4 ms·
> the cost and time involved in acquiring something as small as $3.99-$29.99 is quite high. It would likely cost as much as 10-50% of that cost in fees. Where
by ewillbefull 14y ago
> the cost and time involved in acquiring something as small as $3.99-$29.99 is quite high. It would likely cost as much as 10-50% of that cost in fees.
Where are you getting these figures? I can pay 0.5% in fees or less to purchase bitcoins on MtGox. Other solutions are nowhere near 10%.
- dmix 14y agoI use a bank deposit site that charges me $3 to deposit funds regardless of the amount (cavirtex). Then coinbase takes 1% to transfer money somewhere. So for $3.99 = $3 deposit fee + 0.039c for 1% coinbase = $3.04 or equivalent to 76% of the cost For $29.99 = $3 deposit + 0.2999c for coinbase = $3.30 which is equivalent to 11% of the cost
- nym 14y agoOkay, but that 11% figure is mostly because of your traditional bank, which charges for deposits (wtf?) Lets say I want to $100 to a friend in Mexico: * My bank doesn't charge me for deposits. (still $100 USD) * Coinbase charges 1% to convert my USD to BTC (converted 8.947 BTC at 11.05usd per btc) * Sending that to someone else costs almost nothing (8.947 BTC). * The person receiving is not charged anything, unless they want to convert to another currency (e.g. pesos) In this scenario, there is certainly slippage / costs, but it still beats MoneyGram, WesternUnion, Xoom, etc in terms of cost to send money from country to country.
- dmix 14y agoYou've misread my comment again. Never said anything about an 11% bank fee. I said $3.