How do Online Wallets Survive ?? | Bitcointalksearch.org

ivanst776

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Quote from: apoorvlathey on March 27, 2016, 09:40:49 AM

There are many online wallets like Xapo and Coinbase that do not charge any transaction fees or they pay that fees by themselves. I want to know that how would they profit from paying for their user's transaction fees ?
If no fees is charged then the transaction take a much long time or even might get cancelled !

If they had only one feature to offer the service of an online bitcoin wallet then they couldn't survive by covering the fees.

But as we know they have other services like exchanges for usd/btc and ethereum recently (coinbase) so they take fees on every exchange.

Xapo besides exchange service they have also the bitcoin debit card which they take a fee as well.

zenitzz

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Quote from: TastyChillySauce00 on September 13, 2016, 06:39:21 AM

Quote from: zenitzz on September 13, 2016, 12:33:26 AM

Quote from: Bitcoin0816 on August 23, 2016, 05:20:39 AM

Many of the online wallets services (like coinbase, blockchain, xapo, etc.,) having their own exchanges and they'll have some fees. OR if wallet doesn't have its own exchange (blockchain.info) there will be some ads on that website. I think this is the way that they're live (?).

I think their income not come from fees but from other we never know as we know if the fee transaction is for the miner.

definitely not the fees,when you input a fees all the fees that you're just input is not being cut off by the online wallet,it's all to pay the miner fee for the transaction,for proof,if you use blockchain,copy the transaction id (tx) and then explore it in another blockchain explorer and then the fee will remain the same as you input before

I know about it but he tell if online wallet get income from fees transaction so from where online wallet get income by run this business.

TastyChillySauce00

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Quote from: zenitzz on September 13, 2016, 12:33:26 AM

Quote from: Bitcoin0816 on August 23, 2016, 05:20:39 AM

Many of the online wallets services (like coinbase, blockchain, xapo, etc.,) having their own exchanges and they'll have some fees. OR if wallet doesn't have its own exchange (blockchain.info) there will be some ads on that website. I think this is the way that they're live (?).

I think their income not come from fees but from other we never know as we know if the fee transaction is for the miner.

definitely not the fees,when you input a fees all the fees that you're just input is not being cut off by the online wallet,it's all to pay the miner fee for the transaction,for proof,if you use blockchain,copy the transaction id (tx) and then explore it in another blockchain explorer and then the fee will remain the same as you input before

zenitzz

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Quote from: Bitcoin0816 on August 23, 2016, 05:20:39 AM

Many of the online wallets services (like coinbase, blockchain, xapo, etc.,) having their own exchanges and they'll have some fees. OR if wallet doesn't have its own exchange (blockchain.info) there will be some ads on that website. I think this is the way that they're live (?).

I think their income not come from fees but from other we never know as we know if the fee transaction is for the miner.

salmanahmedone

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Most operate under mining pools and the fees made during online wallet transactions are used for the mining pools, so they are certainly making a profit.

GregH37

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Quote from: zenitzz on August 23, 2016, 05:58:05 AM

I do not know why they can survive possible from ads that are installed on their website and it being their income.

of course they are getting revenue from ads. they have huge sponsors for their sites. but in the other side they do various things to survive. like above guy said all wallets have their on exchange where people can buy sell bitcoins.
and one more thing is the transaction fees. they will gain huge money with daily transactions.

sbtctalk

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Alternatively, they are burning their cash and waiting for buy outs from VCs ?

zenitzz

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I do not know why they can survive possible from ads that are installed on their website and it being their income.

Bitcoin0816

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Many of the online wallets services (like coinbase, blockchain, xapo, etc.,) having their own exchanges and they'll have some fees. OR if wallet doesn't have its own exchange (blockchain.info) there will be some ads on that website. I think this is the way that they're live (?).

johny87

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You need to classify wallets:
-Blockchain.info and most gambling sites: You pay the fees, it's extracted or added from the beginning of the transaction
-coinbase, circle: probably because they are exchanges they get the fee from their exchanging profit, they probably cover it as an additional service to gain users acceptance
-shady sites: to encourage people to use it to take it all later.

Herbert2020

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Quote from: Slark on August 21, 2016, 10:24:56 AM

Correct me if I am wrong but from what I know no 'pure wallet' (by which I mean service offering only bitcoin wallet capabilities - nothing more).
Have zero fee policy - zero fee is bait feature of multiservices like Coinbase which is wallet, and bitcoin exchange.
They are so big that with site's ads + service fee from their exchange it is possible for then to pay a transaction fee for you.

you are correct sir.
all the wallets that are similar to coinbase in case they offer a no fee service it means they are earning money through other methods like the fees they take on your fiat deposit or withdrawals to buy bitcoin. or some of them offer additional card services that charge for it.

NamedUser

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Quote from: apoorvlathey on March 27, 2016, 09:40:49 AM

There are many online wallets like Xapo and Coinbase that do not charge any transaction fees or they pay that fees by themselves. I want to know that how would they profit from paying for their user's transaction fees ?
If no fees is charged then the transaction take a much long time or even might get cancelled !

They clearly survive because they're centralized , when you do something wrong in their eyes they go ahead and seize your coins. It's the wild freaking west man. Don't trust them with your private keys!

Slark

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Correct me if I am wrong but from what I know no 'pure wallet' (by which I mean service offering only bitcoin wallet capabilities - nothing more).
Have zero fee policy - zero fee is bait feature of multiservices like Coinbase which is wallet, and bitcoin exchange.
They are so big that with site's ads + service fee from their exchange it is possible for then to pay a transaction fee for you.

lumeire

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Quote from: Red-Apple on August 21, 2016, 08:40:11 AM

Quote from: X-ray on August 21, 2016, 08:17:55 AM

blockchain.info is an online wallet and doesn't charge fee to pay hosting or what ever,all of the fee is fully given for the miners and blockchain.info don't took the bitcoin even a little bit,maybe you're talking about wallet which has provided by an exhanger,they'll charge fee about few cents or even less but it's for the service they offered,so no problem at all

blockchain.info is filled with advertisement but since they are not intrusive people don't feel when they are shown to them.
on the pages when you search for a transaction id there is one big ass ad on the bottom right corner.

and they don't even stop there, in the old version of the wallet (have not tried the new one) there were multiple small ads on the top right corner of the first page after login.

Plus they've got links to several bitcoin related services, so we can assume those were sponsored links. I don't mind those, they're pretty convenient as I see it.

Red-Apple

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Quote from: X-ray on August 21, 2016, 08:17:55 AM

blockchain.info is an online wallet and doesn't charge fee to pay hosting or what ever,all of the fee is fully given for the miners and blockchain.info don't took the bitcoin even a little bit,maybe you're talking about wallet which has provided by an exhanger,they'll charge fee about few cents or even less but it's for the service they offered,so no problem at all

blockchain.info is filled with advertisement but since they are not intrusive people don't feel when they are shown to them.
on the pages when you search for a transaction id there is one big ass ad on the bottom right corner.

and they don't even stop there, in the old version of the wallet (have not tried the new one) there were multiple small ads on the top right corner of the first page after login.

X-ray

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Quote from: davis196 on August 21, 2016, 08:09:08 AM

Quote from: apoorvlathey on March 27, 2016, 09:40:49 AM

There are many online wallets like Xapo and Coinbase that do not charge any transaction fees or they pay that fees by themselves. I want to know that how would they profit from paying for their user's transaction fees ?
If no fees is charged then the transaction take a much long time or even might get cancelled !

I`ve never seen an online wallet that doesn`t charge transaction fees.

They all charge transaction fees, because they all need revenue to pay for hosting and everything else.

This is their business model.

blockchain.info is an online wallet and doesn't charge fee to pay hosting or what ever,all of the fee is fully given for the miners and blockchain.info don't took the bitcoin even a little bit,maybe you're talking about wallet which has provided by an exhanger,they'll charge fee about few cents or even less but it's for the service they offered,so no problem at all

HaXX0R1337

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Quote from: davis196 on August 21, 2016, 08:09:08 AM

Quote from: apoorvlathey on March 27, 2016, 09:40:49 AM

There are many online wallets like Xapo and Coinbase that do not charge any transaction fees or they pay that fees by themselves. I want to know that how would they profit from paying for their user's transaction fees ?
If no fees is charged then the transaction take a much long time or even might get cancelled !

I`ve never seen an online wallet that doesn`t charge transaction fees.

They all charge transaction fees, because they all need revenue to pay for hosting and everything else.

This is their business model.

Obviously, Xapo does not charge transaction fees.
However that does not means they dont pay it, they just have another business model- they pay it from ads, donations etc. Not directly from users transactions.

davis196

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Quote from: apoorvlathey on March 27, 2016, 09:40:49 AM

There are many online wallets like Xapo and Coinbase that do not charge any transaction fees or they pay that fees by themselves. I want to know that how would they profit from paying for their user's transaction fees ?
If no fees is charged then the transaction take a much long time or even might get cancelled !

I`ve never seen an online wallet that doesn`t charge transaction fees.

They all charge transaction fees, because they all need revenue to pay for hosting and everything else.

This is their business model.

JeffBrad12

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Quote from: satmas on August 20, 2016, 11:58:07 PM

I guess they profit via ads. But xapo and coinbase also have debit cards so maybe they are making money of the fees?

But I don't think about getting their survive from ads, but in my minds, they're just surviving from the fees the get it from the transaction of everyone in their site.
Their main income that is from the transaction fees.

DOGE12321

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The no additional transaction fee is a marketing strategy that has been employed by the online wallets to attract new members. They get more money via advertisements. There are also fee's for buying Bitcoin via these accounts. In fact, they are making much more money than you may think they are.

Topic: How do Online Wallets Survive ?? (Read 4343 times)