Why would customers use Bitcoins? - page 94.

pereira4

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Quote from: Yakamoto on December 26, 2015, 02:18:34 PM

Quote from: bearex on November 21, 2015, 04:15:28 PM

I came to figure out, why would a consumer/customer use Bitcoins?
You have to pay the 3 cent fee, while you dont have to pay anything when paying with a credit card.

So what is really a benefit for using Bitcoins, customer wise?

Banks charge you a fee every year to maintain your account, among withdrawal/deposit fees. In order to have money to spend using credit cards or other online payment systems, you need to have a bank account. There are fees outside of transaction fees that have a large effect. $0.03/transaction is very little in comparison to bank fees, you'd have to make over 10,000 transactions to meet some of the fees, which typically tally in around $300 total.

Some online wallets don't charge you any transaction fees either, so it is entirely possible to avoid the fees altogether.

Some people would rather pay the bank to keep their money safe so they don't have to deal with it, also most people don't like volatility. Maybe in the future the culture of self-responsibility will be stronger, and Bitcoin is a dream come true for those that want to be responsible of their own money (and assume the given volatility of an emerging asset).

icem3lter

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Quote from: STT on January 08, 2016, 05:32:55 PM

Credit cards charge the retailer two or three percent which does affect you the customer. Anything which costs a business does then cause higher costs to the customers of that business, its pretty much a law of commerce that this happens. If credit cards are expensive then the prices are higher then need be, so if bitcoin lowers costs then you get businesses which can bring you lower prices.
It could help an entire economy, thats not really an overstatement so far as I can tell. Same for transport costs, I dont pay them direct but if its cheaper then a supermarket, transported foods or any long distance product can also become cheaper. Good economies usually revolve around efficiency and the cheapest way to create and distribute a product, hence mass marketing mass production is a modern phenomena.

The low fees for international money exchange and free uncapped movement is a big deal for bitcoin, in time it might be the most important factor that gives it success (and I presume a higher price).

But what you don't see, is that credit card companies try to make money any way they can. They see innovation as an obstacle to their progress. If Bitcoin becomes widely used they will take action to stop it before it can do any damage to their business.

STT

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Credit cards charge the retailer two or three percent which does affect you the customer. Anything which costs a business does then cause higher costs to the customers of that business, its pretty much a law of commerce that this happens. If credit cards are expensive then the prices are higher then need be, so if bitcoin lowers costs then you get businesses which can bring you lower prices.
It could help an entire economy, thats not really an overstatement so far as I can tell. Same for transport costs, I dont pay them direct but if its cheaper then a supermarket, transported foods or any long distance product can also become cheaper. Good economies usually revolve around efficiency and the cheapest way to create and distribute a product, hence mass marketing mass production is a modern phenomena.

The low fees for international money exchange and free uncapped movement is a big deal for bitcoin, in time it might be the most important factor that gives it success (and I presume a higher price).

btvGainer

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Quote from: bearex on November 21, 2015, 04:15:28 PM

I came to figure out, why would a consumer/customer use Bitcoins?
You have to pay the 3 cent fee, while you dont have to pay anything when paying with a credit card.

So what is really a benefit for using Bitcoins, customer wise?

Who says you dont pay fee for credit card? you do and it is called interest.Bitcoin has many advantages like It saves money conversion fee in an international transaction

EdenHazard

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Quote from: Hazir on November 21, 2015, 05:29:03 PM

I don't think that you can compare these 2 with in the same way. Credit cards are a convenient way of doing payment processing on top of fiat currency. Bitcoin is a digital currency itself.

you are right, bitcoin and a credit card can not be compared, because they have different structures, and I think customers will choose to use bitcoin than credit cards because of differences in the structure, they may get bored using credit card.

steveds

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Quote from: Boosterious on January 08, 2016, 03:24:02 PM

if you ask why the customer should choose bitcoin, the answer is because bitcoin is something new and deserve to be used as future payments, should customers get bored with the old-fashioned payment method.

It doesn't matters if it is new or old but if it deserves then it will be used for sure but i don't see that happening and certainly i would have to doubt that it deserves.Getting bored and switching to something new might fuck up their fiat cause of price instability & it will be a risk.It's more difficult as you get in.

Boosterious

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The mind is everything. What you think you become.

if you ask why the customer should choose bitcoin, the answer is because bitcoin is something new and deserve to be used as future payments, should customers get bored with the old-fashioned payment method.

STT

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Quote from: Jimbola3 on January 08, 2016, 02:22:01 PM

For the fast block time coins, the orphan rate is also high. You need more confirmations, so the total time is the same.

Not sure about that, I was thinking about blackcoin which is proof of stake and is pretty fast to confirm transactions without alot of processing. I know the type you mean though, the extremely fast coins have problems maybe due to network latency and conflicting confirmations.

Another point for bitcoin would be security, the credit card is so widely recognised it can be as dangerous as holding cash. Though in theory security rests with the operating company, it can cause alot of trouble. Bitcoin of course isnt credit based, its more segregated and liable to cause more trouble to criminals then its worth their bother to steal (of course any website which collects details and holds centrally the bitcoin has to be aware they are a great target)

eternalgloom

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Quote from: bearex on November 21, 2015, 04:15:28 PM

I came to figure out, why would a consumer/customer use Bitcoins?
You have to pay the 3 cent fee, while you dont have to pay anything when paying with a credit card.

So what is really a benefit for using Bitcoins, customer wise?

When I order food online through pizza.be, it's actually cheaper to pay with Bitcoin, since they don't charge a 1 euro fee like they do for paying with credit card or online banking.

Jimbola3

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Quote from: STT on December 26, 2015, 02:12:18 PM

Some of the alt coins are quicker for small transactions and you can just swap back and forth between them on the day. Thats a valid point though, faster times really needs to be integrated somehow

For the fast block time coins, the orphan rate is also high. You need more confirmations, so the total time is the same.

goinmerry

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Quote from: defaultking on December 26, 2015, 03:21:36 PM

On large purchase a three cent fee is cheaper than what most credit card companies charge which is around 3 percent last I heard. So anything over 1$ would be cheaper for customers of those savings are passed on to customers. As well it would help smaller companies bc those charges are higher. Finely you could travel around the world without worrying about what credit card and currencies are accepted.

That is a great thought. Also if bitcoin will be accepted in those part of the world that you will be travelling. Or better cash it before going there so you wont be broke even if they dont have bitcoin exchanges there.

ausbit

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Quote from: busybee7 on December 26, 2015, 03:23:11 PM

because its anonymous and very easy to use for new people

Yes, it really a great thing. So fast is its transactions of money, very less amount fees charged of 0.03. Buying or selling both ways getting the best services. And Bitcoins now can be utilised in many stores and various transactions.

busybee7

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because its anonymous and very easy to use for new people

defaultking

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On large purchase a three cent fee is cheaper than what most credit card companies charge which is around 3 percent last I heard. So anything over 1$ would be cheaper for customers of those savings are passed on to customers. As well it would help smaller companies bc those charges are higher. Finely you could travel around the world without worrying about what credit card and currencies are accepted.

bitcoin-hunter

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Quote from: nejibens on December 26, 2015, 09:45:21 AM

I think Bitcoin's having many features which encourage many users to use it as payment method online, especially it's lowest fee comparing with fiat

My focus is also on the fees.
Every human being like to save money. If you can save money just by choose a different payment method, it is already very convincing for me.

sishendaoye

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The fees of anonimity should be the main reason for customers to take part in this bitcoin world.
It is the next generation payment gateway, made for solely transactions.

Yakamoto

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Quote from: bearex on November 21, 2015, 04:15:28 PM

I came to figure out, why would a consumer/customer use Bitcoins?
You have to pay the 3 cent fee, while you dont have to pay anything when paying with a credit card.

So what is really a benefit for using Bitcoins, customer wise?

Banks charge you a fee every year to maintain your account, among withdrawal/deposit fees. In order to have money to spend using credit cards or other online payment systems, you need to have a bank account. There are fees outside of transaction fees that have a large effect. $0.03/transaction is very little in comparison to bank fees, you'd have to make over 10,000 transactions to meet some of the fees, which typically tally in around $300 total.

Some online wallets don't charge you any transaction fees either, so it is entirely possible to avoid the fees altogether.

STT

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Some of the alt coins are quicker for small transactions and you can just swap back and forth between them on the day. Thats a valid point though, faster times really needs to be integrated somehow

mayax

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Quote from: nejibens on December 26, 2015, 09:45:21 AM

I think Bitcoin's having many features which encourage many users to use it as payment method online, especially it's lowest fee comparing with fiat

the credit/debit cards has NO fees for online and offline purchases and also they are instant. you don't have to wait 15-20 min for a transaction confirmation.

nejibens

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I think Bitcoin's having many features which encourage many users to use it as payment method online, especially it's lowest fee comparing with fiat

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