(ICO) MinedBlock (MBTX) - Mining as a Service
Mining is a fundamental part of the blockchain for any coins or tokens that aren’t pre-mined. Miners
form the basis of the decentralisation model of the Cryptocurrency arena but we are getting to a point
where large amounts of hash power, the key ingredient to solving blocks, are becoming centralised.
This has two impacts:
1. It means that there is a risk of a single ‘pool’ or company being able to gain control of an entire
blockchain. If a person or company managed to gain greater than 50% of the computing
power or mining hash rate they would be able to prevent new transactions from gaining
confirmations and be able to reverse transactions that were completed while they had control,
so they could double spend coins. They wouldn’t be able to create new coins or blocks, but it
would have a huge reputational impact on the particular blockchain.
2. It means that for the average person mining isn’t a worthwhile venture due to the cost of
equipment, electricity and time for maintenance. The ROI isn’t as beneficial as it used to be.
There are other solutions out there such as cloud mining services, but they aren’t transparent or cost
effective and we want to change that.
MinedBlock offers the opportunity for investors to take advantage of using the resources from a
large-scale mining operation without the need to buy, configure and maintain expensive mining
equipment. We will offer a fully managed mining service where you can rely on our team to look after
the equipment and ensure they are working at maximum productivity 24/7 with the lowest operating
We will create a dedicated mining facility which focuses on mining multiple coins from within the top
50 by market cap to ensure a diverse range of revenue streams for customers to benefit from.
Through the proposed large scale operation, we will help improve the decentralisation of coins where
there are already large pools dominating the hash rates of popular coins. MinedBlock will also be
working towards decentralisation within our own network through global distribution of our mining
One of MinedBlock’s key principles is providing transparency for our customers. We will be completely
open with our plans, ongoing progress and revenue production.
Live dashboards will be produced and available via our website to show current hashrates across all
currencies being actively mined along with details of revenue per MBTX token to allow customers to
project potential earnings by using our service.
We want to shape our projects future based on feedback from our customers so will we actively
engage via multiple social channels, weekly email updates will be provided and we will return
customer queries as soon as we can.
Mining activities will be continuously monitored and switched between coins when the difficulty and
success rates fluctuate. The ultimate goal will be to maintain maximum efficiency at all times.
Mining equipment will be regularly resold and replaced. There will be a split between suppliers of ASIC
miners to prevent any kind of centralisation and to increase diversity available for customers to utilise.
MinedBlock will evaluate whether mining as part of an existing mining pool or being reliant on our own
hash rate output is the most effective to produce coins.
MinedBlock will utilise a mixture of ASIC units alongside Custom Built GPU Mining Rigs.
Electricity costs and climate are the key considerations for choice of location as well as considering the
political attitude of hosting Countries towards crypto mining, the last thing we would want it to build a
mining farm somewhere and then it become a restricted activity.
The first phase of our Mining Farm build will be using ASIC Bitcoin and Bitcoin Cash mining units as they
are built ready to use. These will be hosted from a facility in Iceland where the climate and electricity
costs are favourable.
Our GPU mining rigs will be built, configured and run from the United Kingdom initially to ensure they
are reliable and easy to manage remotely before moving them to a facility in either Iceland, Canada or
Adapting to Change
Mining cryptocurrency isn’t as simple as ‘plug and play and walk away’, the team at MinedBlock will
constantly be monitoring our mining activities and evaluating where we could switch the miners to an
alternative currency to increase profitability. Upcoming updates and forks will also be monitored to
ensure we are always ready to adapt.
The MBTX Token
A true ‘Utility’ Token
The MBTX token will be pre-sold as a crowdfund prior to launch of the service but the token itself
offers no redeemable value unless it is used to utilise our mining services. Whilst opportunities may
arise for future airdrops to holders, they will be for other projects that the founding team are
considering as future potential.
The MBTX token will be the key to accessing MinedBlock services and makes no promise or guarantee
on future pricing potential.
Benefits for Token Holders
The MinedBlock (MBTX) token is an ERC-20 token based on the Ethereum blockchain. The token is
non-mintable and, therefore, will be limited in supply.
When the mining service goes live holders will be required to register their token wallets in our user
dashboard. The dashboard will allow customers to monitor the mining operation, with information
such as hash rates being achieved and earnings to date.
At the end of each calendar month 75% of mined revenue will be responsibly sold for ETH and will be
distributed between registered token holders to their ETH wallets.
Token Sale Details
The exact start date of the Token Sale is yet to be announced but there are some key points that we
can call out at this stage:
• MinedBlock decided not to hold a private pre-sale, everyone should have the same
opportunity to get involved
• Instead of a pre-sale there will be a huge bonus for the first 5% (20,000,000) MBTX tokens
• Tokens will be sold via an e-commerce platform and distributed via smart contracts
• There will be a soft cap target of $3,500,000 – all funds will be refunded if soft cap not met
The MinedBlock (MBTX) token is an ERC-20 token based on the Ethereum blockchain. The token will be
Tokens will be restricted to 400,000,000 and will be distributed as below:
* 15,000,000 MBTX tokens for Founders will be locked until 1st July 2019
** 13,500,000 MBTX tokens will be retained by MinedBlock for the purpose of promotional events and
*** Any tokens unsold during the pre-sale will be destroyed
Token Distribution Strategy
MBTX tokens will be distributed throughout the Token Sale at the following intervals:
• When Soft Cap met
o First distribution to early buyers
o Airdrop Participants
o Referral Bounty prize winners
• Every two weeks
o Tokens purchased will be bundled and distributed on a two weekly cycle
Part of the initial fundraise will be allocated to covering exchange listing fees to ensure the maximum
exposure is available when token holders wish to buy or sell.
On a quarterly basis 5% of mining revenue will be used to buy back tokens from the circulating supply
to be destroyed. We will buy back the MBTX tokens at the price listed on exchanges at the time.
Distribution of raised funding
Funds raised during the pre-sale will be used to commence the build of the first MinedBlock Mining
Facility. The chart below details how the funds will be broken down regardless of the amount raised.
The greater number of tokens that we can pre-sell the bigger the initial Mining Centre will be and
therefore the greater the availability of hash rate for customer use.
The majority of the initial investment spend will be dedicated to mining hardware for:
• Bitcoin Cash
• GPU Miners – Ethereum, Ethereum Classic and Callisto
* Low mining profitability at this time so we may put Litecoin and Dash on hold until the conditions are more
10% of revenue per month will be used to expand the mining operation. MinedBlock will consider
several factors when deciding how to expand the offering, including but not limited to:
• Customer voting
• New coin release
• Running ‘Masternodes’ may be considered
Masternodes – Running a masternode involves running a full node on a blockchain with a minimum
number of coins held in return for a reward or interest payment through transaction fees. Dash is a
good example of this.
Revenue generated from mining the mining operation will be distributed as below
See example ROI sheet on our website https://www.minedblock.it/asse...
75% of mining revenue will be distributed to our token holders relative to the number of tokens held
(i.e. if you hold 1% of all circulating tokens, you will get 1% of the distributed revenue)
Initially, we will distribute Ethereum (ETH) to the wallet holding your MBTX tokens. At a later stage we
may offer distribution via a currency of a customers preference which will be configurable within the
Where we will be mining multiple coins (ETH, BTC, BCH…) we will sell these for ETH to distribute. In
order to avoid any effect on price we will trade the mined coins for ETH across multiple exchanges
throughout the month.
A wallet address will be published which will show the ‘current’ balance of distributable revenue at any
time. Distribution will occur between the 1st and 5th of each calendar month
To expand on the information in our original Whitepaper we will use 10% of the revenue each month
to expand the mining facilities.
Part of our user interface dashboard will be focussed on future growth and understanding what our
token holders would like us to mine. We will have the ‘standard’ options based on what we are already
mining but holders will be able to nominate and vote for currencies that they would like us to add.
As our mining range and overall offering grows we will also be reducing token supply through our buy
back process which will increase the average ‘earning per token’ for our token holders.
Token Buy Back and Burn
On a quarterly basis 5% of mining revenue for the period will be used to buy back tokens from the
circulating supply to be destroyed. This activity will continue until the supply is reduced by at least
The primary aim of the buy-back will be to reduce the supply and increase the ‘return per token held’
for our customers
In order to get up and running as quickly as possible following our Token Sale we will follow the below
MinedBlock has two key priorities following the initial Implementation plan to increase the potential
Return on Investment for our Token Holders:
1. Increase our output
2. Reduce our costs
Increasing our output
• Mining Farms will be expanded on a monthly basis
• Technology will be monitored to ensure we have the latest equipment
• Mining activities will be switched between coins to ensure we are the most profitable we can
Reducing our costs
• Reduction of electricity costs through solar power, different locations and alternative power
• Reduction of hosting costs through provisioning our own facilities
The team at MinedBlock are always keen to hear suggestions about how or what we could do better,
Please reach us through our social channels or via email at [email protected]
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