06-08-2015, 05:51 AM
Someone sends you $10 on paypal, you only actually get about $8 of that. Paypal keeps the rest. If you were sent $10 worth of bitcoin, you'd only lose about $0.02 of that to fees unless you had to convert it back to USD before using it.
Now if you needed to convert that bitcoin back to dollars before using it, then yes that can take some time if a bank is involved. On the other hand selling it back to a person, you can have your cash in hand and be on your way within a few minutes. They just have to see the transaction in their wallet pending confirmation.
Far as I know there really aren't limits on how much you can convert at once until you get into the thousands of dollars range at which point the banks will get jumpy about anti-fraud protocols. I've converted amounts as little as a few cents in either direction, while my largest purchases were in the $400 at a time range.
It is true though that bitcoin was over $1100 in 2014, but now is only worth about $225 for 1 full bitcoin. What happened there is a phenomena called a market bubble, which can happen to USD and has happened recently to energy prices and housing prices. People bought it and bought it and drove the price up to far higher than it should have been before suddenly leaving it to collapse back down.
Right now we're looking at prices still nearly double what they were before the 2014 bubble, and it has stayed right around $250 for the past few months with only a few dollars movement each day for the most part. The huge price swings we saw are hopefully gone, resulting in a relatively stable value that makes it possible to actually use bitcoin as money without concern of it suddenly losing half its value overnight.
There's actually plans in the works for paypal to accept bitcoin as a valid payment- which if it does go through will be huge as far as driving acceptance goes. I'm fairly sure Amazon is considering it if not already doing it, and there are plans in the works from Microsoft and Sony as well for accepting bitcoin payment. For a good long while now Newegg has accepted bitcoin too, and a constantly growing list of stores and resturaunts that take it. Reddit regularly talks about buying pizza using bitcoin, and quite a few places accept this. Depending on what you want, you might not have to convert it back to USD anymore to use it.
And I take bitcoin too for my web hosting services when hosting sites that need more capacity than the free accounts I offer can provide. For me bitcoin translates to better profit because I'm not losing such a high percentage to fees.
Now if you needed to convert that bitcoin back to dollars before using it, then yes that can take some time if a bank is involved. On the other hand selling it back to a person, you can have your cash in hand and be on your way within a few minutes. They just have to see the transaction in their wallet pending confirmation.
Far as I know there really aren't limits on how much you can convert at once until you get into the thousands of dollars range at which point the banks will get jumpy about anti-fraud protocols. I've converted amounts as little as a few cents in either direction, while my largest purchases were in the $400 at a time range.
It is true though that bitcoin was over $1100 in 2014, but now is only worth about $225 for 1 full bitcoin. What happened there is a phenomena called a market bubble, which can happen to USD and has happened recently to energy prices and housing prices. People bought it and bought it and drove the price up to far higher than it should have been before suddenly leaving it to collapse back down.
Right now we're looking at prices still nearly double what they were before the 2014 bubble, and it has stayed right around $250 for the past few months with only a few dollars movement each day for the most part. The huge price swings we saw are hopefully gone, resulting in a relatively stable value that makes it possible to actually use bitcoin as money without concern of it suddenly losing half its value overnight.
There's actually plans in the works for paypal to accept bitcoin as a valid payment- which if it does go through will be huge as far as driving acceptance goes. I'm fairly sure Amazon is considering it if not already doing it, and there are plans in the works from Microsoft and Sony as well for accepting bitcoin payment. For a good long while now Newegg has accepted bitcoin too, and a constantly growing list of stores and resturaunts that take it. Reddit regularly talks about buying pizza using bitcoin, and quite a few places accept this. Depending on what you want, you might not have to convert it back to USD anymore to use it.
And I take bitcoin too for my web hosting services when hosting sites that need more capacity than the free accounts I offer can provide. For me bitcoin translates to better profit because I'm not losing such a high percentage to fees.
Feel free to PM me if anything is broken