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Topic: Acquiring bitcoin with cash - what, why, how - page 2. (Read 293 times)

legendary
Activity: 1694
Merit: 5882
Does the UK still have crypto atms? I read they were being considered "unauthorised" but don't know if they were actually banned or if it was more something the fca put out in writing.
According to Coin ATM Radar, there's at least 24 left so I guess some of the companies registered with FCA in order to continue the business.



Yes, but I don't want to mess relationships with bitcoin trades, as I may bring them to an uncomfortable situation. No friend is ever going to charge me for like 10% above the average, while he should to, according to the market price. Nor would I want to sell bitcoin for cash whenever a friend requested it in the same price. 
Did you have some bad experience in the past that makes you so reluctant to trade bitcoin with friends? I am asking because I am trading with friends for years and never really had any issues. We use Coingecko to determine the price and buy/sell according to that, without any fees of course. I even met with strangers to do transactions and again never had any issues whatsoever and every trade was done without the fee, whether I was buying or selling.
legendary
Activity: 1344
Merit: 6415
Farewell, Leo
Can't speak for any others, but that two that I use - HodlHodl and AgoraDesk - both do.
Added to OP.

I would add a fourth method to your list, which is "Trade with people you already know".
Ok, I added that too.

Have you traded with the same person on Bisq a few dozen times with no issues?
No. Each time I've used Bisq to trade is with Revolut, and each time I used different seller (as my payment history in Revolut is concerned). I don't talk to them at all, I just picked a trustworthy one (who was signed up there for like 2 years) and everything went smoothly.

If you've done, please answer me these questions of mine:
  • If you don't have a reputation in the DAO, what kind of protection do you get in case such stranger wants to rip you off? Sure, he might look trustworthy, according to the offer table, but can you risk trading without Bisq?
  • Do want to trade likewise to avoid the DAO fee?
  • Can you become part of the DAO somehow, and set your own fee as arbitrator? Competition is what would lower the prices, and I'm sure part of high trade fees is small number of arbitrators.

Do you have friends or colleagues from non-bitcoin walks of life who also use bitcoin?
Yes, but I don't want to mess relationships with bitcoin trades, as I may bring them to an uncomfortable situation. No friend is ever going to charge me for like 10% above the average, while he should to, according to the market price. Nor would I want to sell bitcoin for cash whenever a friend requested it in the same price.  
legendary
Activity: 2268
Merit: 18492
Can you point me out the ones that do? The popular exchanges of that list I know don't, except Bisq.
Can't speak for any others, but the two that I use - HodlHodl and AgoraDesk - both do. On HodlHodl type "In Person" in to the "Payment Methods" search box, and on AgoraDesk you can choose either "Cash by mail" or "Cash (locally)" from the drop down menu.

I would add a fourth method to your list, which is "Trade with people you already know". Have you traded with the same person on Bisq a few dozen times with no issues? Have you made friends with people at bitcoin meetups? Do you have friends or colleagues from non-bitcoin walks of life who also use bitcoin? Having an established relationship and mutual trust with your trading partner can make the process so much easier, as well as potentially allowing you to bypass using a trading platform and escrow (therefore saving time and fees) provided you have enough trust with the other party.
copper member
Activity: 2856
Merit: 3071
https://bit.ly/387FXHi lightning theory
Does the UK still have crypto atms? I read they were being considered "unauthorised" but don't know if they were actually banned or if it was more something the fca put out in writing.

I did an exchange a few years ago for a cash deposit (back before localbitcoins required kyc) and it felt the safest way to do things - the buyer was very communicative throughout too and there was no meeting up or chance they'd used counterfeit funds.

legendary
Activity: 1344
Merit: 6415
Farewell, Leo
Don't forget about the exchanges listed at https://kycnot.me/
Can you point me out the ones that do? The popular exchanges of that list I know don't, except Bisq.

They have to pay for the back end upkeep
The back end only costs a small fraction of what they charge. Most of this must come from the space they rent. And judging by the rentals nowadays, it's understandably expensive. Customer support is also an expense to consider, right.

Those are all fixed, if they have 0 customers for a couple of days, the people still want to get paid, the stores still collect rent and so on. The KYC is independent of all of that.
It's independent, but it was their only weapon to compete CEX, until recently. They don't have future now more. As I said, you can get the exact same service from a centralized exchange, and much cheaper. And I don't blame them. Regulators must be pushing them.
legendary
Activity: 3388
Merit: 6072
Crypto Swap Exchange
Don't forget about the exchanges listed at https://kycnot.me/
There are a few that allow for cash <-> BTC exchanges.

As for the BATMs yes the fees are high but they are getting multiple whammies on expenses. They have to pay for the back end upkeep, they usually have to pay rest to the store they are in, they have to have customer support people 24/7 for the calls and so on. Those are all fixed, if they have 0 customers for a couple of days, the people still want to get paid, the stores still collect rent and so on. The KYC is independent of all of that.

-Dave
legendary
Activity: 1344
Merit: 6415
Farewell, Leo
This is a continuation of a previous discussion.

Just as trading bitcoin with anything, such as fiat via bank account, credit card, altcoins, gift cards etc., you can also trade bitcoin for cash, or as I like to say it: cash for cash. Unfortunately, as bitcoin isn't accepted everywhere, if you buy / earn in bitcoin, you'll most likely need to get back to fiat to make purchases you can't do otherwise.

Why?
Well, advantages, guys. Censorship resistance, in both sides! No PayPal can reverse the transaction. Also, more importantly, privacy. Believe me, you do need privacy if you're selling like $10k+. It also comes cheaper, because banks charge a lot.  Smiley

How to.
There are various ways to complete such trade. Each comes with its own tradeoffs. The following is my list, but please write below your suggestions, if any (or correct me).

  • Bisq. Rational for the most popular, censorship and privacy respecting decentralized exchange to have such option. There are two options, in fact. Meeting with somebody face-to-face, and sending cash by mail. At the time of writing this, there are two of the former (both located in Birmingham, UK) which charge a 10% and 15% premium accordingly. For cash by mail, there are more reasonable prices, because there are more offers (5). Edit: Hodlhodl and AgoraDesk allow this too, see post #5.
  • Bitcoin ATMs. I don't like this at all, because not only do they charge extraordinarily for even small amounts (~8%), but they also do KYC. Sorry, but you can't have both. I honestly don't understand why would one want that; it's better to complete KYC traditionally on a CEX, and then withdraw all of it with minimum fees. Both options provide zero anonymity, while the latter is cheap.
  • Use forum(s). You're free to create a thread and request for such trade in the Currency exchange board, but it comes with disadvantages such as minimum liquidity and in-forum positive feedback likely required.
  • Trade with people you already know.

I address to all of my dear forum users to take advantage of this minimum price competition, as long as it's possible in their places. Create an offer at Bisq, and just enjoy the absence of liquidity. Acquiring anonymously is priced more than $17,000. See how it goes. I myself will try it out if I need to withdraw some bitcoin.

What's your opinion about this? Do you think it might be needed now that most countries have been hostile with regulations?
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