Which Bitcoin service is making profit?

acroman08

legendary

Activity: 2436

Merit: 1104

http://www.coindesk.com/state-of-blockchain-q1-2016/

The same article also says that VC are now focusing more on blockchain startups and hybrids rather than bitcoin startups.

Nevertheless, bitcoin startups should be making profits especially for payment processors who've managed to take a corner of the market like BitPay.

CryptoBjorn

hero member

Activity: 714

Merit: 500

Quote from: mobnepal on November 29, 2016, 02:42:09 AM

Bitcoin wallets like blockchain.info have got lots of funding but i am really confused how they are making any profit like from the ads also i don't think they are earning more than their expenditure on legal issues, support team, engineer, maintainance, server etc and many of the other web wallets also don't seem to have any other earning sources.

Bitcoin gambling are however earning really good return over time but most of their bankroll are self funded or just funded by few of the individuals not from VC or Angel investors.

Bitcoin hardware wallet makers like trezor also seems to get some profit because demand is quite higher this days and bitmain like mining device manufacturer remain always full with orders and their stocks clear out really quick so they also must be making good profit.

I do doubt parties like blockchain.info make profit simply because their advertisors in the mobile wallet don't seem to be a companies.
Mixing services and exchanges though are making profit.

stark101

newbie

Activity: 42

Merit: 0

Bitcoin is a digital currency that is generated through mining. And also there are several ways on how to make money trading bitcoin, just like the stock market, bitcoin trading involves buying at a low cost and selling when the price has gone up. In order to start trading, you need to set up the things that needs to be used, then after all this you will need to monitor the trading market for an opportunity to make profit through buying and selling of the bitcoins.

mobnepal

legendary

Activity: 1218

Merit: 1006

Bitcoin wallets like blockchain.info have got lots of funding but i am really confused how they are making any profit like from the ads also i don't think they are earning more than their expenditure on legal issues, support team, engineer, maintainance, server etc and many of the other web wallets also don't seem to have any other earning sources.

Bitcoin gambling are however earning really good return over time but most of their bankroll are self funded or just funded by few of the individuals not from VC or Angel investors.

Bitcoin hardware wallet makers like trezor also seems to get some profit because demand is quite higher this days and bitmain like mining device manufacturer remain always full with orders and their stocks clear out really quick so they also must be making good profit.

Kakmakr

legendary

Activity: 3542

Merit: 1965

Leading Crypto Sports Betting & Casino Platform

Quote from: equator on November 27, 2016, 02:11:40 PM

Quote from: izanagi narukami on November 27, 2016, 11:59:41 AM

Gambling investment ?

AFAIK, bitcoin still consider as high risk currency so it means that having bitcoin and try to mulitply them has higher chance to loss rather than you're playing stock ( Forex )

This were the same view of mine as i have seen lot of Gambling company have come in Bitcoin and are even some good sites going very good and are making lot of money and even the investors in that sites are also earning nice returns from their invested sites.

The only reason why these businesses are making money is because of the lower overheads. The online gambling operations can have a lower house edge, which attract more gamblers, because these operations run at a much lower cost than their brick 'n mortar equivalent.

The illegal operations do not have to pay expensive licenses, so they make even more profits than the regulated Bitcoin casinos. I doubt that VC capital will flow to illegal gambling operations. Tongue

BuySomeBitcoins

sr. member

Activity: 434

Merit: 253

Quote from: pinkflower on November 29, 2016, 01:31:11 AM

Most of the people here did not get what I was trying to say. I mean only the BTC companies that the VC's invested in. A good example of this is Change Tip. They had a funding round and collected 3 million $ from VC's. Over a year later Change Tip is now down and closed. So back to my question, which VC backed company in the BTC space are really making profit? We might see many fall one by one.

Because investors always win, either the startup they funded crashed or got acquired.

pinkflower

sr. member

Activity: 868

Merit: 259

Most of the people here did not get what I was trying to say. I mean only the BTC companies that the VC's invested in. A good example of this is Change Tip. They had a funding round and collected 3 million $ from VC's. Over a year later Change Tip is now down and closed. So back to my question, which VC backed company in the BTC space are really making profit? We might see many fall one by one.

d@nte

hero member

Activity: 490

Merit: 500

Most are probably services aimed at speculative purposes, such as forex, binary options and exchanges. Besides these, I think several gambling services are giving a good profit to the owners. But it's not only legitimate services that are being profitable, there are many scam websites that manage to disguise themselves as legit businesses, attracting a large number of people, from the outside and from the inside of the crypto space.

mrcash02

hero member

Activity: 1190

Merit: 525

CryptoTalk.Org - Get Paid for every Post!

Quote from: equator on November 27, 2016, 02:11:40 PM

Quote from: izanagi narukami on November 27, 2016, 11:59:41 AM

Gambling investment ?

AFAIK, bitcoin still consider as high risk currency so it means that having bitcoin and try to mulitply them has higher chance to loss rather than you're playing stock ( Forex )

This were the same view of mine as i have seen lot of Gambling company have come in Bitcoin and are even some good sites going very good and are making lot of money and even the investors in that sites are also earning nice returns from their invested sites.

I think that is the only option to make safe profit at this moment. But as many people are starting investing in casinos bankrolls, it will become useless for most investors soon. Only those sending big amounts will have a good profit.

Would be nice also to have a safe way to lend money and receive at least 2% profit over the amount weekly.

European Central Bank

legendary

Activity: 1288

Merit: 1087

unless it's an exchange or gambling site i think it's pretty safe to assume no one's making any profit.

i'd bet every high profile vc funded service won't provide a return for their investors for a long, long time and probably never. bitpay, circle, coinbase, they're all top line operations and must be burning millions.

btc-e probably turns a ton of money because they don't give a shit about anything. gemini and gdax and so on must be spending millions on compliance, lawyers, licensing, marketing, staff and not much is coming back in.

i think bitcoin companies, not bitcoin itself, will be like internet companies in the 90s. none will be left when it finally breaks through.

equator

legendary

Activity: 1190

Merit: 1002

Quote from: izanagi narukami on November 27, 2016, 11:59:41 AM

Gambling investment ?

AFAIK, bitcoin still consider as high risk currency so it means that having bitcoin and try to mulitply them has higher chance to loss rather than you're playing stock ( Forex )

This were the same view of mine as i have seen lot of Gambling company have come in Bitcoin and are even some good sites going very good and are making lot of money and even the investors in that sites are also earning nice returns from their invested sites.

chixka000

hero member

Activity: 910

Merit: 500

The safest way to do so is the management campaign service. Or i would also rather do some freelance work like we development or graphic designs, but of course this requires skills unlike investment yet so risky as well

amacar2

legendary

Activity: 1120

Merit: 1008

CryptoTalk.Org - Get Paid for every Post!

Quote from: pinkflower on November 27, 2016, 02:52:03 AM

Ok so they are long. But how long are they willing to wait if BTC companies cannot make money right now? Most, if not, all could fail and decide to quit. That is why I am asking, which of the ones that the VC's invested in are profitable or at least likely to be profitable? Is there one?

I really doubt they care about bitcoin price going up, VC will try to look at how popular startup ideas can be and if those startups are bitcoin/blockchain related usually rich guys who have been behind another successful bitcoin related startups in past will invest into.

Yes many startups have failed before also and there will be many more which can fail in future, even if start ups successfully collect very high amount of seed money, this can't guarantee that it will be big success in future. Even some startups with lots of seed money in hand have failed to launch or deliver any product.

Investing in startups is high risk high gain gambling.

izanagi narukami

legendary

Activity: 2030

Merit: 1028

Gambling investment ?

AFAIK, bitcoin still consider as high risk currency so it means that having bitcoin and try to mulitply them has higher chance to loss rather than you're playing stock ( Forex )

BuySomeBitcoins

sr. member

Activity: 434

Merit: 253

Quote from: pinkflower on November 27, 2016, 02:52:03 AM

Quote from: Sylon on November 26, 2016, 10:53:51 AM

Considering all those VC's are long, they plan to make a profit from bitcoin price increase in the (near?) future. This is a long-term investment.

(This is true when the companies they invested in earn money through transactions fees)

Ok so they are long. But how long are they willing to wait if BTC companies cannot make money right now? Most, if not, all could fail and decide to quit. That is why I am asking, which of the ones that the VC's invested in are profitable or at least likely to be profitable? Is there one?

Because this is not how it work, investors do not care about bitcoin price and do not use it as unit to for their investments decisions.

They invest in startups with short term return, and startup with high rate of exits / acquisitions.

pinkflower

sr. member

Activity: 868

Merit: 259

Quote from: Sylon on November 26, 2016, 10:53:51 AM

Considering all those VC's are long, they plan to make a profit from bitcoin price increase in the (near?) future. This is a long-term investment.

(This is true when the companies they invested in earn money through transactions fees)

Ok so they are long. But how long are they willing to wait if BTC companies cannot make money right now? Most, if not, all could fail and decide to quit. That is why I am asking, which of the ones that the VC's invested in are profitable or at least likely to be profitable? Is there one?

BuySomeBitcoins

sr. member

Activity: 434

Merit: 253

Investing in startup is pure gambling, you need skills and luck.

The way investors decide where to invest depend on the business plan, the founder pitch and so on.

I was approached by 4 VC this month for my solution and I declined.

Sylon

legendary

Activity: 1568

Merit: 1169

Considering all those VC's are long, they plan to make a profit from bitcoin price increase in the (near?) future. This is a long-term investment.

(This is true when the companies they invested in earn money through transactions fees)

pinkflower

sr. member

Activity: 868

Merit: 259

This has been a puzzle for me. This is the chart of how much the VC's have invested in Bitcoin companies.

So I want to ask everyone which company is making profit or going to make profit in the future? This could be a case where the VC's are losing big on BTC companies.

Topic: Which Bitcoin service is making profit? (Read 710 times)