Quote from: sp_ on October 26, 2015, 05:24:30 AM

Quote from: bensam1231 on October 26, 2015, 04:33:38 AM

Quote from: djm34 on October 25, 2015, 11:01:31 AM

regarding the startup, I think you overestimate the profit which can really be made... (not mentioning that a company would have to rely purely on altcoin (mostly shitcoin) value... looks to me as a very risky business model)
also most of the algos which really count have already been open-sourced, and most miners don't really upgrade their program on a daily basis...

Your entire business model depends on so called 'shitcoins'. You make a living off making kernels for them.

I just had a quick look at the www.coinmarketcap.com site. Yesterday the exchanges traded bitcoins and altcoins for $43 026 823. Bitcoin trades where 89% of the market so the altcoins had a volume of around $5 000 000 per day. According to the coinmarketcap.com site, the total market cap for bitcoins and altocoins together is around $ 4 624 979 409. But coins like sharkcoin and Leocoin and many of the new coins are not included, so the actual marketcap is higher.

Bitcoin marketcap: $4 150 000 000
Altcoins marketcap: $471 000 000

The inflation in the altocoin economy can be as much as 10% (the minable coins) but let's set it to 5%. With 5% inflation in average, the altcoins generate a mining revenue of $23 550 000 per year. $64 520 per day.

Let's say your 0.02% miner was the best in every altocoin algo in the world.. Then you would make $1290 per day.

but..

Many alt's can be mined by ASIC's and FPGAS. The GPU minable coins is perhaps half of that.. $600 per day..

And then somebody steal your kernal and put it on the internet for free. (perhaps with a virus)

And then you end up broke, and wasted alot of time..

The .02% was a typo right? It would 2%. I'm not sure you can figure this out from coinmarket cap. Safer bet would be looking at the hashrate on Nicehash and take part of that. The only big ASIC alt-coin right now is Litecoin, so you can exclude that.

All the cryptos are in the shitter right now. Pretty much everything is going negative at this point. Things like Nicehash don't take into account big farms running private pools as well.

I wouldn't be worried about people ripping off the miner, there are ways of dealing with that, but they take time and money. Encryption, authentication, and verification. Those are just the brute force methods too.

A startup isn't something that makes big money. It's something that gets off the ground. Half a million per year in revenue is enough for a small company employing like 10 people with pretty decent wages. I was originally looking at something like 5-7 people as well. Guess coinmarket math is another way of looking at it.