so he just paid all income from batch 1 for producing batch 2, and all income from batch 2 will be used for producing batch 3 etc?
Yes, that is how I am guessing it will happen. If we guess batch 2 is 20PH being sold at $0.5/gh that would earn ~$10,000,000 which would be enough to purchase 50PH worth of wafers which could then be sold for $25,000,000.
Basically turning $4 million in to $25 million.
*Numbers are extremely approximate but I think it shows why reinvestment is a good idea.
I think the question is, have we entered in an infinite loop of reinvestments, or someday those gains will be paid as dividends?
What happened to those aggressive dividends?
Of course, as time ticks on, and
BTC ticks
UP the later the div the lower the BTC denomination. Maybe even to the point that $10M in BTC NOW will be worth more than $25M in BTC 3 months from now. Speculation. But worthy of thought. Since we don't have all of the information, we can believe that friedcat has maximum shareholder (himself included) benefit in mind, or we can sell to those that do.