3 ms·
Credit cards cost 3% + $.25 per transation (doing this from memory, but I think i'm in the ballpark here). USDC to USD costs .20% + $.50 (and that's per payout
by swalsh 5y ago
Credit cards cost 3% + $.25 per transation (doing this from memory, but I think i'm in the ballpark here). USDC to USD costs .20% + $.50 (and that's per payout, you could aggregate transactions to pay only one fee). If you use a modern chain to do the transactions, the fees are getting increasingly more trivial (like a few cents regardless of size). As scaling solutions come online, they should be even cheaper. Avalanche is the best chain i've used if you want to understand what I consider modern. Solona and NEAR are interesting too, but I haven't used it.
- deleted 5y ago[deleted]
- hocuspocus 5y agoCard payments solve a different issue (for starters the transaction is not irreversible), and no they don't cost that much in properly regulated markets. If I want to send money from Europe to the US, many traditional banks and fintechs are cheaper than cryptocurrency exchanges, and if that's still too expensive, for large amounts forex brokers will be under 0.1%. The fact stablecoins exist and have become so prevalent is really telling. People speculating with cryptocurrencies want to onboard and offboard USD... So now we have these coins, some are even replicating fractional banking, only illegally.
- FabHK 5y agoCredit cards are ridiculously overpriced. It is a joke that the credit card oligopoly can siphon of an entire percent or more of a large majority of retail purchases in some jurisdictions (other jurisdictions prudently cap those fees). But most other methods of transferring money are cheap and fast. If we compare with worst cases, I had a BTC transaction in 2019, IIRC, with a transaction fee of USD 50 that sat in the mempool for half a day before it was picked up.