest does exist, but to launch a venture on this scale is a whole different ballgame with whole different rules in comparison to the GLBSE-funded companies in existence.

Right now GLBSE certainly wouldn't be ready for something of this size (the market size on GLBSE is simply too small at the moment), and I would need to have added a lot more functionality in managing shares, dividends and other things as well, all coming in due time but not here yet.

PGP key id at pgp.mit.edu 0xA68F4B7C

To get help and support for GLBSE please email support@glbse.com
DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
April 25, 2012, 08:11:00 AM
 #43

(The plan has been moved to the op post)

Nefario
Hero Member
*****
Offline Offline

Activity: 602


GLBSE Support support@glbse.com


View Profile WWW
April 25, 2012, 08:15:35 AM
 #44

Don't forget taxes, there is slim to 0 chance of you being able to run an operation of that size without the taxman coming after you.

PGP key id at pgp.mit.edu 0xA68F4B7C

To get help and support for GLBSE please email support@glbse.com
DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
April 25, 2012, 08:21:11 AM
 #45

Don't forget taxes, there is slim to 0 chance of you being able to run an operation of that size without the taxman coming after you.

Operating costs. Although, the fun part there, I think the federal government still has tax rebates on solar panel deployment, so taxes work both ways.

sturle
Legendary
*
Offline Offline

Activity: 1418

http://bitmynt.no


View Profile WWW
April 25, 2012, 08:29:43 AM
 #46

At 1.5m diff and prices north of $5: 54 BTC a day or $270 a day or $98,550 a year.
[...]
156 * 85 ghash is 13 thash, or enough to completely secure the cryptographic safety of Bitcoin, or make about $9.6 million dollars in the first year, assuming, again, difficulty does not greatly spike or prices do not greatly plummet.
The addition of 13 Thash/s will by itself more than double the difficulty.  Mining is a game of diminishing returns.  When your share of the total network get to large, you mostly compete with yourself.  You at least need to take your own hashrate into account when calculating the resulting difficulty, and don't assume all other innovation in mining will stop.

Sjå http://bitmynt.no for veksling av bitcoin mot norske kroner.  Trygt, billig, raskt og enkelt sidan 2010.
I buy with EUR and other currencies at a fair market price when you want to sell.  See http://bitmynt.no/eurprice.pl
I support the roadmap.  If a majority of miners ever try to forcefully take control of Bitcoin through a hard fork without 100% consensus, I will immediately split out and dump all my forkcoins, and buy more real Bitcoin.
DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
April 25, 2012, 08:43:01 AM
 #47

At 1.5m diff and prices north of $5: 54 BTC a day or $270 a day or $98,550 a year.
[...]
156 * 85 ghash is 13 thash, or enough to completely secure the cryptographic safety of Bitcoin, or make about $9.6 million dollars in the first year, assuming, again, difficulty does not greatly spike or prices do not greatly plummet.
The addition of 13 Thash/s will by itself more than double the difficulty.  Mining is a game of diminishing returns.  When your share of the total network get to large, you mostly compete with yourself.  You at least need to take your own hashrate into account when calculating the resulting difficulty, and don't assume all other innovation in mining will stop.

No, I did the math wrong. Its 3.5 thash, not 13.

sturle
Legendary
*
Offline Offline

Activity: 1418

http://bitmynt.no


View Profile WWW
April 25, 2012, 09:11:01 AM
 #48

At 1.5m diff and prices north of $5: 54 BTC a day or $270 a day or $98,550 a year.
[...]
156 * 85 ghash is 13 thash, or enough to completely secure the cryptographic safety of Bitcoin, or make about $9.6 million dollars in the first year, assuming, again, difficulty does not greatly spike or prices do not greatly plummet.
The addition of 13 Thash/s will by itself more than double the difficulty.  Mining is a game of diminishing returns.  When your share of the total network get to large, you mostly compete with yourself.  You at least need to take your own hashrate into account when calculating the resulting difficulty, and don't assume all other innovation in mining will stop.
No, I did the math wrong. Its 3.5 thash, not 13.
There are more errors.  Your calculations assume 50 BTC per block, and this is going to halve during the first year of operation.  If you get started after December 9th or thereabout, your block reward will start at 25 BTC.

Sjå http://bitmynt.no for veksling av bitcoin mot norske kroner.  Trygt, billig, raskt og enkelt sidan 2010.
I buy with EUR and other currencies at a fair market price when you want to sell.  See http://bitmynt.no/eurprice.pl
I support the roadmap.  If a majority of miners ever try to forcefully take control of Bitcoin through a hard fork without 100% consensus, I will immediately split out and dump all my forkcoins, and buy more real Bitcoin.
DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
April 25, 2012, 09:15:53 AM
 #49

At 1.5m diff and prices north of $5: 54 BTC a day or $270 a day or $98,550 a year.
[...]
156 * 85 ghash is 13 thash, or enough to completely secure the cryptographic safety of Bitcoin, or make about $9.6 million dollars in the first year, assuming, again, difficulty does not greatly spike or prices do not greatly plummet.
The addition of 13 Thash/s will by itself more than double the difficulty.  Mining is a game of diminishing returns.  When your share of the total network get to large, you mostly compete with yourself.  You at least need to take your own hashrate into account when calculating the resulting difficulty, and don't assume all other innovation in mining will stop.
No, I did the math wrong. Its 3.5 thash, not 13.
There are more errors.  Your calculations assume 50 BTC per block, and this is going to halve during the first year of operation.  If you get started after December 9th or thereabout, your block reward will start at 25 BTC.

No, I already included a disclaimer for that: I have not factored that in, and I think BTC prices will double because of it.

sturle
Legendary
*
Offline Offline

Activity: 1418

http://bitmynt.no


View Profile WWW
April 25, 2012, 09:58:50 AM
 #50

There are more errors.  Your calculations assume 50 BTC per block, and this is going to halve during the first year of operation.  If you get started after December 9th or thereabout, your block reward will start at 25 BTC.
No, I already included a disclaimer for that: I have not factored that in, and I think BTC prices will double because of it.
You don't want to predict any difficulty increase, but price doubling is assumed?  In that case try another calculation.  Spend all the USD to buy BTC before the block reward halves, and sell afterwards when the price has doubled.  Much more profitable than this mining operation, and less risky because you don't depend on constant difficulty.  :-)

Sjå http://bitmynt.no for veksling av bitcoin mot norske kroner.  Trygt, billig, raskt og enkelt sidan 2010.
I buy with EUR and other currencies at a fair market price when you want to sell.  See http://bitmynt.no/eurprice.pl
I support the roadmap.  If a majority of miners ever try to forcefully take control of Bitcoin through a hard fork without 100% consensus, I will immediately split out and dump all my forkcoins, and buy more real Bitcoin.
DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
April 25, 2012, 11:23:30 AM
 #51

There are more errors.  Your calculations assume 50 BTC per block, and this is going to halve during the first year of operation.  If you get started after December 9th or thereabout, your block reward will start at 25 BTC.
No, I already included a disclaimer for that: I have not factored that in, and I think BTC prices will double because of it.
You don't want to predict any difficulty increase, but price doubling is assumed?  In that case try another calculation.  Spend all the USD to buy BTC before the block reward halves, and sell afterwards when the price has doubled.  Much more profitable than this mining operation, and less risky because you don't depend on constant difficulty.  :-)

Can't predict difficulty, however. I've seen it swing wildly up AND down.

highlevelminer
Jr. Member
*
Offline Offline

Activity: 42



View Profile
April 25, 2012, 01:35:32 PM
 #52

This a very relevant issue for the future of the bitcoin and all its participents.

A mining operation of this scale can place a permanent stranglehold on the uprise of the bitcoin's price margin as well as ensure large amounts of coinage do not fall into unscrupulous hands.

I will definitely making positive reference to this as well as the BTK lending operation on a vlog I'll be posting today.

Great work and stay tuned Smiley

PM or email for Deathbylollipop Youtube Ads

Also be sure to check out our company business agenda vlog

Donations for bitcoin support and advertisements always welcome:

1GsaRJFGqCSFQ97NfaQ9KiMFXMur3bwxk
MPOE-PR
Hero Member
*****
Offline Offline

Activity: 756



View Profile
April 25, 2012, 02:15:06 PM
 #53

This has easily been the most entertaining thing I read all week.

My Credentials  | THE BTC Stock Exchange | I have my very own anthology! | Use bitcointa.lk, it's like this one but better.
rjk
Sr. Member
****
Offline Offline

Activity: 420


1ngldh


View Profile
April 25, 2012, 02:17:14 PM
 #54

This has easily been the most entertaining thing I read all week.

Small minds are easily amused.

Mining Rig Extraordinaire - the Trenton BPX6806 18-slot PCIe backplane [PICS] Dead project is dead, all hail the coming of the mighty ASIC!
2weiX
Legendary
*
Offline Offline

Activity: 1638


View Profile
April 25, 2012, 06:36:50 PM
 #55

noted
highlevelminer
Jr. Member
*
Offline Offline

Activity: 42



View Profile
April 25, 2012, 06:39:41 PM
 #56

Okay here is the link for the promotional video I did on youtube for reputable bitcoin lending operations.

I made a few mistakes as to names but I think the general idea was made in a clear and concise manner Smiley

Here is the link for review:https://bitcointalk.org/index.php?topic=67446.0

PM or email for Deathbylollipop Youtube Ads

Also be sure to check out our company business agenda vlog

Donations for bitcoin support and advertisements always welcome:

1GsaRJFGqCSFQ97NfaQ9KiMFXMur3bwxk
DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
April 25, 2012, 06:40:41 PM
 #57

https://bitcointalk.org/index.php?topic=78052.0

Started a poll. Vote now.

DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
April 27, 2012, 06:04:30 PM
 #58

I've updated the plan to further cover green cooling and power generation further.

tl;dr: Reducing operating costs is good, alternate income sources are also good, state and federal incentive programs are good as well.

Dusty
Hero Member
*****
Offline Offline

Activity: 722


Libertas a calumnia


View Profile WWW
May 01, 2012, 10:02:49 AM
 #59

I find this strategy far from optimal, spending so much for FPGA is not wise, with such an amount of money you should develop your own ASIC...?

Articoli bitcoin: Il portico dipinto
DiabloD3
Legendary
*
Offline Offline

Activity: 1162


DiabloMiner author


View Profile WWW
May 01, 2012, 11:38:07 AM
 #60

I find this strategy far from optimal, spending so much for FPGA is not wise, with such an amount of money you should develop your own ASIC...?

It would cost about $10 million just to get to the first ASIC run unless you want really shoddy chips and/or SASIC (which isn't particularly much better than FPGA). Plus, shitty ASIC or the best SASIC designs at >=45nm is going to be pretty hard pressed to beat 28nm FPGA at mhash/$ and they'll be in the same ballpark for mhash/watt.

So, given that, I'd rather be the first major ASIC customer, and although I'd love for that to be my first gen hardware, I'm not seeing it happen.

Pages: « 1 2 [3] 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 »
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!