In the last week Bitmain, the world's largest Bitcoin ASIC manufacturer, stunned cryptocurrency investors by announcing that the company is launching a ASIC miner for the Cryptonight algorithm primarily used for Monero ($XMR). Bitmain began accepting pre-orders for the Antminer X3 which sold out in seconds, at a cost of $12,000 a piece. Just a few days following this pre-order customers received these emails.
“We are soon going to release batch 3 and batch 4 of the Antminer X3 with a reduced price of 3,000USD and 1,900USD”
“... for trusting us with the very first batches, we would like to offer you one of the following choices in light of the significantly reduced price”
“Option 1: A courtesy refund or credit equal to the USD price difference between batch 1 and batch 3 (if you are a buyer of batch 1) or between batch 2 and batch 4 (if you are a buyer of batch 2). If you select this option, a customer support representative will contact you to confirm whether you would like either a refund or a credit. Option 2: Quadruple (4x) your quantity and keep the ship-out dates of batch 1 and batch 2. Option 3 (only if you chose the USD payment option and did not pay): Simply do not pay for your submitted order.”
The reason for this steep drop in price seems to be a final cash grab from Bitmain for what will be the most expensive doorstop. Shortly after the X3 announcement, the Monero development team decided they are going to hark fork the currency making it ASIC mining resistant. ASICs are Application Specific Integrated Circuits. That means they can do one thing and one thing only. Any of the ASICs they have already produced will only be able to hash the old algorithm and will be useless with Monero. This will bring power back to GPU mining while hurting Bitmain’s wallets. The fork will take place on April 6 2018, block 1546000.
If you were scammed by Bitmain or any other Chinese company the only way to sue them is in China. Chinese courts have jurisdiction over an international legal dispute involving a foreign against a Chinese company. Even if you start a legal process in your country the documents will have to be sent to a local Chinese court that is working really slow and if the company you sue is big and powerful the proceedings will be even slower.
Moral of the story, Stop sending money to China for massed produced chips making crypto-mining more centralized. MAKE GPU MINING GREAT AGAIN!
Mining Dudes Inc- Head Tech