Dwolla freezing all financial transfers related to bitcoins?!

FullLife

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Quote from: mechs on August 26, 2013, 07:55:08 PM

Quote from: FullLife on August 26, 2013, 02:09:39 AM

Quote from: niko on August 26, 2013, 12:37:06 AM

Quote from: FullLife on August 26, 2013, 12:22:30 AM

Quote from: justusranvier on August 22, 2013, 05:59:13 PM

Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

I hope they appreciate their business circling the sinkhole.

The only reason to use Dwolla is to buy and sell bitcoins. Without that, they have no business.

Since they legally aren't allowed to serve the only market that is interested in their services it's all over for them. The founders are just consuming what remains of their investors' money while waiting for the company to die.

This is definitely not true. Most payment processing services (like PayPal) just piggy-back on credit card processing networks and simply pass on the processing fees to the consumer. Dwolla is working on building their own processing network that will compete directly with any service that uses these credit card processing networks.

Here's a great article to further understand what Dwolla is working towards: http://www.businessinsider.com/this-28-year-old-is-making-sure-credit-cards-wont-exist-in-the-next-few-years-2011-11?op=1

...which makes them, in the long run, a competitor of Bitcoin. You should see their actions and excuses in the light of that fact.

Yes, they definitely are one of bitcoin's main competitors.

I really do not see it that way (though maybe Dwolla misguidedlly does). Dwolla is a competitor to paypal, the credit card networks and especially Debit cards. They allow you to move (with in 3-4 business days) funds from your bank account to another person's dwolla accout for a low fee.
Dwolla is not a currency, Dwolla certainly offer no anonymity and Dwolla is not friction-less or nearly as fast in transmitting funds as bitcoin.
I really think they are two completely different animals.

Although it doesn't share any of the advantages that Bitcoin has, Dwolla is the only service I know of that lets you send any amount of money to another person for no more than $0.25. The only type of transfers I can think of that would be cheaper (free) are transfers within the same bank (one BoA customer transferring money to another person who is also a BoA customer).

With PayPal for instance, you can send money to another person within the US for free. Sending to an international user however costs between 0.5% and 2.0%, and they have restrictions on how much you can send.

I guess you could say Dwolla is like a hybrid of PayPal and Bitcoin.

mechs

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Quote from: FullLife on August 26, 2013, 02:09:39 AM

Quote from: niko on August 26, 2013, 12:37:06 AM

Quote from: FullLife on August 26, 2013, 12:22:30 AM

Quote from: justusranvier on August 22, 2013, 05:59:13 PM

Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

I hope they appreciate their business circling the sinkhole.

The only reason to use Dwolla is to buy and sell bitcoins. Without that, they have no business.

Since they legally aren't allowed to serve the only market that is interested in their services it's all over for them. The founders are just consuming what remains of their investors' money while waiting for the company to die.

This is definitely not true. Most payment processing services (like PayPal) just piggy-back on credit card processing networks and simply pass on the processing fees to the consumer. Dwolla is working on building their own processing network that will compete directly with any service that uses these credit card processing networks.

Here's a great article to further understand what Dwolla is working towards: http://www.businessinsider.com/this-28-year-old-is-making-sure-credit-cards-wont-exist-in-the-next-few-years-2011-11?op=1

...which makes them, in the long run, a competitor of Bitcoin. You should see their actions and excuses in the light of that fact.

Yes, they definitely are one of bitcoin's main competitors.

I really do not see it that way (though maybe Dwolla misguidedlly does). Dwolla is a competitor to paypal, the credit card networks and especially Debit cards. They allow you to move (with in 3-4 business days) funds from your bank account to another person's dwolla accout for a low fee.
Dwolla is not a currency, Dwolla certainly offer no anonymity and Dwolla is not friction-less or nearly as fast in transmitting funds as bitcoin.
I really think they are two completely different animals.

eleuthria

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Quote from: FullLife on August 26, 2013, 02:09:39 AM

Yes, they definitely are one of bitcoin's main competitors.

Which is funny because the vast majority of their business that even put them on the map was people moving money to exchanges. When they were posting about their record growth rate in 2011, their timeline was almost a perfect mirror of the BTC:USD exchange rate.

FullLife

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Activity: 503

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Quote from: niko on August 26, 2013, 12:37:06 AM

Quote from: FullLife on August 26, 2013, 12:22:30 AM

Quote from: justusranvier on August 22, 2013, 05:59:13 PM

Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

I hope they appreciate their business circling the sinkhole.

The only reason to use Dwolla is to buy and sell bitcoins. Without that, they have no business.

Since they legally aren't allowed to serve the only market that is interested in their services it's all over for them. The founders are just consuming what remains of their investors' money while waiting for the company to die.

This is definitely not true. Most payment processing services (like PayPal) just piggy-back on credit card processing networks and simply pass on the processing fees to the consumer. Dwolla is working on building their own processing network that will compete directly with any service that uses these credit card processing networks.

Here's a great article to further understand what Dwolla is working towards: http://www.businessinsider.com/this-28-year-old-is-making-sure-credit-cards-wont-exist-in-the-next-few-years-2011-11?op=1

...which makes them, in the long run, a competitor of Bitcoin. You should see their actions and excuses in the light of that fact.

Yes, they definitely are one of bitcoin's main competitors.

niko

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There is more to Bitcoin than bitcoins.

Quote from: FullLife on August 26, 2013, 12:22:30 AM

Quote from: justusranvier on August 22, 2013, 05:59:13 PM

Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

I hope they appreciate their business circling the sinkhole.

The only reason to use Dwolla is to buy and sell bitcoins. Without that, they have no business.

Since they legally aren't allowed to serve the only market that is interested in their services it's all over for them. The founders are just consuming what remains of their investors' money while waiting for the company to die.

This is definitely not true. Most payment processing services (like PayPal) just piggy-back on credit card processing networks and simply pass on the processing fees to the consumer. Dwolla is working on building their own processing network that will compete directly with any service that uses these credit card processing networks.

Here's a great article to further understand what Dwolla is working towards: http://www.businessinsider.com/this-28-year-old-is-making-sure-credit-cards-wont-exist-in-the-next-few-years-2011-11?op=1

...which makes them, in the long run, a competitor of Bitcoin. You should see their actions and excuses in the light of that fact.

FullLife

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Activity: 503

Merit: 500

Quote from: justusranvier on August 22, 2013, 05:59:13 PM

Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

I hope they appreciate their business circling the sinkhole.

The only reason to use Dwolla is to buy and sell bitcoins. Without that, they have no business.

Since they legally aren't allowed to serve the only market that is interested in their services it's all over for them. The founders are just consuming what remains of their investors' money while waiting for the company to die.

This is definitely not true. Most payment processing services (like PayPal) just piggy-back on credit card processing networks and simply pass on the processing fees to the consumer. Dwolla is working on building their own processing network that will compete directly with any service that uses these credit card processing networks.

Here's a great article to further understand what Dwolla is working towards: http://www.businessinsider.com/this-28-year-old-is-making-sure-credit-cards-wont-exist-in-the-next-few-years-2011-11?op=1

mechs

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Quote from: tclo on August 23, 2013, 03:39:45 AM

Quote from: mechs on August 23, 2013, 12:51:28 AM

Well the Dwolla-Mt. Gox thing is old, but now Dwolla seems to pre-emptively be blacklisting CampBX and localbitcoins.com. Basically, any known bitcoin trading venue.

Since when? Is my reading comprehension really poor or is yours?

Where do you get that Dwolla has a problem with transfers to and from CampBX?

Geez, you post in a thread without even reading it? Check the first 2 posts in this thread.

tclo

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Quote from: mechs on August 23, 2013, 12:51:28 AM

Well the Dwolla-Mt. Gox thing is old, but now Dwolla seems to pre-emptively be blacklisting CampBX and localbitcoins.com. Basically, any known bitcoin trading venue.

Since when? Is my reading comprehension really poor or is yours?

Where do you get that Dwolla has a problem with transfers to and from CampBX?

illpoet

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i see. It was actually really a boon for me when that happened as it sent me to localbitcoins.com and i found out i had some buyers/sellers really close and also really fair! i encourage everyone to check it out!

mechs

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Quote from: illpoet on August 23, 2013, 12:12:52 AM

thats weird, i thought this was in effect months ago when ICE/homeland security/general govt oppression said i couldn't cash from mtgox to dwolla. but yeah its tough for these companys, basically they have to alienate their customer base or risk going to jail. god bless the usa.

Well the Dwolla-Mt. Gox thing is old, but now Dwolla seems to pre-emptively be blacklisting CampBX and localbitcoins.com. Basically, any known bitcoin trading venue.

illpoet

sr. member

Activity: 341

Merit: 250

thats weird, i thought this was in effect months ago when ICE/homeland security/general govt oppression said i couldn't cash from mtgox to dwolla. but yeah its tough for these companys, basically they have to alienate their customer base or risk going to jail. god bless the usa.

mechs

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I wonder if this news partially responsible for the weakness BTC having today

smoothie

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LEALANA Bitcoin Grim Reaper

Less business for them I guess.

Cheesy

mechs

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Quote from: Lina.V on August 22, 2013, 11:06:28 PM

Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

The presumptuous language they use never fails to appall me ("we appreciate your understanding"). I hope they appreciate their business circling the sinkhole.

Sucks but you do have to understand. They do this or people with guns come and kick down their office door.

After the whole Mt Gox drama, they are obviously being proactive to avoid any more supeonas and run-ins with the law

Lina.V

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Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

The presumptuous language they use never fails to appall me ("we appreciate your understanding"). I hope they appreciate their business circling the sinkhole.

Sucks but you do have to understand. They do this or people with guns come and kick down their office door.

Syke

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I don't understand. Aren't you just using Dwolla to transfer USD from one place to another? Isn't that the basic point of Dwolla?

tclo

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Well Dwolla isn't saying you can't fund peer to peer bitcoin transactions, not Dwolla which is an exchange.

Of course they may extend it to that at some point, but doesn't seem to be the case now.

I hope not because I love Dwolla with CampBX too and that's the only thing I use it for as well.

acoindr

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Quote from: mechs on August 22, 2013, 05:57:48 PM

Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

The presumptuous language they use never fails to appall me ("we appreciate your understanding"). I hope they appreciate their business circling the sinkhole.

It really is a shame since CampBX has slowly been improving volume and narrowing their bid-ask spread. Plus their fee of 0.55% is better than Coinbase's 1%, plus they usually have a lower price. The disadvantage has been the three days to move funds from bank to Dwolla (from dwolla to campbx is near-instant). Now, just to safe 0.45%, it not worth wiring funds or mailing them to CampBX - will just stick with coinbase. This is great news for coinbase, bad news for campbx and bad for US Bitcoiners.

CampBX supports ACH too.

We need to beef up those SatoshiSquares and localbitcoins.com as these are things that can't be regulated away, not easily anyway.

EDIT: actually the ACH is for withdrawals only.

justusranvier

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Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

I hope they appreciate their business circling the sinkhole.

The only reason to use Dwolla is to buy and sell bitcoins. Without that, they have no business.

Since they legally aren't allowed to serve the only market that is interested in their services it's all over for them. The founders are just consuming what remains of their investors' money while waiting for the company to die.

mechs

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Activity: 210

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Quote from: Carlton Banks on August 22, 2013, 05:53:57 PM

The presumptuous language they use never fails to appall me ("we appreciate your understanding"). I hope they appreciate their business circling the sinkhole.

It really is a shame since CampBX has slowly been improving volume and narrowing their bid-ask spread. Plus their fee of 0.55% is better than Coinbase's 1%, plus they usually have a lower price. The disadvantage has been the three days to move funds from bank to Dwolla (from dwolla to campbx is near-instant). Now, just to safe 0.45%, it not worth wiring funds or mailing them to CampBX - will just stick with coinbase. This is great news for coinbase, bad news for campbx and bad for US Bitcoiners.

Carlton Banks

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The presumptuous language they use never fails to appall me ("we appreciate your understanding"). I hope they appreciate their business circling the sinkhole.

eleuthria

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Has anyone seen this coming the other way (selling on exchange, redeeming into fiat through Dwolla)?

TippingPoint

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making it visible

So "peer-to-peer virtual currency exchange" is a no-no in the highly regulated FinCen world. Don't try this at home. These are highly trained professionals.

mechs

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https://i.imgur.com/tT1xHTJ.jpg
I just got this email today after I initiated a bank transfer to fund my Dwolla account. I had previously used dwolla to buy bitcoins on localbitcoins, and had also transferred fundsto camp bx. Anyone else have this issue before? This will be a killer for both of these US services - looks like stuck with coinbase and their high fees.

Topic: Dwolla freezing all financial transfers related to bitcoins?! (Read 2886 times)