Crypto Changes....quickly

in cryptocurrency •  7 years ago 

I try to keep my ears open for opportunities to invest and to get ahead using crypto-based investment vehicles. Although there are greater risks, there are much greater potential rewards than a lot of "traditional" investments I've seen.

SiaCoin

One of the opportunities I was considering was Nebulous' Obelisk SiaCoin ASIC miner. The first batch is scheduled to be released at the end of June. The preorder for it ended in November 2017. I didn't have $2,500 at the time, so I missed out on it, but I had major FOMO. With batch 2's preorder ending Jan 31st, I had been watching and considering, especially since the priced had dropped to $1,599.


source

DRAMA!!

In a covert move, on January 16th, Bitmain, a well-known ASIC (application specific integrated circuit) manufacturer released a new ASIC miner that was specifically designed to maximize mining results on the SiaCoin network. They beat the SiaCoin team to the punch by five and a half months!

Nebulous had promised the batch #1 preorders would have six weeks of protected mining, where Nebulous wouldn't release any other ASICs. All the people who had preordered would now be 6 months late to the scene.

Also putting SiaCoin in an awkward position was that most of the Bitmain ASICs pooled together creating a superpool. This could have theoretically jeopardized control of the blockchain if the pool had attempted something nefarious.

While SiaCoin could "soft fork" the blockchain to invalidate the new Bitmain A3 miners, as of Jan 25th they stated they would not be soft forking at this time, but that "if Bitmain takes any action to harm the Sia project, we will soft-fork to invalidate their hardware."

Moving Forward

It appears no soft fork for now and that it's "business as usual" in SiaLand, but the people who preorderd SC1s are SOL. GPU mining of SiaCoin is officially over, and ASIC take over. The SC1 launch is still planned, but those who get them will struggle to break even. It just goes to show you how quickly things can change.

End result

I didn't end up getting an SC1 or SC2. I also wasn't fortunate enough to pick up an A3 before they ran out of stock. I'll keep my eyes and ears open though.

Did you invest in either the SC1 or the A3? If so, what has your experience been so far?

Let me know if the comment section below.

@themanwithnoname
"Don't vote for me for witness"



I got some of my information from these sources:
https://btcmanager.com/whats-deal-siacoins-asic-soft-fork/
https://blog.sia.tech/response-to-the-sia-community-and-bitmain-653a12284098

Disclaimer: Don't invest more than you can afford to lose. Do your own research. These are just my ideas. What you do with them is your business, not mine.

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Crypto changes a lot but that makes it even more exciting! I love this world and I can never get enough of it :D (good and bad)

Glad you're having fun with it. It can be easy to get discouraged with losses, but if you keep your head up, it can be worth it when you hit a jackpot!

Do you have any info whether they ended up as profitable ? I mean do you think the investment in the miners would be returned and how long would it take for that to happen ?

Thank you for contributing to the Steemit Community.Keep up the great work and I'm looking forward to your next posts.

I'm not sure if they made their money back. I had done some initial modelling that led me to believe you could make your investment back within a few months. It depends on how much they bought the A3s for.

As far as the people who pre-ordered the SC1s...they probably will make their money back, but they'll be late to the game, so it's likely going to be a long road for them. Those who invested in SC2 will have a really rough go of it. I almost bought in, so I feel for them.

Yea you saved yourself in a way. Thank you for the answer. I appreciate it = )

I want to buy that

Which one?

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