Quote from: Ac3Upz on June 23, 2013, 01:35:29 PM

Hello furuknap,
I have a few questions for you:

1) I remember that you defended the PAJKA.BOND several days ago (at the time it was cca 0.08 for 3 MH/s share), are you still holding the shares? Or did you managed to sell them with profit or loss?

2) What is your estimate of avarege difficulty rise in 3-12 months?

3) What is your estimate of difficulty rise from now to August when you start mining?

4) What do you think is the probability that the amount you can gain from IPO would be bigger than the total amount paid in dividends? (the price of share will fall unless the difficulty drops, which is almost impossible with ASICs arriving).

Thanks for your questions (and to everyone who witnessed it, sorry about the sniping fire yesterday),

1. I still hold PAJKA shares, but I also bought and sold some shares in the meantime (so far with a profit). I have held some shares for a long time, and rebought immediately after they were bought just over a month ago. Like many investors, the first thing I do after I buy any asset is put them up for sale at the price I would sell them. In my case, someone came in a couple of months after I bought and bought those shares at that price.

Whether I make a loss is stil to be decided, I'm in no rush to sell them, but I realize that with the latest difficulty changes and the new assets on the market, that prices have dropped.

2. I'm still hesitant to predict difficulty changes, but I've been pretty open about the fact that I'm far less pessimistic on behalf of mining investments than seems to be the case for a lot of investors. I specifically think that the perpetual proportional growth theory is bullshit.

3. When I did my initial calculations during the design of this contract in late May, I estimated a total network hashing power of 250TH/s on August 1. That included the addition of 100TH plus a 10% growth per month, which may have been too low. I'm still hesitant to speculate in difficulty :-)

4. I believe dividends paid out will exceed any IPO funds by a reasonable amount, which is why I made this asset the way it is and have no problem selling this to long-time friends who want to get on board.

The most comparable and competitive asset on the market right now is TAT.VM, which has fallen to about the same level as BFMines since I announced this asset. Obvioiusly, and like I've written in previous articles, the most important thing in evaluating a mining contract is price, but I also believe that competition is vital to a fair pricing, like I wrote in the announcement blog post. I believe this asset will make a profit for investors, and thus I also hold the same opinion for TAT.VM at these levels.

It may have gotten lost in yesterday's distractions, but the other comparatively priced asset DMS.Mining behaves like a mining contract in terms of dividends but not in terms of pricing. I don't see that as a directly comparable asset due to this as it requires a more hands-on management from investors and carries more risk of price swings than straight mining contracts. As such, for investors that want an exit possibiity, DMS.Mining is a more risky proposal.

.b