Announcing GPUMoney, “Monetize Your Gaming!” GPUMoney.com

[El Cabron]

Announcing GPUMoney,     “Monetize Your Gaming!”

  ~Second round of investment funding ~

We would like to inform the community about GPUMoney, a project developing in TyGrr Virtual Industries laboratory for the last 4 months. GPUMoney is a system that uses the power of the gaming rig to solve various complex equations in return for credits and allowing the gamer to then trade these credits for games or game related products. The credits generated by the gaming miners are called “GPUMoney” and the gamer would be able to use these credits to buy products such as gift cards, WoW Gold, TF2 in game items, full steam games and more. The system is designed to operate whenever the operator chooses to work for credits and can be run 24/7.

We are in discussions with some of the established sites offering "in game" items and fully expect to establish strategic partnerships with a few of these companies.  Our marketing team is hard at work developing these relationships and an extreme marketing push.

A few months ago a few key investors helped us get this far with initial investments. Now that our coding is almost ready to go live, we wish to gather more funds for items such as registering the company in the USA, international patent applications, staff salary, professionally designed website, extreme marketing tactics and legal counsel.  We will also be purchasing some new hardware to improve productivity and server reliability.

At any given time there are 2.6 to 4.5M active users playing on steam. The total number of registered accounts is significantly higher. steamgifts.com gained over 100,000 users in their first year. Because of the type community and the buzz we can create with advertising and forum posts, we believe that getting 30,000 users at an average of 60 mh/s in 4 months is a conservative estimate. If the average user mines just 12 hours a day, this will bring in approximately $3000 a day at current rates.

Within a year we expect to have at least 100,000 active members and thus bring in $10,000 USD a day at current rates. Approximately half of this will be used for upkeep. Working in this range, an estimation of $1,000,000 USD after costs in a year is very reasonable. Keep in mind, this is only targeting steam users and assumes we are limited to only bitcoin. There are 100’s of millions of gamers out there and many alternatives for work other than bitcoin. We have developed our code to take advantage of these alternatives and are not solely relying on the continued success of bitcoin.

At this time we are going to take pre IPO investments of 200BTC in the form of BTC only. Pre IPO investors will see a discount to all future stocks sold. These shares will be nonvoting but will reflect a proportional percentage of all revenues the company generates.

In the second round of funding we are only offering 50,000 of a total 500,000 gpumoney shares. 400,000 will be reserved for the initial investors and the developers. Pre IPO shares will be sold at .2 BTC each.

Please feel free to ask any questions. A this time, we would not like to disclose our very aggressive marketing strategy or the specific details of the coding but will try to answer your questions to the best of our ability.


Edit: Changed the valuation of the company and number of shares that will be sold.

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[Philj]

Interesting idea.

[Tachikoma]

Very interesting idea indeed. I'm currently having a pilot doing almost the same thing as GPUMoney. Basically it's a wrapper around Bitcoin mining and paying users not in Bitcoin but in some other form of payment. In my case I'm giving out credits that can be spend on hosting services.

How many investors are you looking for to cover the first 200 BC? Any expected RoI numbers you can work out?

[Sukrim]

Will this venture be listed on GLBSE, MPEX or somewhere else?

Will you accept BTC deposits to GPUMoney accounts instead of mining too?

Will your mining client be open source - and will it only do BTC mining or "other calculations" too?

Can I run e.G. a BFL Single as well with your client? In the end it could just work like this that you give me a BTC address and anything that arrives there (via mining, transactions...) gets pulled over to your site and credited to my account. Then you'd just need to create a fancy GUI mining client + pool where users only need to input their payout address and done.

[DeathAndTaxes]

Given the proposal as written it seems an awesome deal for investors IF gamers sign up in droves.

Still I am not sure why gamer would do it?

Your estimation is avg gamer can pull in 60 MH/s.  Sounds realistic.  At 24/7 mining that is $6.00 per month.  Say avg gamer is more like 10-12 hours a day "most" days.   That is ~$2.50 per month.  Your post seems to indicate half will be taken as profit.  That leaves $1.25 per month.  

So in return for heat, noise, electrical cost, and wear and tear the gamer gets ~$1.00 in free stuff each month? Of course that assumes almost all of the expenses is in paying gamers.  Any non-payout expenses (staff, integration, developers, etc) reduce that further.

Do you have any more detailed profit loss or cashflow estimates to share with investors?

[DeathAndTaxes]

Can I run e.G. a BFL Single as well with your client? In the end it could just work like this that you give me a BTC address and anything that arrives there (via mining, transactions...) gets pulled over to your site and credited to my account. Then you'd just need to create a fancy GUI mining client + pool where users only need to input their payout address and done.

If you are an experienced miner with a BFL Single why would you want to use this.  It is essentially a mining pool with a 50% fee.  The main draw would be the ease of user for non-Bitcoin users.  No need to figure out miner software, no need to create pool accounts, wallets, exchange accounts, figure out how to cashout, etc.

[Sukrim]

1 USD/month would mean a free game every 2-4 years or so... Not something most parents would accept to let junior keep his PC on full throttle each night...
Also there is already a service like this - with huge 30-40% fees and without the (against TOS in most cases) gaming part - operating for about a year already. You load a miner and get paid in fiat over Paypal...

Also I hate the idea of patents in the mining sector... especially in the USA where software patent trolls nearly sue you if you use a "graphical user interface that takes input from users and displays output depending on inputs".

[ElectricBrain]

Very intrigued, I saw the link in your footer and got curious. I visited your site earlier, but it was vague. I figured I'd read about this soon enough! Good luck with this!

[filharvey]

I've looked at this idea several times, yes u can get income, but what happens when the parents sue u? It will happen when kids leave their machines on for credits and parents power bills double or treble?

[Coinabul]

At this time we are going to take pre IPO investments of 200BTC in the form of BTC only. Pre IPO investors will see a discount to all future stocks sold. These shares will be nonvoting but will reflect a proportional percentage of all revenues the company generates.

In the second round of funding we are only offering 100,000 of a total 1,000,000 gpumoney shares. 900,000 will be reserved for the initial investors and the developers. Pre IPO shares will be sold at .2 BTC each.

Please feel free to ask any questions. A this time, we would not like to disclose our very aggressive marketing strategy or the specific details of the coding but will try to answer your questions to the best of our ability.

100,000 shares at .2 BTC each? So that's 20,000BTC... so $100,000. Since that's 1/10th of the company... You're giving yourself a valuation of 1 million without a single customer yet? Do you even have a prototype yet?

[imsaguy]

At this time we are going to take pre IPO investments of 200BTC in the form of BTC only. Pre IPO investors will see a discount to all future stocks sold. These shares will be nonvoting but will reflect a proportional percentage of all revenues the company generates.

In the second round of funding we are only offering 100,000 of a total 1,000,000 gpumoney shares. 900,000 will be reserved for the initial investors and the developers. Pre IPO shares will be sold at .2 BTC each.

Please feel free to ask any questions. A this time, we would not like to disclose our very aggressive marketing strategy or the specific details of the coding but will try to answer your questions to the best of our ability.

100,000 shares at .2 BTC each? So that's 20,000BTC... so $100,000. Since that's 1/10th of the company... You're giving yourself a valuation of 1 million without a single customer yet? Do you even have a prototype yet?

Way to threadshit using a PR account.

[grue]

@ DandT: We will have raffles and lottery for high valued items where members only have to mine to get a chance to win. They will only have to be active to eligible to win. We will also have an aggressive referral system where members can gain GPUMoney credits just by signing others up.

That still doesn't solve the problem though. No matter how you cut it, the expected income per month is way too low to attract anyone's attention. With raffles, the odds will simply be extremely small. Having your computer running 24/7, dealing with the extra heat, noise and electricity cost, and all you get are raffle tickets worth aproximately $2? No one will fall for that; they will get bored and quit after a few weeks.

Way to threadshit using a PR account.

he probably forgot to sign out.

[Coinabul]

At this time we are going to take pre IPO investments of 200BTC in the form of BTC only. Pre IPO investors will see a discount to all future stocks sold. These shares will be nonvoting but will reflect a proportional percentage of all revenues the company generates.

In the second round of funding we are only offering 100,000 of a total 1,000,000 gpumoney shares. 900,000 will be reserved for the initial investors and the developers. Pre IPO shares will be sold at .2 BTC each.

Please feel free to ask any questions. A this time, we would not like to disclose our very aggressive marketing strategy or the specific details of the coding but will try to answer your questions to the best of our ability.

100,000 shares at .2 BTC each? So that's 20,000BTC... so $100,000. Since that's 1/10th of the company... You're giving yourself a valuation of 1 million without a single customer yet? Do you even have a prototype yet?

Way to threadshit using a PR account.

Not a threadshit. Just a valid question.

[terrytibbs]

Way to threadshit using a PR account.

It's a valid question. Piss off.

@ DandT: We will have raffles and lottery for high valued items where members only have to mine to get a chance to win. They will only have to be active to eligible to win. We will also have an aggressive referral system where members can gain GPUMoney credits just by signing others up.

Your million dollar company will base its operations on allowing users to spend tens or hundreds (?) of dollars in power bills, in exchange for a $1 unit of virtual currency and... raffles?

[Sukrim]

Not to forget: As difficulty increases, GPU mining will be slowly driven out of business if the exchange rate doesn't go up. It can change quite a bit over time - how will you tell your customers that next month they will only get 50 Cents instead of one Dollar for the same amount of work + uptime?

[terrytibbs]

Not to forget: As difficulty increases, GPU mining will be slowly driven out of business if the exchange rate doesn't go up. It can change quite a bit over time - how will you tell your customers that next month they will only get 50 Cents instead of one Dollar for the same amount of work + uptime?

To summarize, mining is a fixed-sum-game. As your service gains more and more users, their piece of the pie decreases. To compensate, the exchange rate needs to rise correspondingly; let's just say it hasn't so far.

This is not a sustainable business model. Trust me, I'm a doctor scammer.

[bulanula]

This is not a sustainable business model. Trust me, I'm a doctor scammer.[/quote]

Best joke today !

I think this might work because of the little children that don't care about the heat and the power bill for a magical sword or something ...

[Sukrim]

They might care about the noise, the heat, the fact that their GPU is likely to die quicker and the people who tell them it's a scam and they create money that is used to buy drugs or something... also you can't play while mining usually, another big deal breaker.

[rjk]

Bitcoin will be the lowest form of “mining” we will do. We clearly will use the GPUs for something else if it pays more. As many of you know bitcoin is not the best thing to be “mining” right now. The few of you who are large enough to rent out time to universities and private labs know how profitable this can be. It might turn out that mining with GPUMoney will gain the user a higher return than mining bitcoin at a pool.  Having a very large centralized and reprogrammable specialized supercomputer does get a premium in the market today. I am an American citizen and will register the company in the USA so we will be able to access this market more effectively.

Sweet, a legal password cracking botnet!

[mem]

1 USD/month would mean a free game every 2-4 years or so...

It is essentially a mining pool with a 50% fee.

100,000 shares at .2 BTC each? So that's 20,000BTC... so $100,000. Since that's 1/10th of the company... You're giving yourself a valuation of 1 million without a single customer yet? Do you even have a prototype yet?

So a massive tax of 50% in exchange for 0 effort mining, I like the idea - I think its an absolutely terrible business model (no client aware of BTC will use it and a 50% tax ensures you will have competition undercutting you everywhere) but if it works it will be a ludicrous business model.

As for valuing your idea at $1'000'000 and asking for investors for $100'000..... good luck it seems some people here think its a good idea.

Try to remember kids above all others are extremely tech savy and quick to learn, they will figure out BTC mining in no time when they realize they can double their profits.

I might start tinkering with mining pool software myself. I believe there are many people  that would take the easy route if the tax was more reasonable.

Pool + Miner + frontend that requests Paypal addy = Profit ??

The bitcoin community is highly intelligent and pretty good at maths. The average gamer is not.

Referring to your target demographic as idiots on a public forum is not a good start PR wise