Hut 8 Corporation (HUT)

[hobowilly]

Hey Wrangler!!! Great to hear from you. Yeah, I have reevaluated the validity of investing in Bitcoin Miners and have concluded that they are all scams. Ponzi Schemes. They really offer nothing of value to shareholders and in order for investors to realize any gains it is necessary to have a constant flow of "new" money. Just like a Ponzi Scheme.

Really, what do Bitcoin Miners do? They mine Bitcoin and maybe ETHEREUM and they HODL everything they mine. OK, so what is the long term strategy?
I have never seen a formal strategic plan. For all intents and purposes they could, and should be privately held, when considering the benefits they offer investors. Consider for a moment if Apple produced millions of iPhones but instead of selling them, warehoused them. Tesla producing tens of thousands of EVs and leaving them parked in airplane hangers somewhere with no plans to sell them?

How are Bitcoin Miners contributing to the increase in Shareholders' wealth? The only reason they are public is to dilute shareholders through public offerings when they want to buy new ASIC miners and to pay bills to keep the operation running. Ponzi Scheme.

Once I realized how miners operate I decided to take a similar approach. I was flipping miners, mostly Bitfarms, Hut 8, & HIVE. Buying low selling high and using the profits to buy the actual asset. Bitcoin and ETHEREUM. I mean why buy an equity when you can buy the actual asset?

The strategy was working fine until the latest downward trend from Bitcoin's last ATH of $67k or so. Since then Bitcoin has been channel trading, consolidating, between $30k and $50k.

I watched a keen Bitcoin analyst describe how during this period most Altcoins were achieving lower highs and lower lows. They were not keeping the same behaviour as Bitcoin. It struck me that Bitcoin Miners were also following the same pattern of lower highs and lower lows. You can easily see the trend in Bitcoin Miners since their ATHs back in Nov '21.

Fortunately I am holding free shares but I am waiting for the right time to liquidate all Bitcoin Miner holdings and go 100% Crypto.

When you own the asset, instead of a miner, you have a one-to-one relationship with it. When you own a miner there are too many factors that affect the price, while the HODL'ing miners enjoy the direct one-to-one relationship with the asset.


I an sick of funding these selfish greedy miners that give nothing to investors and only dilute them over and over again to further their Bitcoin holdings.

Well, that's all my opinion only but I think it fairly describes what's going on and what the MO of these miners is.

All the best to you Wrangler. My advice? Own the asset!!!

BTW: The absolute worst of the Miners is $HIVE and their Part Time CE(R)O Full Time Lyin, Corrupt, Walkin' Talkin' Scumbag POS.

Back in 2021 he diluted $HIVE investors out of $110,000,000 for the supposed purpose of buying over 5k new S19 miners to be delivered beginning in January '22 with monthly tranches of 550 per month throughout the entire year. End of March '22 and they have not taken delivery on one machine.

The SOB also snuck a little tidbit into an unrelated filing that $HIVE had sold 100,000 ETHEREUM coins but failed to disclose where the proceeds went.

This is after claiming that $HIVE was HODL'ing 100% of their mined coins.

He's a lyin' fraud. Worst part is that $HIVE investors love the guy and claim that he is a genius while their portfolios go to zero with lower highs and lower lows.