Post
Topic
Board Securities
Re: ASICMINER Speculation Thread
by
freedomno1
on 09/11/2013, 06:14:03 UTC

Friedcat has either totally lost it or is an utter genius.

edit: selling shovel handles to the people selling shovels.
if you can't beat the competition, sell 'em stuff.

I read it as if you think you can outpace us in mining go for it we will sell the shovel handles and then use that income to build something better to go with our cube.
If we get outpaced serious retail miners will still use the cube to make (your stuff) aka. the competitors hardware more efficient hence the Cube is a unique stream of income and a supplement for its unit production.

At least that's one way of viewing it, by hedging against the hashrate war which may become or turn into a war of attrition they are securing their lines and completely reinventing the ballpark by moving to the eventual end point.

But as AM speculators we are primarily focused on these short term dividends, they prove that their is an income stream coming in and as a result we value them more in the short run, aka money (one cat) in hand is better than money (two cats) in the wild, that said as a long run outcome it is a good strategy, since it not only seems plausible but likely an eventuality that mining will reach that scale after a certain point even if not in the short run.

The idea of AM turning into a swiss army knife, is interesting, by not starting a new company with the funds it has built but instead naturally expanding its scope and the services it provides as a part of the same venture.
As friedcat said nothing is more profitable than bitcoin at this point in time, following that logic it makes sense to extend AM's reaches in the sphere it believes has the most profit.

Mining through hashing, hashing through franchising, and franchising through facilities
Aka: The Gradual evolution of Bitcoin mining as we reach larger scales.

By becoming the first mover in the larger scheme of things and having working asics they will still remain profitable by having advanced services to supplement their hardware and extend their reach which will become a distinct competitive advantage of invincible proportions XD