2) You have kept the reinvest percentage at 50 - but it is likely to fall. Our costs are in FIAT so if BTC doubles we would only need 25% of mined BTC instead of 50% to keep the reinvest fund at the same level (in USD terms). So If BTC goes to 3k by end of February we would only need a third as much BTC to keep the reinvest fund on course. So the time to full 0.0025 div payout per share should be less than 5.5months as a result.
We must keep reinvestment at least 50% no matter the bitcoin price.
The matlab model I posted had an ever increasing bitcoin price with reinvestment still at 50% and showed that we are going to be very much on the edge of maintaining our hashrate.
If bitcoin goes higher and higher, it is in our best interest to keep on investing 50% no matter what, because we need to expand our mining ability as much as possible.
In the long run we make more money keeping reinvestment at 50% and above, if we ever drop below 50% the competition will destroy us.
The good news is that we will make a lot of dividend, but I urge shareholders to encourage Ken to never drop the 50% reinvestment even if Bitcoins are $500,000 each. We must keep reinvesting.
Please do not drop below 50%, please.
You mention keeping the reinvest fund on course with the same amount of fiat if bitcoin increases, unfortunately this will ruin our company in just a couple of months. If bitcoin price increases we have to take advantage and keep 50%.
Get out a calculator or write a program to do the modelling yourself. You will see that if we do what you say, drop the percent of reinvest to keep the fiat amount the same when the bitcoin price rises, we will fall behind fast.
Please see the matlab model I made, it really shows all of this.
(Even reinvesting 50% when bitcoins are growing up to $10,000 over a year or two still does not guarantee we maintain our percent of the network.)
TL:DR
My model shows in the long run we make more dividend keeping reinvestment at 50% even if bitcoin prices keep rising. If we opt for more bitcoin dividend now whilst rising bitcoin prices we fall behind fast
The main goal should be taking a large percentage of the hashing power, by any means necessary.