BITCOINS...tax free money.

It's already in the thread.

But okay. It's a currency. This currency is made by cryptography. (your computer cracks SHA256 hashes) Like all currency's it only has the value of what people think it's worth, and because of the secure nature of cryptography and the fact that people can transfer them immediately anywhere, they have a lot of value to people. So valuable that something similar will eventually likely eclipse nations currencies.

There are wild price fluctuations right now because people are investing in them (like with any currency) sort of wildly. To some of those people, bitcoin is a get rich quick scheme. And most get rich quick schemes don't work, and neither will rapidly investing in a bunch of bitcoins.

But the protocol itself is both a secure and immediate trading venue of a digital 'coin'.

 

who bought some cheap coins

 

not me.. i hate bitinstant! here,s the email i got from them.

Hey there, #####

We’ve recently launched improved security measures related to our Anti-Money Laundering and Know Your Customer processes. We have temporarily limited transactions in some locations, and we apologize for the inconvenience. Your home state is one of these locations.

Read more here: http://blog.bitinstant.com/blog/2013/6/30/website-update.html

We do not have an exact timeframe for reactivation of locations, but we will make an announcement via our website, blog, Facebook page and Twitter account as we enable new locations. We will also send you a notification email when we begin to process transactions for your state.

Again, we apologize for the inconvenience and will let you know as soon as something changes.
Best,

Alyssa
Customer Service Manager, BitInstant


since when does (temporarily limited ) mean not at all? pisses me off!

 

after about a month and a half of playing bitcoin poker i have almost .07 btc

not a lot, but i didn't deposit anything. those are from free rolls and playing with my free roll winnings.

 

Ordered a mining rig from KnC a while back. They said they will deliver in september, so I really hope they keep their word and won't become another BFL...

 

BFL, Butterfly Labs or Big Fucking Lie.

If a miner can pay for itself in a couple months then what company in their right mind would sell them? Retail value has got to be at least double manufacturing costs, that means BFL could set them up and running in a warehouse and they'd be churning out pure profit after 4 to 6 weeks without all the hassles shipping and support. Possibly this is the reason all these rigs are "back ordered", delayed, etc.

A friend of mine who owns a computer shop was joking that he should heat his house with mining servers. The problem is it might pay for it's electrical use but by spring you're probably still 4-5 grand in the hole for the hardware. Maybe you can sell it for cost if the coin value is still good but some day someone is going to be left holding the hot potato. Also remember, the more miners that go online, the less coins each one will make. Mining is a viscous circle / pissing contest and ultimately only a few Asian manufacturers can really win this game.

 

Finally some exciting stuff happening again. Up, up and away. $140 now.

 

Bitinstants been down forever now, gotta Coinbase it, or localbitcoins. Though localbitcoins just went thur a passport image scam.. Price is at a week low, might as well by in. Now that tor browser updates are FBI malware free. Silkroad still has a few good deals, though id wash the coins myself cause bitwash and like just isnt worth the fees imo. Thats all i got on the subject.

 

i read an article the other day about a company that is putting bitcoin ATM style machines in major canadian cities, allowing people to buy them with cash/credit cards and then you just scan a code on the machine with your smartphone and they transfer the coins to your wallet. pretty cool.

 

Might have won the ASIC lottery with my KnC order. Mining rig looks good and should deliver 576+ gigahash. Hopefully they'll ship my order in the next days, can't wait to physically hold it.

 

you spent 5 grand on that thing?!
let me know how it works out, interested.

 

When I bought it the price was $7k. They dropped the price for their 2nd batch to $4,995. Which is set to be delivered somewhere in november, so the price drop is a kinda logical move considering difficulty increase.
I'll keep you updated.

 

I'm thinking of buying november/december hashfast babyjet and then terracoin when it comes out (if I manage to pay off my hashfast by the time terracoin terraminer comes out). Think I should do it? What about mining protection? I have a lot more faith in terracoin than hashfast, but, theoretically I should be able to buy a hashfast unit and have it payed off by the time terracoin comes out, so you guys think I might as well jut do it up? Any other ASICs any of you have tried?

does anyone know if anybody has successfully demonstrated a working hashfast unit IRL yet? I would love to see that IRL before I drop 20 something hundred bucks.

 

Hashing away at around 460 GH/s at the moment, here is the KnC Jupiter mining rig. It should be able to hash over 550 GH/s, so some tweeking needs to be done. It contains 4 ASIC units and uses 1 W/Gh/s. Needless to say I'm happy it arrived!

 

HOLY COW!! Thats insane! can you make five figures a month with this unit?

 

I wish!
At the current difficulty I can roughly make around 1 BTC a day, or perhaps around $4k at the current prince ($160) this month and a little less each month after. However, I want BTC instead of Euros or Dollars and won't sell my BTC unless needed. The plan is to use the BTC I generate to pay off the current Jupiter and make enough BTC to buy KnC's next generation rig with BTC. Or perhaps another one if there is another reliable company that offers good value per Megahash.

Fun fact: half a year ago I could have made $250k a month if I would have had the same rig. (Difficulty factor around 7.6 million and BTC at its highest around $230 on 9 april 2013)

 

Im still not sure why you make less and less. does that have to do with difficulty?

 

Yes, the higher the difficulty the less you can make on average per megahash. This is simply just because there is more power in the total network and thus less chance for you to solve a block (solving a block gives you 25 BTC, but most people mine in pools and therefore don't get the whole block, but just a fraction. Advantage is that you have a more steady income instead of needing to be lucky to solve a block yourself).

Shortly explained why: the total network rate goes up, blocks will be solved faster and the protocol is such that when blocks are solved faster than the average of 600 seconds, the difficulty goes up and when blocks are solved slower than 600 seconds it goes down.

It is programmed such that when 2016 blocks are solved the difficulty changes either up or down to keep the block generation speed at 600 seconds.
At 600 seconds per block this takes exactly two weeks. Lately a lot of ASICs have flooded the network and thus a lot more hashing power came in, solving blocks faster and driving the difficulty up.
Needless to say since blocks are being found faster, it takes less than two weeks for the difficulty to go up now.

 

yeah I'm getting gigahesh and terracoin. It's gonna be sick.

 

This sounds like a very difficult game of Tetris.I think I'll stick with the pound.