Quote from: adaseb on December 29, 2019, 03:38:28 AM

Quote from: Searing on December 28, 2019, 10:00:18 PM

What I don't understand is the big risks and doubling down by Canaan and Bitmain on 5nm chips for the next set of ASIC miners, supposedly out in Q1 of 2020!

snip

Brad

Isn't every ASIC that is released overpriced however? Even going back to the Antminer S5 which was released during a bear market. People said it was over-priced and then they slashed prices to compete with the SP 20 miner.

Same with the miners before that the Antminer S3 and S4, they were released during a sideways market, were overpriced and most likely any home miner which bought those never ROI'd if you took into account USD fiat rewards.

I am guessing that there are farms that get these miners at a discount and they got tons of capital to run them almost at break-even and they probably only sell during a bull rally. Why they don't just buy the BTC directly I don't understand however.

I agree. But it is not just the big-time miners and data halls. It is Canaan and Bitmain as well, taking huge risks on their on data halls and 5nm chips by Q1. I mean I kinda get

HODL'ing BTC at this time, before halving. But sh*t, it is like anyone Whale with really big BTC hoards has drunk the kool-aid and is balls to the walls on equipment.

Indeed I would expect such equipment to be above 3.25k at least! For what a 15% improvement over 7nm?

Also, from what I can tell, (correct my math please if I'm way off), you will need like a BTC price of at least $10,500 USD at halving, to kinda be at the same mining profitability

as we are now...or at least treading water.

Maybe it is just balls to the wall, beanie baby or dust and Charge of the Light Brigade...but it is way over the top, IMHO, among big-money players in crypto to be swarming like this.

Brad