[PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details



  • Hello all,

    So first off this is a pre-ann to notify the community about my plans for a mining asset, and also a barometer to test the communities feelings on another mining asset.

    First off a bit about myself, I've been in crypto since the end of 2013 and I was the creator of the 2014 Physical Pure Silver Vericoins. While I go through the process of getting myself "Approved by Haitch" and escrow for the asset setup please let me know what you all think of my proposition.

    I will have an IPO for the Asset with a minimum goal of 500,000 BURST. 50% will go into Haitch's Escrow for Assets the other half will be used solely for equipment.

    There will be a total of 100,000 "Shares" which will be sold in several rounds before being left for the open market to determine asset prices. Each "Share" will represent 100MB of HD space the breakdown will be:

    1st Round - 50,000 Shares @ 10 Burst/Share

    2nd Round 25,000 Shares @ 15 Burst/Share

    3rd Round 25,000 Shares @ 20 Burst/Share

    This gives a total of 1.375 million Burst, 50% of which will go directly to escrow, which will provide ~10TB of dedicated Burst mining that will be personally managed and upkept by myself.

    Dividends will be paid weekly after a 15% management/upkeep fee (to help me pay for electricity and fund future growth) and will depend solely on the performance of the mining rig. Any Burst made from dividends of unsold Shares will go directly towards expansion of the mining farm.

    IF the Asset shuts down then the 50% in escrow will be disbursed to all asset holders (effectively insuring 50% of your initial investment) and the Shares will be redeemable for either the Harddrives (25,000 shares per HD) OR after I sell the harddrives I will put up a buy wall for everyone to cash out their assets for BURST.

    As a bonus for the foreseeable future (at least 30 days possibly longer depending on the success of this asset) I will add the ~3TB I already have mining to the ~10TB effectively giving everyone a 30% bonus meaning each share will actually be 130MB worth of mining but you only pay for 100MB!!!!!!!!!!

    All terms and conditions are subject to change.

    Please let me know what you guys think and I will get the ball rolling ASAP.

    -Thanks,

           Will "socal" Sedlak


  • PLEASE NOTE THAT THE ASSET WILL NOT RUN AT 13TB UNTIL ALL SHARES HAVE BEEN SOLD THE INITIAL 500,000 BURST WILL ONLY COVER THE COST OF ONE HD + THE 50% ESCROW (500,000 Burst will get us 8TB of mining + escrow, once the 2nd and 3rd round shares sell the second HD will be added and it will provide approximately 75% of funds for a third HD so expansion to 18TB will not take long)


  • Banned

    I will lock down this thread for the time being until crowetic or haitch verify this, You joined the forum 3 hours ago and now it's asset/crowdfund time.



  • @Focus said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    I will lock down this thread for the time being until crowetic or haitch verify this, You joined the forum 3 hours ago and now it's asset/crowdfund time.

    no problem understandable


  • Banned

    You can not sell asset shares unless you actually have an asset to divide up into shares to sell. You can do a crowdfund, ask the community to raise a certain amount of money that will be enough to buy what you want to set up. An "asset" is what you currently hold, in other words, you can not sell shares of nothing, to buy something then distribute it. Another example is, when you owe money and the court comes to seize your assets, they are seizing actual goods that you currently own, so they can in turn sell off to recoup some of their losses.



  • @AdamGuerbuez said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    You can not sell asset shares unless you actually have an asset to divide up into shares to sell. You can do a crowdfund, ask the community to raise a certain amount of money that will be enough to buy what you want to set up. An "asset" is what you currently hold, in other words, you can not sell shares of nothing, to buy something then distribute it. Another example is, when you owe money and the court comes to seize your assets, they are seizing actual goods that you currently own, so they can in turn sell off to recoup some of their losses.

    ah ok thats why this is a pre-ann to hammer out all the wrinkles before going live


  • admin

    @Focus I've unlocked it - Socal hasn't launched an asset yet, and is in the process of getting ID Verified. For now, lets leave the pre-ann thread open to discuss the asset intention and viability.



  • @haitch said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    @Focus I've unlocked it - Socal hasn't launched an asset yet, and is in the process of getting ID Verified. For now, lets leave the pre-ann thread open to discuss the asset intention and viability.

    thats exactly why its a pre-ann, to discuss interest, viability, hammer out details etc, this is for the community to I would hope for community imput



  • Heres an idea, for the Fee, instead of taking 15% of payout how about something else like 10% of shares withheld to accrue dividends for upkeep and growth? Anyone have any suggestions on how the fee structure should work?


  • admin

    @all Socal has sent me his real name, address, and cell phone number - they'll be used for the ID Verification.

    He's also committed to putting 50% of the IPO into my escrow - thats the first new asset willing to do that.

    With the escrow, what I'm proposing is this: Socal creates the asset, then transfers 100% of it to the Escrow account - the escrow account will then put up the asset for sale on Socal's schedule - the escrow account will then send Socal 50% of the funds when the asset sells. This way, Socal can't back out of his commitment.

    Thoughts ?



  • @haitch said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    @all Socal has sent me his real name, address, and cell phone number - they'll be used for the ID Verification.

    He's also committed to putting 50% of the IPO into my escrow - thats the first new asset willing to do that.

    With the escrow, what I'm proposing is this: Socal creates the asset, then transfers 100% of it to the Escrow account - the escrow account will then put up the asset for sale on Socal's schedule - the escrow account will then send Socal 50% of the funds when the asset sells. This way, Socal can't back out of his commitment.

    Thoughts ?

    Sounds 100% agreeable to me that way nobody can claim scam or any other such nonsense


  • admin

    @socal well technically you could still scam and take off with the 50% you receive, but with doing the ID Verification AND the escrow - I'll put my coin into your asset.



  • @haitch said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    @socal well technically you could still scam and take off with the 50% you receive, but with doing the ID Verification AND the escrow - I'll put my coin into your asset.

    lol true, but thats a whole lot of info for me to put out and trouble to go through for only like $300 worth of Burst,

    tl;dr I like my reputation far more than I like $300 and the possibility of Criminal charges or somebody showing up on my doorstep lol


  • Banned

    So let me get this right...

    We are going to let a new user who registered on the forums only 3 hours prior, ask our community for them to hand over their burst, so he can in turn take it transfer to an exchange and dump to make money, driving the price of burst down that we are working so hard to pump up and raise the floor, so he can in turn buy hard drives for himself...

    Now on the definition of an asset:
    What is an 'Asset'
    An asset is a resource with economic value that an individual, corporation or country owns or controls with the expectation that it will provide future benefit.

    How about starting off by going to gofundme or kickstarter, raising the capital to buy the equipment needed to back the asset, then when that is done, come to the table with your asset offering...

    That's all I am going to say about this...



  • @Focus said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    So let me get this right...

    We are going to let a new user who registered on the forums only 3 hours prior, ask our community for them to hand over their burst, so he can in turn take it transfer to an exchange and dump to make money, driving the price of burst down that we are working so hard to pump up and raise the floor, so he can in turn buy hard drives for himself...

    Now on the definition of an asset:
    What is an 'Asset'
    An asset is a resource with economic value that an individual, corporation or country owns or controls with the expectation that it will provide future benefit.

    How about starting off by going to gofundme or kickstarter, raising the capital to buy the equipment needed to back the asset, then when that is done, come to the table with your asset offering...

    That's all I am going to say about this...

    no problem your feedback is important, thak you for sharing your concerns



  • how ever you get to the point of issuing an asset @Focus and @AdamGuerbuez are correct in that you are selling mining power and need to have that power befor you can sell it. that said no mining asset can stay viable without constantly growing mining power #1 you will need to offset the monthly 5% reduction in amount per block mined. #2 harder to calculate but you will need to out grow the network difficulty increase for any added mining power anyone else add's to the network. otherwise your div's will progressively be less and less each payout.



  • @Focus said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    So let me get this right...

    We are going to let a new user who registered on the forums only 3 hours prior, ask our community for them to hand over their burst, so he can in turn take it transfer to an exchange and dump to make money, driving the price of burst down that we are working so hard to pump up and raise the floor, so he can in turn buy hard drives for himself...

    Now on the definition of an asset:
    What is an 'Asset'
    An asset is a resource with economic value that an individual, corporation or country owns or controls with the expectation that it will provide future benefit.

    How about starting off by going to gofundme or kickstarter, raising the capital to buy the equipment needed to back the asset, then when that is done, come to the table with your asset offering...

    That's all I am going to say about this...

    now onto answering your concerns, Issuing assets to raise funds for projects has been proven viable by NXT and the NXT community, But if utilizing built in features of Burst for purposes other than the most strict definition is so damaging to Burst then we can figure out another option, but in my experience issuing and selling assets to fund projects has been an acceptable and viable option.

    Now saying im buying harddrives for myself is patently false, the HD will belong to the Asset which in turn is owned by the Community (provided they buy said asset) If at any time the asset shuts down the HDs can either be claimed by someone with 25,000 shares per HD OR will be sold and the cash used to buy Burst to put up a buy wall for asset holders to sell into

    Lastly yes I am a new BURST user, but I have been in crypto for years you can check my Twitter at https://twitter.com/Socal_crypto my Vericoin Forum acct at https://www.vericoinforums.com/members/socal.217/ or DM me and you can call/skype/facetime/tango/whatever you want to confirm I am who I say I am and I won't disappear with peoples funds



  • @Gibsalot said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    how ever you get to the point of issuing an asset @Focus and @AdamGuerbuez are correct in that you are selling mining power and need to have that power befor you can sell it. that said no mining asset can stay viable without constantly growing mining power #1 you will need to offset the monthly 5% reduction in amount per block mined. #2 harder to calculate but you will need to out grow the network difficulty increase for any added mining power anyone else add's to the network. otherwise your div's will progressively be less and less each payout.

    Once again you guys are going by the strictest definition of Asset, which is fine I'm new here so maybe thats the rules of this community but as stated in my experience Issuing Assets as an IPO vehicle is viable.

    Now to address your return concerns yes you are correct which is why there are funds built into both the IPO to jumpstart future growth but also in the fee structure, now will it be enough to contend with reward reduction and difficulty increase? don't know probably not BUT that can be easily fixed by simply increasing the number of shares and creating a larger initial rig which will have a much better chance of higher payouts short term and staying profitable longer than a smaller rig over the long term


  • Banned

    @socal said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    @Focus said in [PRE-ANN] Socal's Burst Mining Asset, 30% bonus! see details:

    So let me get this right...

    We are going to let a new user who registered on the forums only 3 hours prior, ask our community for them to hand over their burst, so he can in turn take it transfer to an exchange and dump to make money, driving the price of burst down that we are working so hard to pump up and raise the floor, so he can in turn buy hard drives for himself...

    Now on the definition of an asset:
    What is an 'Asset'
    An asset is a resource with economic value that an individual, corporation or country owns or controls with the expectation that it will provide future benefit.

    How about starting off by going to gofundme or kickstarter, raising the capital to buy the equipment needed to back the asset, then when that is done, come to the table with your asset offering...

    That's all I am going to say about this...

    now onto answering your concerns, Issuing assets to raise funds for projects has been proven viable by NXT and the NXT community, But if utilizing built in features of Burst for purposes other than the most strict definition is so damaging to Burst then we can figure out another option, but in my experience issuing and selling assets to fund projects has been an acceptable and viable option.

    Now saying im buying harddrives for myself is patently false, the HD will belong to the Asset which in turn is owned by the Community (provided they buy said asset) If at any time the asset shuts down the HDs can either be claimed by someone with 25,000 shares per HD OR will be sold and the cash used to buy Burst to put up a buy wall for asset holders to sell into

    Lastly yes I am a new BURST user, but I have been in crypto for years you can check my Twitter at https://twitter.com/Socal_crypto my Vericoin Forum acct at https://www.vericoinforums.com/members/socal.217/ or DM me and you can call/skype/facetime/tango/whatever you want to confirm I am who I say I am and I won't disappear with peoples funds

    Listen socal, I don't know who you are but that is not the issue at hand. I am just looking out for what is best for the coin and the community in general, and taking coin out to go and buy hard drives has no immediate benefit to the community.

    Let's look at your numbers now, you are telling folks that they can purchase back hard drives for 25K shares. Let's calculate for someone buying in at 10 burst per, that makes 250,000 burst which is almost $150 at current value. Why would someone buy a used hard drive for that amount?


  • admin

    @Focus and yet, this is exactly the same model the ccminer100 asset used, and it's the second most active asset currently.