rates between different exchanges

[fumblefingers]

This feels like a newbie question, so I'll drop it here:

Why is the price on bitfloor consistently around $5 higher than MtGox?

Another exchange I've been watching is the same. What gives?

[gfoot]

Mt Gox is notoriously hard to get money onto; they require a lot of paperwork and have a huge backlog for processing that paperwork.  I guess other exchanges end up with higher prices as a result.

[fumblefingers]

That doesn't make sense.

If I had to work harder to get to the MtGox trading floor, I think I'd be inclined to pay "more" for the stuff I worked so hard to get to. And there are "more" people working to get on that trading floor.  But the price is always less.

It's got to be something else doing this.

[holy_cow]

If I can't get my USD into Mt. Gox, I can't raise the demand for BTC.

[PachucoBro]

Mt Gox is notoriously hard to get money onto; they require a lot of paperwork and have a huge backlog for processing that paperwork.  I guess other exchanges end up with higher prices as a result.

I don't think you are 100% correct. I get my USD into my MtGOX account in less than 30 minutes. I use BitInstant's service, which uses ZipZap, which uses MoneyGram... to get USD into my MtGOX account.

The only thing I hate about the process is that I have to physically go to a store and I have to eat a 4% fee + $3.95 per deposit that is limited to $500 per transaction and $2,000 per day.