Best way to move USD between exchanges?

nobbynobbynoob

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Quote from: btcnut on September 26, 2012, 01:22:22 AM

Noob assumption.

Crossing buy/sell spreads on two exchanges will easily cost more than 1%. More likely 2-5%. Then you also pay the extra exchange feeds and trade fees on top.

D'oh, of course! I feel a bit silly now, because I don't need to make urgent conversions and thus can afford to sit and wait for the currency trade to be profitable. But if you need to transfer the funds near instantly you don't have this luxury. Excuse my lack of engagement of both brain cells.

btcnut

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Noob assumption.

Crossing buy/sell spreads on two exchanges will easily cost more than 1%. More likely 2-5%. Then you also pay the extra exchange feeds and trade fees on top.

The gouging on exchanges makes me wonder why bother with bitcoin - PayPal is less profiteering than some exchanges

nobbynobbynoob

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Quote from: btcnut on September 25, 2012, 07:53:14 AM

i.e. is there any way to get USD from say btc-e to mtgox for less than 1%?

Convert them to BTC, transfer the BTC and then convert back? BTC-e charges 0,2% commission and Mt Gox 0,6%. Or am I making a n00b omission in citing this obvious strategy?

BCB

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BCJ

purchase MT GOX USD CODE from me for (+1.5%).

That's the quickest I know.

I take
ChaseQuickPay
ING Direct p2p
Wells Fargo p2p
Dwolla
Paypal.

PM me if you are interested.

Or just post on the DWOLLA <--> MTGOX THREAD and wait for a trade.

adamstgBit

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https://www.bitinstant.com/

they allow you to transfer cash to and from all the BTC/USD exchanges

It costs 4%

Stephen Gornick

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Quote from: btcnut on September 25, 2012, 07:53:14 AM

i.e. is there any way to get USD from say btc-e to mtgox for less than 1%?

If there was a lower cost to move the funds, there would be less of a price difference between the two and you wouldn't be as interested in doing so.

So essentially, for someone performing arbitrage, the profit is nearly the same regardless of the fee to move fiat funds from one exchange to the other.

[Update: Two services that appear to be under-utilized by arbitrageurs, however, are CurrencyFair and TransferWise.

The way it works is you push funds from your bank to the service, then convert to the other currency, then perform a bank transfer to the destination's bank account. The only mismatch is needs is that the sending account must be your own.

But here's a scenario. Alice has a bank in the UK. Bob, an over-the-counter trader in the U.S. will trade bitcoins with Alice, if she pays in USDs. So Alice sends GBP to CurrencyFair, then converts those funds to dollars. She then does a withdrawal, sending those funds to Bob.

The withdrawal to the U.S. counterparty is done through ACH, so this doesn't work for sending funds to any exchanges as no exchanges presently take deposits via ACH. But for over-the-counter trades, this method becomes quite useful. ]

zoinky

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No, I believe it is like that to reduce arbitrage.

btcnut

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This is a bit of a noob question maybe, but whats the most efficient way to move USD between the big exchanges without getting hammered on large %'s for all of these stupid withdrawl fees?

i.e. is there any way to get USD from say btc-e to mtgox for less than 1%?

Topic: Best way to move USD between exchanges? (Read 1301 times)