Topic: Profiting from Buying/Selling Bitcoin for Different Payment Methods? (Read 446 times)
February 04, 2016, 07:20:27 PM
The currency exchange sub-forum is just one example of this in action. Different payment methods have different values when compared to BTC.
February 03, 2016, 10:06:12 PM
Are there many people that do this? For example, let say you were to trade some funds. Say you want bitcoin and have something like poker funds. Lets assume bitcoin and poker funds are same rate. So for $1000 worth of poker money you have, the other person send you $1000 worth of btc. The moment you receive btc, you then send it to circle or coinbase. In the example, use circle since its no fees. So let say the rate of bitcoin didn't change much and you have around $1000 sent to your bank acct that will be there in few day etc.
Now let say you were to buy someones poker funds and paid them with another method. Such as bank transfer or paypal etc. Let say for $1000 of poker funds, you would give them $970. After that, you would have $1000 worth of poker funds. Then have to play with it. Lets just say you ended up with exactly $1000 after you played those funds. Now you want to cashout those funds to your bank account. You then find someone who has bitcoin worth $1000. You both trade and you receive btc and they receive poker funds. You then send funds immediately to circle. Then cashout to your bank account. Here don't you make 3 percent vig?
Of course the issue here is you need to find someone willing to trade their btc for your poker funds at no vig. Then you buying someones poker funds for your bitcoin for a few percent vig. With coinbase though it would be 1 percent fee so thus if 3 percent vig... then subtract 1 percent vig.. you make 2 percent.
I assume there are lot of ppl doing stuff like this right but not poker funds and with other funds? Like getting a 5 percent vig on selling bitcoin. Then cashing those funds out to bank acct or selling them for a bank transfer where they make money off the vig?
You can say its sort of similar like you buy bitcoin from someone for $420 per bitcoin. Then find someone who buys its at $425 per bitcoin. So in this situation, you would buy as much as you can that you can sell to the other person. But in my example, does this make sense? The thing that is strange about this is back then, i recalled when you have bitcoin, you usually get 3% vig at least when someone sends you poker funds. Thus $970 btc gets you $1000 poker funds. But now... it seems like its even. Such that $1000 btc gets back $1000 poker funds. Isn't that incorrect? Since if someone wants to buy poker funds with bank transfer or paypal etc... well they are almost never paying full price?
Now let say you were to buy someones poker funds and paid them with another method. Such as bank transfer or paypal etc. Let say for $1000 of poker funds, you would give them $970. After that, you would have $1000 worth of poker funds. Then have to play with it. Lets just say you ended up with exactly $1000 after you played those funds. Now you want to cashout those funds to your bank account. You then find someone who has bitcoin worth $1000. You both trade and you receive btc and they receive poker funds. You then send funds immediately to circle. Then cashout to your bank account. Here don't you make 3 percent vig?
Of course the issue here is you need to find someone willing to trade their btc for your poker funds at no vig. Then you buying someones poker funds for your bitcoin for a few percent vig. With coinbase though it would be 1 percent fee so thus if 3 percent vig... then subtract 1 percent vig.. you make 2 percent.
I assume there are lot of ppl doing stuff like this right but not poker funds and with other funds? Like getting a 5 percent vig on selling bitcoin. Then cashing those funds out to bank acct or selling them for a bank transfer where they make money off the vig?
You can say its sort of similar like you buy bitcoin from someone for $420 per bitcoin. Then find someone who buys its at $425 per bitcoin. So in this situation, you would buy as much as you can that you can sell to the other person. But in my example, does this make sense? The thing that is strange about this is back then, i recalled when you have bitcoin, you usually get 3% vig at least when someone sends you poker funds. Thus $970 btc gets you $1000 poker funds. But now... it seems like its even. Such that $1000 btc gets back $1000 poker funds. Isn't that incorrect? Since if someone wants to buy poker funds with bank transfer or paypal etc... well they are almost never paying full price?
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