ASICMINER: Entering the Future of ASIC Mining by Inventing It

[hcburger]

Is it possible that the "low transaction number per block" problem has been solved?
E.g. this block
http://blockchain.info/block-index/411874/0000000000000038473a6c40b4fd8b0c78eaa597292e2ebd1107b8fdfdbec11d
contains 619 transactions and 0.37 btc in transaction fees.

[1714154347]

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[stefffe]

With the last increasement in price of bitcoin, selling started again. It´s clear, with price higher the company gets more value, but actually its an overvalue.
Thats the only bad thing about investing in BTC, when BTC price is on the rise, share price will fall.
Cheap shares yeah, but lack of liquidity don´t let you sell your shares you hold as fast as you want too. Especially when price is increasing during sleeping time, because Bitcoin markets are open 24 hours. That´s another problem.
I know most people know this, but I just wanted to make that clear.

Yes indeed, I want to sell my btc now to make a decent profit. Too bad I invested 99% of my btc in asic mining, there is no way Im gonna sell them now :/

[FloatesMcgoates]

With all the scam talk revolving around activeminer and labcoin, I think that people will come to realize that there is substantial value in knowing for sure that ASICminer is a legitimate business with a solid history, prices should rise after this mess over at those stocks.

[SmiGueL]

Based on data here:
http://www.asicminercharts.com/live/
I would bet 1BTC that we will see (at least once) the 24h-average equal or above 80TH/s, during the next 48h. Anybody takes it?

I'll take your bet.

Just a few more blocks in the next hours.. This is getting more exciting than I thought.
<sub>Little chance, but it IS still possible ^^ | 6 blocks in ~4h should be enough.



This image is just for illustration purposes. The actual hashrate can (and have to be be) calculated and verified from data in the blockchain.</sub>

[JimiQ84]

Based on data here:
http://www.asicminercharts.com/live/
I would bet 1BTC that we will see (at least once) the 24h-average equal or above 80TH/s, during the next 48h. Anybody takes it?

I'll take your bet.

Just a few more blocks in the next hours.. This is getting more exciting than I thought.
_{Little chance, but it IS still possible ^^}

My sentiments exactly. I didn't expect so close result

[BitCsByBit]

AM hashrate is back up. It seems to be the all time high, around 80TH/s.

this is called luck and variance

Often, some noobs under-estimate the effect of variance, and get crazy every 6 hours "it's up!", "it's down!".
But this time, I fully agree. This is not variance. They were undoubtedly having a low hashrate these last days, around 30TH/s, and they are now way higher. The possible range of this "way higher" is still large given that the increase is recent, but it will shrink over time and we should get a reasonable approximation in 48h. Personally, I think we will be higher than the previous high of ~60TH/s. I expect 80 or higher.

My hypothesis is that the recent low was due to some work required to extend the farm. Now the extension is being turned on... Welcome the new hash rate!  

Almost 48 hours later and it is clear that it wasn't just variance.   

[conv3rsion]

With all the scam talk revolving around activeminer and labcoin, I think that people will come to realize that there is substantial value in knowing for sure that ASICminer is a legitimate business with a solid history, prices should rise after this mess over at those stocks.

Its obvious now that there are liquidity problems. AM saw a bump after BTCGarden failed and will see further bumps as other competitors fail, just as the simple announcements for AMC / Activeminer and labcoin caused AM prices to drop.

Now what I don't understand is the now very obvious inverse correlation between BTC / fiat exchange rate and AM shares. If anything, an increase in BTC / fiat exchange rate should bolster AM share prices because fixed expenses (data centers, bandwidth, manufacturing) are paid in fiat, not in BTC. An increase in BTC / fiat exchange subsequently decreases the percentage of BTC that needs to be exchanged to cover those costs and increases the percentage of BTC that can either be retained or paid in dividends. Therefore an increase in BTC / fiat should increase the value (in BTC) of AM shares, but instead the opposite has happened consistently for several months.

This makes absolutely no sense to me. If anyone has any theories for this, I'm all ears.

[2weiX]

With all the scam talk revolving around activeminer and labcoin, I think that people will come to realize that there is substantial value in knowing for sure that ASICminer is a legitimate business with a solid history, prices should rise after this mess over at those stocks.

Its obvious now that there are liquidity problems. AM saw a bump after BTCGarden failed and will see further bumps as other competitors fail, just as the simple announcements for AMC / Activeminer and labcoin caused AM prices to drop.

Now what I don't understand is the now very obvious inverse correlation between BTC / fiat exchange rate and AM shares. If anything, an increase in BTC / fiat exchange rate should bolster AM share prices because fixed expenses (data centers, bandwidth, manufacturing) are paid in fiat, not in BTC. An increase in BTC / fiat exchange subsequently decreases the percentage of BTC that needs to be exchanged to cover those costs and increases the percentage of BTC that can either be retained or paid in dividends. Therefore an increase in BTC / fiat should increase the value (in BTC) of AM shares, but instead the opposite has happened consistently for several months.

This makes absolutely no sense to me. If anyone has any theories for this, I'm all ears.

That's because in some peoples' minds the BTC/USD is inversely tied to difficulty.
Also, the BTC/USD spike is biggest on mtgox and should thus be disregarded / discounted.

[DeathAndTaxes]

With all the scam talk revolving around activeminer and labcoin, I think that people will come to realize that there is substantial value in knowing for sure that ASICminer is a legitimate business with a solid history, prices should rise after this mess over at those stocks.

Its obvious now that there are liquidity problems. AM saw a bump after BTCGarden failed and will see further bumps as other competitors fail, just as the simple announcements for AMC / Activeminer and labcoin caused AM prices to drop.

Now what I don't understand is the now very obvious inverse correlation between BTC / fiat exchange rate and AM shares. If anything, an increase in BTC / fiat exchange rate should bolster AM share prices because fixed expenses (data centers, bandwidth, manufacturing) are paid in fiat, not in BTC. An increase in BTC / fiat exchange subsequently decreases the percentage of BTC that needs to be exchanged to cover those costs and increases the percentage of BTC that can either be retained or paid in dividends. Therefore an increase in BTC / fiat should increase the value (in BTC) of AM shares, but instead the opposite has happened consistently for several months.

This makes absolutely no sense to me. If anyone has any theories for this, I'm all ears.

Very simple solution people have BTC and the are speculating on a rise in the fiat value of that BTC.  They see ASICMiner as a was to "boost" their returns.  If BTC exchange rate triples well you tripled your money BUT if BTC exchange rate triples AND you get 30% dividend you quadrupled your money.

These "investors" are very weak hands.  They are essentially using ASICMiner like a weekly money market funds.   When the exchange rate spikes they want to sell some BTC for USD, except to do that they need to sell ASICMiner shares for BTC first.

[freedomno1]

I have collected some management pieces from The Business Cat song:
and linked them all together. Check it out

http://youtu.be/qNhycX0XCJ0

That should shed some soundful light onto how things are being run by cats

I don't know why but this amused me
Make your lyrics into a youtube video perhaps to challenge the best bitcoin song so far
http://www.youtube.com/watch?v=WdrSP0V-KLg

Therefore an increase in BTC / fiat should increase the value (in BTC) of AM shares, but instead the opposite has happened consistently for several months.

This makes absolutely no sense to me. If anyone has any theories for this, I'm all ears.

As the value of each bitcoin increases in value, the share value of AM which is measured in bitcoin decreases relative to other prices meaning that as we see higher prices it cost less bitcoin per share of AM.
Lower prices mean it cost more bitcoin per share of AM.

(edit other posts above are also correct)

[2weiX]

With all the scam talk revolving around activeminer and labcoin, I think that people will come to realize that there is substantial value in knowing for sure that ASICminer is a legitimate business with a solid history, prices should rise after this mess over at those stocks.

Its obvious now that there are liquidity problems. AM saw a bump after BTCGarden failed and will see further bumps as other competitors fail, just as the simple announcements for AMC / Activeminer and labcoin caused AM prices to drop.

Now what I don't understand is the now very obvious inverse correlation between BTC / fiat exchange rate and AM shares. If anything, an increase in BTC / fiat exchange rate should bolster AM share prices because fixed expenses (data centers, bandwidth, manufacturing) are paid in fiat, not in BTC. An increase in BTC / fiat exchange subsequently decreases the percentage of BTC that needs to be exchanged to cover those costs and increases the percentage of BTC that can either be retained or paid in dividends. Therefore an increase in BTC / fiat should increase the value (in BTC) of AM shares, but instead the opposite has happened consistently for several months.

This makes absolutely no sense to me. If anyone has any theories for this, I'm all ears.

That's because in some peoples' minds the BTC/USD is inversely tied to difficulty.

Increased difficulty means either
- lower dividend expectation at constant fixed costs
- stable dividend expectation at higher fixed costs (new hardware necessary).

Both have negative effect on expected revenue, thus prompting to sell.

Also, the BTC/USD spike is biggest on mtgox and should thus be disregarded / discounted.

[bigdude]

speaking of fixed costs ...

At 60-70TH/s - what would be the costs of electricity, hosting (the DC) and other fixed costs??

What about at 500TH/s?

[conv3rsion]

That's because in some peoples' minds the BTC/USD is inversely tied to difficulty.
Also, the BTC/USD spike is biggest on mtgox and should thus be disregarded / discounted.

Difficulty has generally followed price whenever price has increased (though not necessarily when price has decreased). This makes sense intuitively because an increase in price increases the viability of mining up and until the subsequent increasing difficulty then reduces the viability of mining.

However, the current exponentially growing rate of difficulty is driven both by the order of magnitude increase in BTC / fiat and by the (multiple) order of magnitude increases in hashing rate from the use of ASICS. This may prove to be the fastest increase in difficulty that Bitcoin ever goes through.

Whats never been clear however is that the increases in difficulty then eventually result in further increases in the BTC / fiat rate. In fact, the opposite has been true with Litecoin, where difficulty increased until it wasn't sufficiently viable and then decreased slightly, while the price of LTC itself has been steadily decreasing since April. This is actually very similar to what happened to BTC in fall 2011.

Regarding the price spike, BTC is up across the board by at least 20% in the last 5 weeks (discounting gox). It seems there is growing consensus that the BTC price bubble has finally ended, and given its relative magnitude to the 2011 summer bubble, its very possible that it has. More interesting (to me) is that the exponential growth in difficulty has nearly doubled the temporary BTC inflation rate for a period of now nearly 3 months. That will (obviously) not continue over any substantial period of time for reasons that should be self evident.  

Think about what that means for what is to come. I know what I'm doing.

[binaryFate]

Based on data here:
http://www.asicminercharts.com/live/
I would bet 1BTC that we will see (at least once) the 24h-average equal or above 80TH/s, during the next 48h. Anybody takes it?

I'll take your bet.

Just a few more blocks in the next hours.. This is getting more exciting than I thought.
<sub>Little chance, but it IS still possible ^^ | 6 blocks in ~4h should be enough.



This image is just for illustration purposes. The actual hashrate can (and have to be be) calculated and verified from data in the blockchain.</sub>

5.5h to go... It will be hard for me...
The hashrate does not look bad anyway, I still find likely that they finally increased the farm above 60.

[Lohoris]

- how long has Friedcat been holding back dividends
- how much has he held back

Would it help if friedcat releases a cashflow statement everytime a dividend payment occurs?

e.g. something like:

x BTC dividend payment  = x BTC revenue -  x BTC withheld

then the market can build their own balance sheet during the release of financial statements...

It would help a lot.

[binaryFate]

Guys, I missed this, what with labcoin panic? Was there some news to trigger this? Looks good to me hehe 

activemining seems to dip right now on btct, any possible link with labcoin panic?

[freedomno1]

Guys, I missed this, what with labcoin panic? Was there some news to trigger this? Looks good to me hehe  

activemining seems to dip right now on btct, any possible link with labcoin panic?

They are late, Theswede said he can't contact the founders and he is the PR Rep, the developer does not want people to know his association with labcoin, and a few hero members cashed out at least that's what I got recently.

(Edit in: All Fear Dissipated by news Panic Buy)

Activemining people complaining that KenSlaughter has not released any real news and the EASIC agreement is the source of the conversation but nothing has happened. Lack of communication.

AM: More Hash

[darrenyu]

Guys, I missed this, what with labcoin panic? Was there some news to trigger this? Looks good to me hehe  

activemining seems to dip right now on btct, any possible link with labcoin panic?

Labcoin panic due to no news and no chip on 8/26 they promise.
There should be website update and news about chip of Labcoin.
I think ASICMINER is the No1 and safe investment.

[BitCsByBit]

Guys, I missed this, what with labcoin panic? Was there some news to trigger this? Looks good to me hehe  

activemining seems to dip right now on btct, any possible link with labcoin panic?

Labcoin panic due to no news and no chip on 8/26 they promise.
There should be website update and news about chip of Labcoin.

Labcoin has posted an update.

[freedomno1]

Guys, I missed this, what with labcoin panic? Was there some news to trigger this? Looks good to me hehe  

activemining seems to dip right now on btct, any possible link with labcoin panic?

Labcoin panic due to no news and no chip on 8/26 they promise.
There should be website update and news about chip of Labcoin.
I think ASICMINER is the No1 and safe investment.

Well now super buy in on news so left the post in speculation