Dear Boyah, I offer you an investment opportunity.

[snoorkel]

if we set it up in the DC we'd need a system that could hash 1 block per week on average, making ~$1111/mo (already over the cost of the entire rack lol) ---> 3 systems mining 12 blocks/mo = ~$3333/mo ---> move to our own rack, no bandwidth but premium power, full rack of systems mining 48 blocks/mo = $53328/mo (net). Buyout some small btc exchanges, rebrand as BTCNext, weight prices better than anyone else, SEO, BOOM RICH do your eyes have btc signs in them yet??

[applesauce]

if we set it up in the DC we'd need a system that could hash 1 block per week on average, making ~$1111/mo (already over the cost of the entire rack lol) ---> 3 systems mining 12 blocks/mo = ~$3333/mo ---> move to our own rack, no bandwidth but premium power, full rack of systems mining 48 blocks/mo = $53328/mo (net). Buyout some small btc exchanges, rebrand as BTCNext, weight prices better than anyone else, SEO, BOOM RICH do your eyes have btc signs in them yet??

1 block/week would be ~9.3 Giga Hash/s, which is more than any single machine can produce. 2-2.5 gh/s is about the max from what I can find...that would be pretty expensive to get 4 of those, and it would take a LOT of power (actually probably right around your 4.8 Kw limit).

[applesauce]

Yeah, based on my rough calculations, to mine 1 block per week on average it would take 4 systems each with 6 cards, pulling about 5.6 Kw in GPU alone, and costing about $4,300 in (used) GPUs.

[snoorkel]

1 block/week would be ~9.3 Giga Hash/s, which is more than any single machine can produce. 2-2.5 gh/s is about the max from what I can find...that would be pretty expensive to get 4 of those, and it would take a LOT of power (actually probably right around your 4.8 Kw limit).

probably so. 1 block/wk wouldn't be necessary at all, just really nice, and the power is only about $700/mo so in the fantastical situation where we actually did this, supplying the power would be relatively inexpensive and no trouble whatsoever (it's  a dc, after all)

I mean yeah it's not feasible to make $50k/mo mining bitcoins, especially because it's not easy to just convert a large number of them into cash, but this is definitely a viable scheme that could start profiting 5k/mo within 3 months of setup. I'll be interested to see how your dorm run goes

Yeah, based on my rough calculations, to mine 1 block per week on average it would take 4 systems each with 6 cards, pulling about 5.6 Kw in GPU alone, and costing about $4,300 in (used) GPUs.

that's not even out of the question -- if we had a good way to funnel the coin into cash, 4 blocks per month would make somewhere around $1000/mo (at current rates, which are climbing steadily from when i last checked several weeks ago), which would be just about the cost of the rack. double that setup, and you'd have the startup capital made back in 2 months making unmolested profit on anything over $1000 thereafter, up to the rack power quota. damn solid business plan.

[applesauce]

probably so. 1 block/wk wouldn't be necessary at all, just really nice, and the power is only about $700/mo so in the fantastical situation where we actually did this, supplying the power would be relatively inexpensive and no trouble whatsoever (it's  a dc, after all)

I mean yeah it's not feasible to make $50k/mo mining bitcoins, especially because it's not easy to just convert a large number of them into cash, but this is definitely a viable scheme that could start profiting 5k/mo within 3 months of setup. I'll be interested to see how your dorm run goes


that's not even out of the question -- if we had a good way to funnel the coin into cash, 4 blocks per month would make somewhere around $1000/mo (at current rates, which are climbing steadily from when i last checked several weeks ago), which would be just about the cost of the rack. double that setup, and you'd have the startup capital made back in 2 months making unmolested profit on anything over $1000 thereafter, up to the rack power quota. damn solid business plan.

Yeah, as long as the market doesn't crash and you can get cheap power, it is money to be made at a large scale. Obviously we don't have much to invest in the one we are setting up right now, but we should be making a pretty good amount on our investment.

[snoorkel]

we shall reconvene in some weeks. it is not unlikely that I could invest a few thousand in this later in the year, especially if there were some web platforms linked to it

[piano moths]

if you guys keep posting about this I would be interested in investing especially if vziard is involved

[strongbad]

I'll invest!

[LCK]

yeah this sounds kind of interesting

[applesauce]

I'll invest!

If you are still interested once we order things in the next couple days, we can figure this out exactly as to the percentage and such. How much are you thinking?

[snoorkel]

this would be the idea:

[youtube]http://www.youtube.com/watch?v=eLt8Se3vVNg[/youtube]

except in a dc with proper networking, cooling, security, and possibly in rackmountable cases to save space (but it's also possible to rent plain racks ((like literally just racks)) to put desktops on)

if your numbers are right, a rig half that size could mine ~10 blocks/mo, $2,500/mo if converted directly to monies... less operating expenses like $1200-1500/mo profit, and the expense would be fixed as it grows; if you spent all the initial profit on new hardware it could be churning out 20 blocks/mo // $3,000/mo profit within a few months, then just sit back and let it repay the startup cost (which would be like $7,000 for 10 of those machines assuming you could somehow get wholesale 5970s), then do more cool shit.

sorry i just like thinking about things like this lol

[strongbad]

this would be the idea:

[youtube]http://www.youtube.com/watch?v=eLt8Se3vVNg[/youtube]

except in a dc with proper networking, cooling, security, and possibly in rackmountable cases to save space (but it's also possible to rent plain racks ((like literally just racks)) to put desktops on)

if your numbers are right, a rig half that size could mine ~10 blocks/mo, $2,500/mo if converted directly to monies... less operating expenses like $1200-1500/mo profit, and the expense would be fixed as it grows; if you spent all the initial profit on new hardware it could be churning out 20 blocks/mo // $3,000/mo profit within a few months, then just sit back and let it repay the startup cost (which would be like $7,000 for 10 of those machines assuming you could somehow get wholesale 5970s), then do more cool shit.

sorry i just like thinking about things like this lol

dude i'm in

If you are still interested once we order things in the next couple days, we can figure this out exactly as to the percentage and such. How much are you thinking?

Uhhh I'll let you know once you have percentages figured out

[applesauce]

Very cool, Snorkel. I'm a little confused as to how the power is sold when you exceed 4.8 Kw...this is somewhat relevant.

And yeah, before investing in something so large we would have to take a very detailed look at the hash rate per $ of investment and per watt. For our first one we're getting cards that we could theoretically put in our own desktops should the market crash completely or something, rather than resell them on eBay or criagslist. Obviously in the event of a total bitcoin crash, the market for used mid to high end AMD cards would be totally flooded, just as the healthy bitcoin market is sustaining urren prices on such cards.

We're reusing an old cooler master case (one of 3-4 we have lying around the apartment). Just used a dremel to drill out the rivets on the hard drive cage-- it actually removed really nice and clean. Now less restricted airflow between the from fan and the cards, but more importantly, room to install a pair of 11" cards, yum, yum.

Also, I'm going to set up my old laptop which has a broken screen that I never replaced to mine. It has a 5870m, so should do alright for a laptop. I'm guessing ~$20 per month, but I can't find any numbers on it so we'll see. Not the most efficient, but with free power why not?

[Socks]

It's like my sense of reality refuses to compromise this far.

[applesauce]

So, we now have my old laptop (with a 5870m) set up mining. Pulled the backplate off and the hard drive out, put everything on a 4GB flash drives, and put a pair of 80mm fans over the GPU. Presto!




Now mining in the BitClockers pool with a hash rate of ~112mhash/sec from our apartment. Assuming it stays stable and all overnight, we will move it to MSV tomorrow afternoon, and if it sets up fine there we're going to order the parts for the second, primary machine, totaling $353.81. Should hash around 350-400mhash/s. At $353.81 in total, we want to sell shares of the machine in blocks of 10%, for $35.38 each. For every 10% you buy, you will get 10% of the total BTC payed out to that machine, as well as 10% of the resale if we were to sell the machine back.