Hosted Mining Contracts

[Mac]

Came accross this:

https://products.butterflylabs.com/homepage-new-products/1-gh-cloud-hosted-bitcoin-hashing-power.html

 

And I was wondering if it would be worth it, it costs $10.83 for a 12 month contract, I worked out using http://www.bitcoinx.com/profit/ that it will make $116.8 a year, so $0.32 a day.

 

I'm very tempted by this and I want to know other people's opinions before I go and pre-order it.

[Coombzy]

for $10 its worth a shot 

[TheRoss0411]

That sounds beast

[Momas]

You can try it, but I wouldn't spend much on Butterfly Labs pre-orders. By The time you'll get it it won't make any money for you. Also there's no real photo of the miner, maybe it's just in the early stages of making. The card in the picture is just a 3d render and those servers probably are just regular servers.

[Mac]

You can try it, but I wouldn't spend much on Butterfly Labs pre-orders. By The time you'll get it it won't make any money for you. Also there's no real photo of the miner, maybe it's just in the early stages of making. The card in the picture is just a 3d render and those servers probably are just regular servers.

It says they're using those new PCI cards they've made for data centres.

[Momas]

Yes, but why don't they put up any actual pictures of the card? I mean if it exists why use 3D render of the card instead of an actual picture?

[Momas]

They don't have amazing history of pre-orders: http://www.coindesk.com/butterfly-labs-finally-ships-out-last-years-jalapeno-orders/ It's probably still worth trying, but I wouldn't spend too much on it.

[1823alex]

Did you count the difficulty increase?

[Mac]

Did you count the difficulty increase?

I worked it on the current difficulty, but it will still make profit

[RuecanOnRails]

I would recommend avoiding butterfly labs at all costs. Their recent history hasn't shown anything promising, in addition to delays, poor $ per hash, and customer complaints they show no sign of signs of changing.

Why would a company share their profits with you? By selling shares of their ASIC's they are cutting into their own profit margins. I don't see what incentive a company has to do such a thing.

 

As for $10 per G/hash, that's not too bad, but it's not great by any stretch of the imagination.

Give this a read http://www.reddit.com/r/Bitcoin/comments/1oto74/thinking_of_ordering_an_asic_there_is_most_likely/

If you read the BLF specs, you will read these interesting lines.

 

"This is a Pre-Order product which is not yet live. "

"mining contracts are activated according to placement in the order queue, and initialization may take 3 months or more after order."

 

Last time they had similar info, it took over a year for people to receive anything. They are not a reputable company.

 

 

I worked it on the current difficulty, but it will still make profit

 

You cannot go by todays difficulty. In the past two months with 4 difficulty changes (roughly every 2 weeks) each time the difficulty has jumped up an average of 36%. Whatever you are using to estimate take into consideration that within one and a half month the difficulty could more than double unexpectedly.

[Braysive]

I would recommend avoiding butterfly labs at all costs. Their recent history hasn't shown anything promising, in addition to delays, poor $ per hash, and customer complaints they show no sign of signs of changing.

Why would a company share their profits with you? By selling shares of their ASIC's they are cutting into their own profit margins. I don't see what incentive a company has to do such a thing.

The idea of hosting is to get more people into bitcoins. Without people using bitcoin there will be no market and that means no profits.

Edited November 12, 2013 by Braysive

[CPUmodder]

go for it, just don't spend to much in case as mentioned before it turns out that you loose that money