Quote from: bitcoiner49er on June 11, 2013, 05:27:31 PM

Quote from: silicont on June 11, 2013, 03:18:38 PM

Quote from: steamboat on June 10, 2013, 10:42:25 PM

As an aside: Each person should do their own research and calculations to decide if purchasing miners is right for them. That being said, the numbers I have run are based on a very aggressive difficulty ramp up, and show the units will be unprofitable after 9-10 months. That being said, in order to maintain the exponential increase in difficulty, $26 million dollars worth of hardware would need to be introduced in month 3, $54 million in month 5, $110 million in month 7, and so on. This assumes .5btc per gh/s, and there are companies slated to produce miners at a .2.

steamboat, I appreciate your analysis. It means a lot coming from the front man for a product.

What does your increase in hardware comments mean to the equation? Are you suggesting the millions of dollars of hardware to be added is unrealistic, and may stave the rise in difficulty if those millions aren't invested in mining?

Thanks

I think that there will be (already has been) an exponential rise in difficulty, but that will "level" out after the ASIC rush is over. Obviously people will continue to add more miners as time goes on, but just as it was with GPU majority, the difficulty will increase slowly. So instead of adding 5850's for ~400MH/s, you'll be adding Jalapenos/Klondikes/etc for ~5 GH/s; and your improvement with be similar.

+1

People will continue to spend roughly as much on hardware. The only difference is that the new hardware will be 10x faster. This is just the transition where everyone will have to migrate to ASICs if they want to keep their BTC revenue. After that, the regular trend will resume, exchanging K16 Wink

for GPUs.