Topic: What stops you from opening a local bitcoin exchange business? - page 3. (Read 1880 times)
October 30, 2016, 04:46:13 AM
I live in a quite small community where just a few people uses Bitcoin. So there will not be a very large number of customers and for the people who are using Bitcoin is more convenient to use online exchangers. In my case opening local exchange wouldn't be very smart business idea.
October 30, 2016, 04:32:44 AM
Besides the security issue of handling lots of money in public what's stopping people who are familiar with bitcoin from opening a 'local bitcoin guy' business charging 10-15% for changing cash into btc? This would be the same service people list on Mycelium Local Trader and localbitcoin.com.
First of all there is a big competitor here, bitcoin exchanger with best service also there are some people open they service with lowest fee than that exchanger.As for me there is no way to open your own service unless you have a unique or maybe offering lowest fee than their fee. On the other hand you must have big capital to start this business.
October 30, 2016, 04:08:17 AM
Few are the people who uses bitcoin so opening an exchange bitcoin business is risky, i would prefer to open a business that accepts bitcoin as a payment method rather than acutely exchanging plus it is a lot of money to handle
October 30, 2016, 03:33:07 AM
If you want to make business you need money and in this situation huge amount of money. That is the main reason which stops me from opening a local bitcoin exchange business and also in my country most popular bank already has this service and people are using that but good opponent is always good to make service better in both side. I can't open bitcoin exchange business but I am offering people hosting in my country and now I don't have concurent in this job.
October 30, 2016, 01:40:25 AM
Besides the security issue of handling lots of money in public what's stopping people who are familiar with bitcoin from opening a 'local bitcoin guy' business charging 10-15% for changing cash into btc? This would be the same service people list on Mycelium Local Trader and localbitcoin.com.
not having enough bitcoin i guess
Just thinking about meeting with someone i don't know can be a real threat, the thread could be to both parties. there was a thread here where a buyer was robbed upon meeting with a bitcoin seller.
October 30, 2016, 01:29:03 AM
The first one will be the bitcoin popularity, in my place bitcoin is still not really famous, the second problem will be tax, when you do transaction in fiat with big number, the government will be suspicious and the last one is i believe if i opened a local exchanger i will be accused of money laundry
despite the fact that bitcoin is still not so much popular in my area, and still very little people know about bitcoin still i am welling to open a local bitcoin exchange business, as our government has not yet declare bitcoin as illegal therefore i have the advantage to open a bitcoin exchange, through this way bitcoin will also be introduce to people and people will start taking interest in bitcoin. 
October 30, 2016, 01:10:35 AM
The first one will be the bitcoin popularity, in my place bitcoin is still not really famous, the second problem will be tax, when you do transaction in fiat with big number, the government will be suspicious and the last one is i believe if i opened a local exchanger i will be accused of money laundry
October 30, 2016, 12:46:53 AM
This is not an easy job. Specially in countries where bitcoin is not that popular yet. You need invest some money in it in order to get the exchange ready and working, hire workers, pay electricity bills, renting bills and so on. If you cannot ROI that amount then you are the loser. It would be profitable only in those places where people use bitcoin in the same manner that they would use fiat, otherwise not.
October 30, 2016, 12:44:17 AM
Because there is very security issues associated with that type of business.
October 30, 2016, 12:43:52 AM
Besides the security issue of handling lots of money in public what's stopping people who are familiar with bitcoin from opening a 'local bitcoin guy' business charging 10-15% for changing cash into btc? This would be the same service people list on Mycelium Local Trader and localbitcoin.com.
It's not as easy as buying candy in a store. There are lots of things people have to consider before making such business like that. First of all, they must comply with money and regulations of a certain country to make their operation legit as it involves money. Also you need a big capital here as a start and a good bunch of operational team which you will pays plus the advertisement you will make.
So for meantime, people can do a small exchange and promotes in social media. In some of our local bitcoin group, there are persons who are converting bitcoin into cash with a certain fee. Although it only has limits and can't performed a big amount conversion.
October 30, 2016, 12:34:20 AM
Besides the security issue of handling lots of money in public what's stopping people who are familiar with bitcoin from opening a 'local bitcoin guy' business charging 10-15% for changing cash into btc? This would be the same service people list on Mycelium Local Trader and localbitcoin.com.
actually the main problem is of only trust .some months ago one of my friend started a site with buy a domain of .com but the main problem with his exchange site was the people ( 500 resister) who are using bitcoin and want fuat no believe at the site and about 4-5 deals in per month .
so the main things to be get trust and advertisement .
October 30, 2016, 12:22:26 AM
No volume, not enough starting capital, and no real reason to make one, regardless of whether or not I would be able to set it up for free.
The volume in my area would be terrible, even online or whatever. Maybe make, at best, $5-$10 a week on fees.
The volume in my area would be terrible, even online or whatever. Maybe make, at best, $5-$10 a week on fees.
October 30, 2016, 12:15:49 AM
Besides the security issue of handling lots of money in public what's stopping people who are familiar with bitcoin from opening a 'local bitcoin guy' business charging 10-15% for changing cash into btc? This would be the same service people list on Mycelium Local Trader and localbitcoin.com.
Well in my experience, i have got problem there are no many people who know and understanding about bitcoins and other coins, of course they don't use bitcoins and the other problem bitcoin's price is too high so it will need much capital. 
October 30, 2016, 12:10:26 AM
Besides the security issue of handling lots of money in public what's stopping people who are familiar with bitcoin from opening a 'local bitcoin guy' business charging 10-15% for changing cash into btc? This would be the same service people list on Mycelium Local Trader and localbitcoin.com.
funny you should ask :0
I have been thinking about this for a while and despite so many others here who say "capital" i have no problem with capital because i can start small and also i can take investors and there are already some friends that we are going to partner up.
the biggest problem is the regulations that i am so afraid of, and i am afraid it may change in the future like making bitcoin illegal and them i would be screwed!
October 29, 2016, 12:39:52 PM
You need money for that, except that security is one of the biggest problems. I don't think I'm smart enough for this, some better hacker would stole all I have, and what other people have.
This is not for everyone, people will lose more money in trying then profit from this business.
I will not try ever to run exchange site, or any site. Even if I do I will hire people to do things there.
Local bitcoin exchange business seems pretty good to do but some reasons we need to consider, the main considerations are the capital and security.This is not for everyone, people will lose more money in trying then profit from this business.
I will not try ever to run exchange site, or any site. Even if I do I will hire people to do things there.
I think this requires a lot of money and the ability to secure, promote, and gain the trust of the people. but for the beginning you can start from the scratch where some people already did it, without site and just using facebook.
October 29, 2016, 12:09:19 PM
There are many reasons why I am not creating a exchange site. It is hard to make a script of a exchange site and you need to have a good domain and a anti ddos protection. Youll need to have a time to spend in our website and lot of money to have an alt coin on your site. You need to a trust from your customers. Its hard but if your sites go famous you will earn a high profit
October 29, 2016, 09:38:22 AM
I had planned to open a bitcoin exchange website but what stopped me from opening is that only few knows about bitcoin and opening a exchange site is not a big deal but the problem is to win trust and popularity I have to spend lot of money and that too can't guarantee whether i could make profit or not.
October 29, 2016, 09:24:26 AM
you are talking about starting a new business first then it is about bitcoin. and a lot of people (me included) are not so willing to risk getting into a new business and risk starting a new one.
and although it can be good and profitable, a lot more than having a job behind a desk but it is not easy and needs a risk-accepting personality and also some capital which not everyone possess.
and although it can be good and profitable, a lot more than having a job behind a desk but it is not easy and needs a risk-accepting personality and also some capital which not everyone possess.
October 29, 2016, 09:05:50 AM
I have thought about opening some sort of local bitcoin buy/sell site just like cashtocrypto and accept local payment gateway or local banks so issue regarding security of bitcoin may not become big issue for me as all process will be manual.
But i haven't opened that site till now because i still have some fear of getting investigated by government or getting my bank accounts/payment gateway accounts blocked which are linked to this site. There is no any clear explanation regarding bitcoin like cryptocurrency here in my country. However without site i am already doing buying and selling with good price margin, demand of bitcoin is quite higher right now here.
But i haven't opened that site till now because i still have some fear of getting investigated by government or getting my bank accounts/payment gateway accounts blocked which are linked to this site. There is no any clear explanation regarding bitcoin like cryptocurrency here in my country. However without site i am already doing buying and selling with good price margin, demand of bitcoin is quite higher right now here.
October 29, 2016, 07:35:19 AM
probably because there is no demand long term for such a business where i live anyway. most people have only just heard about bitcoin. why would they want to give over cash for something they cant even use in their local community?
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