A report published by Ethereum World News suggests traditional banking can be up to and in excess of 120x more expensive than cryptocurrency alternatives according to data received from the Bank of America. Decentralised cryptocurrencies have distinct advantages over centralised financial systems.
To send a wire transfer from within the US a customer is looking at a $30 charge increasing to $35 if it’s international. The report explains that for a wire transfer it costs Fedwire $0.25 for interbank transactions between United States Federal Reserve Banks. This results in a difference of $29.75 between the charge and cost that is kept by the bank.
Bitcoin was introduced to alleviate some for the restraints traditional banking brought such as the cost and speed of transactions. The Bitcoin network allows you to set a fee for your transaction to help determine the speed at which it is accepted into a block.
According to data through bitcoinfees.info on average a fee of $0.09 will have a transaction mined within the next block which occurs every 10 minutes. An order to buy Bitcoin with a fee of $0.03 on average will be mined within the next 6 blocks. Comparable to traditional banking costs these are very low.
Exchanges tend to set the lowest fee for transactions which can cause delays when using to buy and sell cryptocurrency. By setting this fee at the lowest a request to buy Bitcoin through an exchange is likely to take longer than a normal transaction.
Though the Bitcoin network was designed as an improvement on traditional banking, it still has flaws. Scalability is an issue in which during periods of high traffic, the network can experience congestion. At the end of December 2017, the network experienced its longest delays due to the volume of transactions. To have a transaction accepted into the next block required $35 and this rivals that of traditional banking for international payment. A request to buy Bitcoin at this time would have experienced huge delays in receiving confirmation.
Though there are distinct financial advantages of buying Bitcoin for transactions it is not fully reliable and able to handle the volume needed for mainstream adoption
To ensure you don’t miss any of the latest informative news or to buy Bitcoin, head on over to BC Bitcoin your trusted cryptocurrency broker.
Dear valued BC Bitcoin UK Clients,
I hope this email finds you well. We are reaching out to inform you of some significant changes to our services that directly impact our operations within the United Kingdom. Regrettably, due to the recent regulatory developments introduced by the Financial Conduct Authority (FCA) and the implementation of the new Financial Promotions Regime, BC Bitcoin is no longer able to offer our services to clients based in the UK. This very difficult decision is in compliance with the regulatory framework and ensures that we uphold the highest standards of transparency and legality. You can view the FCA publication here: https://www.fca.org.uk/publication/finalised-guidance/fg23-3.pdf As a result, we would like to inform you of the following changes and provide guidance on how to manage your assets with BC Bitcoin:
1. **Service Termination for UK Clients:**
BC Bitcoin will no longer be able to accept new purchase orders from clients residing in the United Kingdom.2. **Continued Operation Outside the UK:**
Despite the changes within the UK, BC Bitcoin will continue to operate outside of the UK as normal. Our services will remain unaffected for clients in other regions.3. **Withdrawal of Assets:**
For our UK clients holding assets with BC Bitcoin, we want to assure you that your assets are secure. You have the option to safely withdraw your assets or exchange them to GBP or EUR and subsequently withdraw. We have streamlined the withdrawal process to ensure convenience for our clients.4. **Conversion of Assets:**
To convert your Holdings to fiat please log in to your BC Bitcoin account and submit a sell order for the amount of coin you hold with us. During the process you will shown how much you will receive and asked the bank details you wish to receive payment to. In addition, you can request the conversion by emailing info@bcbitcoin.com from your registered email address. If you encounter any issues or require assistance, our customer support team is ready to help you throughout the process.5. **Withdrawal Procedure:**
To initiate a withdrawal, please email your request to info@bcbitcoin.com from your registered email address. You may be asked some security questions to verify your identity. If you encounter any issues or require assistance, our customer support team is ready to help you throughout the process. These changes are effective immediately, and we appreciate your understanding and cooperation during this transitional period. We understand that this may be an inconvenience for our UK clients, and we sincerely apologise for any disruption this may cause. Thank you for being a valued part of the BC Bitcoin community. We are committed to providing you with a seamless experience as we navigate through these regulatory changes. If you have any questions or concerns, please do not hesitate to reach out to our customer support team at info@bcbitcoin.com Kind Regards