But moreover, BTC back to fiat is significantly more expensive than "expensive" currency exchange with usually levels as high as 3%
Moving one billion USD worth of BTC can cost as little as 0.065 BTC or ~440 USD.
https://www.independent.co.uk/life-style/gadgets-and-tech/ne...
https://www.blockchain.com/btc/tx/4410c8d14ff9f87ceeed1d65cb...
Which is ridiculous, given anyone (legally) moving a billion dollars pays zero for an instantaneous Fedwire.
Do you happen to have a source? PS: seems not to be available to retail customers?
Your bank will generally make this available to you through some online interface. If not, you can visit the teller. They will likely charge you $20-$40 to send a wire if you are a small account, but, even with something like Chase's mid-level "Signature" checking (~$10-$20k minimum to avoid monthly fees iirc) they will waive this fee. And, of course, if you're really moving a billion, not only would you have a banking relationship where your wire fees are waived, that fee would be peanuts anyway.
Generally speaking I'm quite familiar with payment infra in Europe, I've worked on it for ~20 years after all.
I have precious little information to offer you on the workings of European funds transfer services, however; I posted here to discuss Fedwire specifically, since you brought it up.
My anxiety is peaking lately... I have no idea exactly why I answered like that but what I meant was that while I'm not familiar with the US payment system, I do know the European one quite well and that's why earlier I'd expressed incredulity that any traditional banking system could offer zero cost transfers. I think I didn't notice you were not JumpCrisscross
Even $15 would have been too much, looking at other transactions in the block.
Of course, you already need to own Bitcoin. If not, the fees are slightly more expensive, but still cheaper then using "normal Banks".
At a certain amount exchanges will ask a lot of questions (at least in Europe they do). And they want to see proof for the whole chain back, so you better hope your client can provide these infos as well.
And even if everything is 100% legit, you will wait a while for your money.
To elaborate, there is a tax on buying dollars, so although the 'official' price is X, the true price is X + 30% if you want to buy.
I think there might be a possibility for arbitrage eventually, since sometimes the true price is lower than the price you might get for bitcoin but the difference is so minuscule that it would take years to make an interesting profit out of it. Also, it would be a pain in the ass to wire the transfer out of the country, since for example Transferwise doesn't allow you to send money in my homeland's currency, only receive.
Since it works with pub/priv key cryptography its a push model and so you can securely send money to anyone, anywhere, anytime. No bank needed.
Right now, you are probably losing more money that Ttansferwise because it costs a considerable amount of money to convert them to Fiat currency.
I am not tight to them, but for me it's the less concerning option.
This has never been a good idea, unless you’ve been immediately selling upon receipt.
Unless you are getting international transfers for the purpose of buying drugs or speculating/trading I completely disagree with this.
Have taken payment for consulting in BTC a few times and would always get it into a local exchange then sell/transfer out within an hour, it's pretty painless when you are all setup with the exchange, fee's on my end come to 0.8% total amount, not capped.
So $80 for a $10k payment in BTC, that's not including the senders fees, exchange movements and time spent. Looking at transferwise now they will do the same $10K from USD to AUD for $80.60
So with using BTC, you actually have the BTC when it is transferred. The banking system has to cheat itself to keep low fees and fast transaction times. With BTC, you may wait 10-15 minutes. With Fiat, you would usually wait a day or two. But, you can "cheat" your way through the system.
One way I don't get why people won't support BTC: It is a system where everyone can contribute, see every transaction and improve it. The banking system however is old, slow and deeply flawed. And there is no way of improving it. So yeah, even if BTC would be more expensive and slow, I would still use it more often then not, since it's software, and you can fix and improve software.
It evens out over time.
Sorry, i am unconviced. Could you show the numbers including all costs and exposure times to fx risks from your client's BTC account to your landlords bank account and compare those to using e.g. Transferwise?
It is cheaper because the company already owns Bitcoin, so it doesn't need to buy them. What I do is:
- Getting BTC transferred to a wallet at an exchange I trust - Sell the BTC ones I receive them and put the money on my bank account
I switch between using Transferwise and BTC. The downsides are obviously that the price can fluctuate quite heavily. But my experience is that I saved a few hundred Euros each year (around 450 Euros) from using BTC instead of Transferwise.
That's not a lot in the grand scheme of things. What I like about a BTC transaction is that I can monitor it, it is even more transparent then Transferwise and I truly "own" the BTC ones sent.
It is a bit sad that I can't use it as much as I would like so I sell around 90% immediately to pay rent, buy stocks etc, and 10% stay there for future gains.