Due to missing our estimated shipping dates, Obelisk has implemented a compensation policy for all customers of Batches 1-5. We will compensate you with the estimated mining revenue you would have received between your original estimated shipping date and the actual day your order ships.
Why did you implement a compensation policy?
We want to build the most trusted, transparent mining company in the cryptocurrency space. While our Terms stated that our shipping dates were estimates, we understand that you were hoping we would ship by those dates. We therefore think that the most fair thing we can do is compensate you for what you would have mined had we shipped on the original estimated dates.
At Obelisk, we very much want our customers to be highly profitable. We have chosen not to mine in competition with our customers, and have pledged to mine 2% or less of the Siacoin and Decred hashrate. That being said, we believe it is unfair for customers to request refunds on hardware due to market conditions that are outside our control. What we can control, however, is shipping dates – and that is why we want to provide you with this compensation, to effectively simulate what you would have mined had we shipped by the original estimated dates.
How will you calculate my Batch 1 compensation?
First, we assume that your units shipped on the original estimated shipping date, and that you converted your mined coins to US dollars (USD) at the end of each day. We then calculate the quantity of coins that each Obelisk unit would have mined, based on the quantity of units we sold and the amount of hashrate already on the network. Finally, we convert these coins to USD value based on a daily average.
We use the below inputs to calculate your compensation.
Original estimated shipping dates:
- Batch 1: June 30, 2018
- Batch 2: August 31, 2018
- Batch 3: September 14, 2018
- Batch 4: September 30, 2018
- Batch 5: September 30, 2018
- SC1: 800 GH/s
- DCR1: 1500 GH/s
Cryptocurrency Exchange Rates:
- CoinMarketCap Siacoin/USD
- CoinMarketCap Decred/USD
Blockchain Statistics Data:
For each Obelisk batch, we will post a Google sheet that details how we calculated your compensation. Batch 1 data is below, and Batches 2-5 will be added after they ship.
How will you calculate my Batches 2-5 compensation?
Batches 2-5 will ship after the Sia fork activates. Post-fork, only Obelisk SC1s will be able to mine on the Sia network. We expect this to provide SC1 miners with significant returns. And because Obelisk is no longer mining 20% of the Sia hashrate, we will be unable pay out this significantly higher amount of compensation.
Therefore, we are making a change to the SC1 compensation policy in Batches 2-5. From your original estimated shipping date until October 30, the policy will behave as detailed above. From October 31st to your actual shipping date, we will cap your daily compensation to an average of the October payouts. This is currently about $1.10 per day.
No change is being made to the compensation policy for DCR1 units in Batches 2-5. Only the SC1 policy is changing.
What about estimated electricity costs?
To provide a small bonus to our customers, we have decided to assume electricity costs are $0, which means we have not deducted any operating costs from your compensation. We hope this helps make up for missing the original estimated shipping date.
How much compensation will I receive?
Batch 1 compensation has been calculated and is posted below. To determine your compensation amount, first note the day your order was shipped. We emailed you on this date, but feel free to contact us via email if you need to know your shipping date.
Next, locate your shipping date on the table. Find the corresponding SC1 or DCR1 compensation amount. This is your compensation amount per-unit. You can then add up your total compensation.
If you had your units combined into three-board units, use your original order quantity when calculating your compensation.
Batches 2-5 will follow this same process, and calculations will be posted after all orders are shipped. We will notify you via email when compensation details are posted.
To make this easier, we will update the customer portal in the next few weeks with your exact compensation amount.
How and when will I receive my compensation?
We will begin to send out compensation sometime after Batch 5 has shipped. Depending on Obelisk's financial position, it may take several months or more to send all compensation. Rather than compensating customers one-at-a-time, we will do so simultaneously by batch. This ensures that some customers do not receive their compensation before other customers in the same batch.
While compensation is calculated in terms of USD, we will use Bitcoin as the distribution mechanism. We will update the customer portal with a Bitcoin refund address field. Once you enter your Bitcoin address, you will be eligible to receive your compensation.
Compensation will be calculated based on Gemini's BTC/USD exchange rate on the day of disbursement.
Batch 1 Compensation Details
A Google sheet with transparent calculations can be found here. The below calculations are estimates. Obelisk reserves the right to make changes to these amounts, and will do so if an error was made.