Jason. Not gonna happen. No business can make a profit at that fee level. Even at scale.
If you're right, then it's just a matter of time before Dwolla either goes out of business or raises its fees. Until that happens it makes sense for me to keep using them so long as they remain reliable.
So you think current dwolla model is doomed?
Run the numbers
They've taking in 10M inventure capital
They take 0.25 per transaction (over 10.00).
not a great revenue model.
Dwolla is a service. That banks will subsidize it. Kind of like a modernized ACH system.
Dwolla will not remain a stand alone company. If it doesn't fail before an acquisition by (Chase, BofA or some Visa/Amex like association) which is obviously the exit strategy.
Even liberty Reserve only ask for 1% and they are not even a legit business model.
