SRL Archive - Jr. Member General Help and Discussion

So I can definately see bitcoins beening a good way to make some quick cash. My dad has a budget between £500-1000 to invest.

So its between eithier buying a setup for minning them or buying them and waiting for them to rise.

I'v done a bit of reading but I'm fairly inexperienced. Whats the best options for both minning and buying?

@cause

There are several bitcoin forums, as I'm sure you found.

There's a big thread or two on a poker forum I read. Here's one I found, I'm pretty sure there's another one but I couldn't see it in a quick scan.

http://forumserver.twoplustwo.com/30/business-finance-investing/bitcoins-digital-currency-1011408/

The general opinion is that mining is a dead end due to new chips that can beat the heck out of anything you set up. Getting one of the new systems is too costly or you have to wait in line because nothing is available.

The best bet is to buy low and keep them a long time. Since they have limited usage currently much of the activity is by speculators and the prices can jump around. But they should probably gain some value over time. People get burned by panic selling.

Two years ago would have been a good time to get into them for cheap :)

From: The Killer
So I can definately see bitcoins beening a good way to make some quick cash. My dad has a budget between £500-1000 to invest.

So its between eithier buying a setup for minning them or buying them and waiting for them to rise.

I'v done a bit of reading but I'm fairly inexperienced. Whats the best options for both minning and buying?

@cause

Basically…only buy. Don't mine. Not worth it at all, you will not see a return on investment.

Yeah a new mining setup costs like $10,000+ lol

From: bonsai
T
The best bet is to buy low and keep them a long time. Since they have limited usage currently much of the activity is by speculators and the prices can jump around. But they should probably gain some value over time. People get burned by panic selling.

Two years ago would have been a good time to get into them for cheap :)

From: cause
Basically…only buy. Don't mine. Not worth it at all, you will not see a return on investment.

From: Itankbots
Yeah a new mining setup costs like $10,000+ lol

So where's a good place to buy? Obviously a big website is going to be alot more expensive than some forum with trusted people selling on.

Um Mt.gox I think? I don't know, I don't have any cash to invest :P

From: cause
Um Mt.gox I think? I don't know, I don't have any cash to invest :P

Yeah came across this one,
I hear that bitbargain is meant to be the best but the prices people are selling for there are really high :/
BitStamp seems like it has very good prices.

off topic but

Wow bitcoins are really $500 now? Wish I bought a whole boatload of them when I first heard of them like $5/ea

From: Nebula
off topic but

Wow bitcoins are really $500 now? Wish I bought a whole boatload of them when I first heard of them like $5/ea

Its fairly ontopic if you consider the title and therefore topic(?) is bitcoins :P
I think we all wish we bought some :P

I had half a bitcoin mined out before the release of ASIC miners.

Lost the wallet when I switched PC's, never thought I'd need half a bitcoin. :I


You can buy like 330 m/hash miners for $10 or something. Maybe you get get a cheap 10 g/hash?

Wow that price just skyrocketed…

From: cause
Wow that price just skyrocketed…

Yeah it hit $600 today aswell -.- Should of bought yesterday. I'll probably buy next time theres a big crash or something… :/

From: The Killer
Yeah it hit $600 today aswell -.- Should of bought yesterday. I'll probably buy next time theres a big crash or something… :/

Ya maybe look for a new dip, but you should still buy soon, we are still in the early adopter phase of bitcoins…my guess is bitcoins will see over $1000/ea within…2 years? Less?

Cause, I think I remember talking to ages ago on IRC about the bitcoin when it hit 120 (my apologies if it wasn't you). At that time everybody was like inb4 crash, and it hit 200 and we all pooped our pants.

From: sahibjs
Cause, I think I remember talking to ages ago on IRC about the bitcoin when it hit 120 (my apologies if it wasn't you). At that time everybody was like inb4 crash, and it hit 200 and we all pooped our pants.

Lol I don't remember for sure but it could have been me for sure. But ya, ikr!! Prices are insane…actually at these prices it still might be worth it to mine if you can get your paws on an ASIC miner.

From: cause
Lol I don't remember for sure but it could have been me for sure. But ya, ikr!! Prices are insane…actually at these prices it still might be worth it to mine if you can get your paws on an ASIC miner.

Yeah my dad is looking to invest up to £1000 (which is $1600). What would you recommend? The butterfly labs 5gh/s ones would take 100 days to break even :/

Mining without an asic is a waste of electricity. If you do want to buy an asic avoid butterflylabs. Wait until next gen chips are out to buy in and only buy batch one. 1000 euros is not enough for a miner. Cloud mining prices are too high. you will make more investing than you would mining. As for exchanges, avoid mt gox, bitstamp, and bitinstant. Don't read the chatbox on btc-e.

Best forum
https://bitcointalk.org/index.php

Charts
http://bitcoinity.org/markets
http://bitcoinwisdom.com/
http://www.cryptocoincharts.info/

Difficulty for mining
http://bitcoinwisdom.com/bitcoin/difficulty

Cloud mining
https://cex.io/r/1/Wetish/0/ (Yes that is a referral link)

Index of a lot of sites
http://coinindex.org/

From: Wetish
Mining without an asic is a waste of electricity. If you do want to buy an asic avoid butterflylabs. Wait until next gen chips are out to buy in and only buy batch one. 1000 euros is not enough for a miner. Cloud mining prices are too high. you will make more investing than you would mining. As for exchanges, avoid mt gox, bitstamp, and bitinstant. Don't read the chatbox on btc-e.

Best forum
https://bitcointalk.org/index.php

Charts
http://bitcoinity.org/markets
http://bitcoinwisdom.com/
http://www.cryptocoincharts.info/

Difficulty for mining
http://bitcoinwisdom.com/bitcoin/difficulty

Cloud mining
https://cex.io/r/1/Wetish/0/ (Yes that is a referral link)

Index of a lot of sites
http://coinindex.org/

Hmm Euros are completely different to pounds, the pound is worth a fair bit more.
Also: You're post grew when I quoted :o, so I'm going to read that bit before asking questions!
EDIT: So yeah some useful links for me :) (I'v seen most already but thanks all the same :))
What hardware would you recommend if I was going to buy (since you've already said to avoid BFL)

I would not buy any hardware right now. If you must, check here https://bitcointalk.org/index.php?board=76.0 As for what I would recommend, I have no idea what is best right now. I never really got into the current asic scene.

TK it seems that it is very hard to get your hands on an ASIC miner, you either are waitlisted or the company is still "developing" (aka cash grab-n-run). I waited for over 6 months (give or take) for my Butterfly Labs Jalapeno.

It hit 700$ at one point too.
LTC went up to 10$ too. Both rose pretty steadily yesterday but they've been nothing but falling today.

I'd say wait a few days for it to reach a stable mid or sink even lower before buying and riding the wave up to the 600$ mark

hello the killer: P I've heard good things about this company if you want to start is to undermine this http://www.butterflylabs.com
and you can start with 274$ :P i hope help you :D

From: gaspola
hello the killer: P I've heard good things about this company if you want to start is to undermine this http://www.butterflylabs.com
and you can start with 274$ :P i hope help you :D

That company is horrible. Where have you heard these "good" things?

From: Wetish
That company is horrible. Where have you heard these "good" things?

Probably from their own PR lol…I thought the same thing at first

Bitcoins at around $950 now and to think I was going to buy at $600 :D

From: The Killer
Bitcoins at around $950 now and to think I was going to buy at $600 :D

LOL everytime I'm like…"I should totally buy some"…

From: cause
LOL everytime I'm like…"I should totally buy some"…

Yeah same :') o well… :(
Thinking out mining still but don't know what's worthwhile:/

They were $1200 today :o
I'm thinking about buying a miner, I fiqured the 5gh/s bfl one would be okay because I could always sell it on ebay if things didn't work out :/
I know bfl usually take ages to ship but they have listed now that its in stock and is shipping immediately!
Would take around 90 days to break even with the miner :)
Opinions?

From: The Killer
They were $1200 today :o
I'm thinking about buying a miner, I fiqured the 5gh/s bfl one would be okay because I could always sell it on ebay if things didn't work out :/
I know bfl usually take ages to ship but they have listed now that its in stock and is shipping immediately!
Would take around 90 days to break even with the miner :)
Opinions?

Not worth it.

From: NKN
Not worth it.

90 days isn't bad…
If your math is right: 1200/90 = $13/day…not bad at all…if you can get it asap :D

From: cause
90 days isn't bad…
If your math is right: 1200/90 = $13/day…not bad at all…if you can get it asap :D

Idk, they have a bad reputation for taking 10 years to ship.

Prices could drop back down in that time also.

I would never recommend someone to purchase mining equipment from butterfly labs due to their previous actions and behaviors. I also doubt that they have filled all orders and are ready to ship. As for you breaking even in 90 days, I have no idea where you are coming up with those numbers. All of the calculators I have used show that with free electricity it would take multiple years to break even.

From: NKN
Idk, they have a bad reputation for taking 10 years to ship.

Prices could drop back down in that time also.

Yeah, I read more into it last night after posting. They still have a massive back log. Being "instock" and "shipping immediately" means nothing.

From: Wetish
I would never recommend someone to purchase mining equipment from butterfly labs due to their previous actions and behaviors. I also doubt that they have filled all orders and are ready to ship. As for you breaking even in 90 days, I have no idea where you are coming up with those numbers. All of the calculators I have used show that with free electricity it would take multiple years to break even.

http://www.bitcoinx.com/profit/
What I used^
http://puu.sh/5wPDh.png
If you want to check what I inputted :)


So, I kinda still want to mine, just need to find where to get some good hardware :/

From: The Killer
Yeah, I read more into it last night after posting. They still have a massive back log. Being "instock" and "shipping immediately" means nothing.

http://www.bitcoinx.com/profit/
What I used^
http://puu.sh/5wPDh.png
If you want to check what I inputted :)


So, I kinda still want to mine, just need to find where to get some good hardware :/

That is not an accurate profitability decline. Look at this graph. http://bitcoinwisdom.com/bitcoin/difficulty In about 1ish month the difficulty doubled. Meaning you would mine 1/2 the amount of bitcoins you were mining before the difficulty change.

Tbh if you don't have enough money to purchase one of the more expensive rigs (Knc Saturn), I would groupbuy one or buy gpus and mine altcoins until it in unprofitable and then sell the gpus.

A good cost effective way to mine right now is to get the best ASIC out there, has around a 1.2TH hash rate. Costs around $8000
Anything below that isn't worth it and won't be very cost effective.
Mining in a pool with that miner you should achieve around 1-1.3 BTC/day depending on luck and if you went solo you could get a full block around every month depending largely on luck though.

If you are unable to risk that or use anything else, mining is not at all worth it currently.

From: The Killer
Bitcoins at around $950 now and to think I was going to buy at $600 :D

Wow, so many people are making bank from this…


Going to try and figure out how this works so I can buy some litecoins :P

From: Zerkeronrs7
Wow, so many people are making bank from this…


Going to try and figure out how this works so I can buy some litecoins :P

Bitcoins and Litecoin crashed hard today, last time I checked bitcoins were down to ~$540 ea and LTC was $14

From: Justin
Bitcoins and Litecoin crashed hard today, last time I checked bitcoins were down to ~$540 ea and LTC was $14

Bitcoins are back up to $700 now

From: The Killer
Bitcoins are back up to $700 now

Hope you invested. $740 now lol

From: Justin
Hope you invested. $740 now lol

Nope :/

For those unaware, bitcoins have been mass hoarded and with that speech the only reason they rose so much anyway they are due to undergo a price drop soon, however they have seen to disobey the rules of economics previously, so no reason why they won't do it again. BTW an $8000 ASIC can break even in 24 days with a 10 person pool. You should break open a brick every 3 days.

From: Millenium
For those unaware, bitcoins have been mass hoarded and with that speech the only reason they rose so much anyway they are due to undergo a price drop soon, however they have seen to disobey the rules of economics previously, so no reason why they won't do it again. BTW an $8000 ASIC can break even in 24 days with a 10 person pool. You should break open a brick every 3 days.

:o link me to the $8000 miner? :)

From: The Killer
:o link me to the $8000 miner? :)

It was a 1.2TH miner not sure if they are still available for sale.