Quote from: Vycid on September 16, 2013, 02:54:54 AM

If Cointerra is selling at $3/GH, do you see the issue with AM producing at $15?

Quote from: freedomno1 on September 16, 2013, 03:13:29 AM

Your choice of cointerra is not a good sample choice it may be profitable in January but that is a long wait in bitcoin and delays are very common.
http://decentralizedhashing.com/bitcoin-mining-equipment-table/

Quote from: Vycid on September 16, 2013, 02:54:54 AM

The fact that the stiffest competition doesn't deliver until January is the rationale behind a profit margin as high as 75%.

You must understand - all of my estimates are very conservative to offset the factors I may be missing. Yet, with those conservative estimates, the conclusion is still quite clear.

That is why I have such a high degree of certainty while everyone else appears to be purely speculating. It is extremely rare for a situation like this to appear in a market. I suspect it is a result of the bizarre wealth distribution. Many (most?) of AM's shareholders do not really understand finance.

If we assume a worst case a 30% increase in difficulty by the time the units come to market cointerra could well be seeing negative returns if difficulty rises at the speed we have been seeing recently.

This does invoke a premium for the duration of September to January and possibly longer due to the simple factor no one else has been delivering.

If Labcoin really is hashing and reveals their address by Wednesday, if Activemining and Ken start producing, if Avalon didn't delay their delivery and Klondikes were running etc.

Not even mentioning Cointerra and Hashfast or Bitfury.

Then we might say that this profit margin is ridiculous but the point of the matter is a lot of people are speaking but I have not seen any damn action in the other competitors to rile me up

I can't copy the difficulty image (Seriously long url)
But it assumes calculations for difficulty increases vs cost to buy units etc.
http://decentralizedhashing.com/bitcoin-mining-equipment-table/

Still cointerra is ranked better than a BFL Klondike and BFL never delivers ~~anything~~ while its still profitable my opinion on cointerra is dead bearish.