Gridseed Question

[ibiza0209]

I have a question, I briefly read over the FAQ's but really could not find what I was looking for. Its quite possible I overlooked this.

Ok, so this works by buying shares via cryptostock, and these shares represent the hardware or Fastbit hosts and dividends are paid out.

So lets say I want to invest 10K and I want you to host my miners. Do I pick the pool? Or is this pool already decided? What is your fee for hosting the miners? Are their payouts on a daily basis if you are hosting?

Thanks!!

[cryptodough]

Mar 7, 2014 11:21:09 GMT -6 ibiza0209 said:

I have a question, I briefly read over the FAQ's but really could not find what I was looking for. Its quite possible I overlooked this.

Ok, so this works by buying shares via cryptostock, and these shares represent the hardware or Fastbit hosts and dividends are paid out.

So lets say I want to invest 10K and I want you to host my miners. Do I pick the pool? Or is this pool already decided? What is your fee for hosting the miners? Are their payouts on a daily basis if you are hosting?

Thanks!!

Wow, 10k. Wish I had 10k to dump into GRID right now myself. Buy in quick before dividends start rolling in! If I had 10k to invest I would split it, put a buy for 5k at 1 and do a market buy of 5k at 2.

To the best of my memory, based on previous conversations on the forums... But Fasbit can provide a much better answer than me.

-You don't not pick the pool, as there is probably not going to be a pool since Fasbit will have so much hashing power that he can be more profitable if he mines solo. However, if Fasbit finds it more profitable to mine via pool, then that will be discussed and the most stable, profitable pool will be chosen.

-I'm not sure on the math of the dividends, but that is why we are going for transparency. That way will be able to ascertain exactly what the "fee" is.

-Payouts are every 2 days, sometimes 3.

No problem! 

[ibiza0209]

Thanks for the reply.  

So has this project already started?  Has the miners for the first batch already been bought or are they still waiting for enough BTC.  Cryptostocks is hard for me to follow, extremely poor UI, makes it confusing for non techs?  

So let me see if I understand this correctly as it stands.  

I buy a share at .0001....the cost of the miner is 160USD I remember reading.  so 5K or roughly 8btc would get me around 31 grid seed shares or miners?  So I would own 31 of them, I would be hashing roughly 9MH.

So am I paid based on my 9mh on total mh he has.  So if he is solo mining, it would still work like a pool correct?  What I mean is I would be getting a higher percentage the more hash power I use?  

Sorry if I sound confused!!!  

[cryptodough]

Mar 7, 2014 14:01:18 GMT -6 ibiza0209 said:

Thanks for the reply.  

So has this project already started?  Has the miners for the first batch already been bought or are they still waiting for enough BTC.  Cryptostocks is hard for me to follow, extremely poor UI, makes it confusing for non techs?  

So let me see if I understand this correctly as it stands.  

I buy a share at .0001....the cost of the miner is 160USD I remember reading.  so 5K or roughly 8btc would get me around 31 grid seed shares or miners?  So I would own 31 of them, I would be hashing roughly 9MH.

So am I paid based on my 9mh on total mh he has.  So if he is solo mining, it would still work like a pool correct?  What I mean is I would be getting a higher percentage the more hash power I use?  

Sorry if I sound confused!!!  

Yes, if you bought all 8btc worth of shares at .000001. 

Yes, assuming you bought 8 btc worth of shares at .000001 you would be getting ~31 gridseed units, each unit cointaining 5 chips, as well as the power supplies and cabling needed to run them if you choose to have them shipped to you. Those would hash scrypt at yes, around 9MHs, as well as SHA around 248 GH/s, 10MH/s in scrypt only, or 348GH/s sha only.

If you let Fasbit keep them, manage them, and mine with them, you get a % of the total dividends based on the # of shares you own in GRID. So yes, you get a higher % of the dividend if you own a higher % of the shares.

Example, simplified for the sake of math.

Fasbit mines for a week in dual mode, and makes 10 btc.

There are 65,000,000 shares total.

I own 10,000,000, and so do 2 other people, and you own 35,000,000.

Let's assume Fasbit wants to keep 1 btc for power costs and running the operation (again, this is just simple #s out of thin air, not exacts).

At the end of the week you would receive:

35000000/65000000 = 0.5384615384615 * 9 = 4.846153846154 btc.

The other 3 shareholders would receive:

10000000/65000000 = 0.1538461538462 * 9 = 1.384615384616 btc.

[fasbit]

Those numbers are at least representative... a few more details... if you take the miner and it breaks, its yours and you get to go through all of the set up procedures. If you leave them in the pool and they break, we replace them. Could you make more doing it yourself? Of course. Would it be easy or convenient or stress free? No.

Also there are a few more costs other than the miners that have to be allocated: Freight, USB hubs, server cases & rack (yes the ones I mine will be in a rack). You might get a feel for payout by looking at FAS, but these should be more profitable.

As for mining, I will be mining directly from the wallet/client. No pools. I don't respond to emails about which coins to mine or even how many mh/s are running. Basically you just evaluate your investment and see if you like your return. If you don't like it, you sell it and move on. If you like it, you do a withdraw once a week and play withe coins and tell you friend about your "money printer".

[ibiza0209]

Thanks for responding, the math cleared things up. One other question.....

Ok so I noticed that I obviously missed the boat on the initial offering and now it is .000003....so does that change the price of the miners? 160USD per miner would be roughly .255BTC. So basically 85,000 shares equals one miner.

Do I have that right?

[paulyd]

price is .00000002 but i will sell you some at 150x going rate if you want

[imbiat]

Mar 7, 2014 21:49:52 GMT -6 paulyd said:

price is .00000002 but i will sell you some at 150x going rate if you want

check closer, the price is not 2 satoshi but 200.  cryptostocks prices do not go to 8 digits of precision, just to 6.  they allow dividends as low as 1 satoshi. the price for shares of grid on offer has dropped 33% though from .000003 to .000002.

[imbiat]

Mar 7, 2014 17:17:08 GMT -6 ibiza0209 said:

Thanks for responding, the math cleared things up. One other question.....

Ok so I noticed that I obviously missed the boat on the initial offering and now it is .000003....so does that change the price of the miners? 160USD per miner would be roughly .255BTC. So basically 85,000 shares equals one miner.

Do I have that right?

the btc raised for the group buy was already converted to usd. this controls how many miners were ordered. 65,000,000 shares were issued. once fasbit has the final shipping numbers we will know how many shares you need to redeem a physical miner (hopefully this is soon - it'll be like 260,000 shares +/- 25K or so). now the shares are trading at the open market. it may be cheaper or about the same cost to buy a unit at market price on ebay or something considering that market price is now double the ipo price.  i'm still buying shares of grid and plan to leave my miners with the pool.