My thoughts on $MELY
-First and foremost, the share structure issue.
Yes, there has obviously been A LOT of dillution here. However, many start-up companies -especially pinks have some or more form of dillution to get started. It's all in how a company addresses this issue is what matters. Sure, Brett is keeping communication with shareholders at a minimum - mainly using PR's as his outlet. There is nothing wrong with that, it allows him to keep confidentiality at a max - and allow him to focus on the company.
-Why I will continue to invest.
The company IS producing revenue... While at this time (* 100 th/s of servers *) it is not much, with the current positive trend in BTC prices which is rumored to have started due to bitcoin ETF's getting regulated and in the process of getting started - and illegal bitcoin groups getting shutdown...
I believe $30-40 k a month in revenues is not bad. Sure the company has a lot of debt to pay, but the company is making steps to increasing it's revenue growth... On or around the 15th the company will get 500 more servers bringing our hashrate to around 600 th/s.
At current BTC prices (* $430.49 at time of this post *) that is $196,317 in revenues per month - that is including a block discovery of 1 block every 1 day and 15 hours...
If I recall correctly, 100 1th/s servers cost the company around $150k - per the note from classic capital. So with a monthly revenue of about $200k we can estimate that the company can add around that many servers OR add half that amount and make reductions to the A/S & O/S while still paying for taxes, power, labor, etc..
I haven't confirmed by reading through the pr's and documents whether the company has enough financing to aquire the remainder 500-600 servers that are due for completion of phase 2. But if so, and if we are waiting on delivery - that's another $400k the company can use to grow and pay back debts organically.
The company is trying to maintain communication and keep us in the loop with info updates on facebook and the pool party page.
- Sure this company won't be producing 1 mill a month in revenues any time soon...But I feel one of these days it will happen.
Just my thoughts. Take them as you will. I will gladly purchase the 1's that are about to come. So don't worry about this going to no bid! Have a great night and AMI - it's off to the races to see who can hold the most shares ;)
My posts are opinion only, and are not to be considered as actual investment advice.
