Post
Topic
Board Securities
Re: ASICMINER Speculation Thread
by
velacreations
on 13/08/2013, 20:17:25 UTC
And who says AM has to stay at 13%?  Why not 30%?

Thats my point - at 13% the maths don't work, even adding an extra 50% to mining revenue for hardware as in the post above gets to earnings of 4 BTC over 10-15 years on a 4 BTC investment - wow 0% return......

My point is simple - if AM do not increase their hashrate a lot, the shares are over-valued.....

ok, so you admit that hardware adds a considerable amount of profit, but what about franchising?

With mining, franchising and hardware sales, AM can literally have a hand in over 50% of the network.  So, by your own figures, 9.5M /2 = 4.25M btc.  Even at 30% of the network, that's 2.85M btc.

Of course, this all ignores fees in the future...

Quote
Mark my words, if AM can get back to 20-40% then all is rosy if not then you'll be seeing big falls in price.
That's the nonsense.  When hardware is for sale, mining typically makes up less than 1/2 of the profits.  So, if they can continue to sell hardware, and maintain hash at 15%, then it is like they have 30-40% of the network, because that's the kind of profits they are making.