Day traders' after-market lounge April 15, page-15

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ttward

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15/04/21

17:36

Post #: 52497224
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Originally posted by rick64: ↑

Hi guys, noticed a bit of discussion on crypto's in pre-market this am so thought I would post my experience yesterday.
Bitcoin has been touted as a virtually free way to exchange currency between peers, without interference or fees from third parties such as banks, credit card companies etc.
Yesterday an acquaintance came to me and he had a problem: He needed funds in a hurry but all he had to his name was a Coinbase wallet in his phone containing $250 worth of Bitcoin. As it happened, I also had an empty Coinbase wallet so told him I would transfer $200 to his bank account if he sent me the Bitcoin (I knew there were fees involved and wanted to cover myself).
Anyway we duly done the send/receive thing by scanning the little square boxes that pop up (both amateurs at this so not sure what they are called). He got a notification telling him it would cost him $18 plus change to do this so he pressed okay. Next thing he has $232 worth left and I have none. (values vary slightly due to BTC fluctuating). So, we tried again, this time it worked, I received $220 worth of Bitcoin, half an hour later. He wallet was empty of course.
I then went and transferred $200 into his bank account via his phone number. He received $200 within 10 seconds and there was no fees to either of us.
Then, for me to realise value in this, I have to transfer my Bitcoin to a broker, which happens to be one of the top Aussie brokers (not sure if I can name them). Then I had to sell the bitcoin to realise the $ value, which left me $209 after fees. I duly transfer this back to my bank account, 10 seconds later my account was $209 richer with no fees.
So banks charging us nothing, and so called free crypto's 'miners fees' costing about 9% after taking into account our first mess-up and the brokers commission.

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Very cool how you did the transaction to get your friend some money.

Keep in mind, Bitcoin was never designed for small transactions. It was designed for much larger ones. So if you're buying a car (from anyway in the world), you're not going to worry about a $18 transaction fee.

I used a credit card in France to pay a $5k accomodation bill. My bank charged me $128 for that transaction. When I got home I told them what I thought and cancelled the card. Using Bitcoin to pay that bill would have cost $110 less that it did.
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