The end user Bitcoin experience is absolutely horrible!!

[CryptoSouth]

In attempt to purchase some parts from Newegg this is what transpired.


My Total from Newegg               0.010960   BTC "192.96 USD"

Requested from Bitpay              0.011905   BTC "209.49 USD"

Payment to Newegg. @ 09:09    0.01266294 BTC "219.06 USD"  (This includes CoinBase Fees)

Payment status changed to pending @ 9:17

Payment Rejected @ 09:24 Transaction took more than 15 min and was rejected by Bitpay for underpayment as the price of BTC changed. Bitpay said my invoice was under paid by 0.000161 BTC "2.85 USD".

As the transaction was outside the 15 min time window I could not send extra coin and could only opt for a refund.

Refund from bitpay   0.010389   BTC "182.82 USD"

So in short I lost   0.00227394 BTC "36.24 USD" this loss was due to network fees incurred transferring the Bitcoin back and forth.


First: This is absolute malarkey! Every one says Bitcoin is made to be a currency not a investment. Well if you compare what it cost to send money using services such as Paypal, Credit Cards or ACH you will find a average some where in the range of 1.5% of the transaction plus up to .99 USD per transaction. 

No sane person is ever going to pay 15 USD in fees on a invoice of 200 USD that is like 7.5%. What is being told here is Bitcoin is absolutely a investment or only used to pay shady people who do not care if the invoice was 2 USD short and it took 18 min to clear the network because they are just going to stack the BTC as a investment any way.


Second: This is not the first time I had this issue with an exchange to exchange payment. When I purchased goods from MinerWarez once again I sent the exact amount requested at the checkout and it came up 0.00622 BTC "36.89 USD" underpaid luckily the timer had not run out and I was able to send the additional BTC to GoCoin.

If Bitcoin as a currency is going to move forward in the mainstream these issues need to be resolved quickly. The general public is not going to deal with waiting 20 min to find out they just got screwed out of money due to some stupid timer running out!


Third: So I research as to why it took more the 10 min to comment my transaction to the blockchain. It seams the transactions are processed not in the order that they were received but in the order of payment density. This means that if my payment with a transaction fee of 15 USD was at the top of the stack at 9:09 and another payment with a transaction fee of 100 USD was added at 9:18 but before the next block was compiled for solving then my transaction would be bumped in favor of the transaction with the 100 USD fee.

That is just highway robbery because now I must lose money because some one else decided to skip writing my transaction to the blockchain in a timely manner. I bet every one who is evolved in Bitcoin would have cow if net neutrality is reversed and ISPs start charging quadruple to people with traffic related to Bitcoin Mining. Transactions being committed to the blockchain is no different than your data packets riding the light, it should be first come first serve not highest bidder wins!


Forth: Who gets to choose the timer duration because that needs to be changed at the least, with the current number of transactions on the network that timer should be at least 30 min if not 1 hour just to be safe.


You know its bad enough that when you pay a invoice with BitCoin the vendor wants you to pay for their network and processing fees then you get slapped with the network choosing to process the transactions that make the miners the most money first. This is just as bad as central banking BS fees. We run a mine and I am not OK with the way this went down so I could just imagine how Joe End User would feel!! Had this been Blood, Sweat or Tears money I would ditch this method of payment!


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[FrueGreads]

Every one says Bitcoin is made to be a currency not a investment. Well if you compare what it cost to send money using services such as Paypal, Credit Cards or ACH you will find a average some where in the range of 1.5% of the transaction plus up to .99 USD per transaction.

Well, I won't say bitcoin is not going to be a currency, and that is the way it was intended to play out, but right now, everyone is saying that bitcoin is becoming gold 2.0. So it's much closer to an investment than a payment method. I'm afraid that BTC doesn't really work as a payment method right now, specially for small payments, like the one you were making. If you go to 5 or 6 digits transactions or payments, then those fees are actually not that high, compared to what you would get with the services you mentioned. We are seeing more and more news, of users buying million dollar houses with bitcoin, and they are pretty happy about it.

Maybe BTC will work as a payment method, but not just yet. Also, I never used Newegg, do they only use Bitpay? If they do, that is actually a bad option because bitpay always has those 15min limits, and they force you to pay big fees. If they let you send the payments directly to them, without having to go through bitpay, you would be able to control your fees much better, because you could end up sending within 2 or 5 blocks, and the fees would be much smaller. Also, pay attention to the outputs of your transactions if you use electrum for example, because the fees end up being higher as well.

[thamoneyshot]

I use a shift debit card to avoid fees when making purchases... It pulls the bitcoin right out with no fees and it’s connected to a Coinbase account

[CryptoSouth]

.............

It has been a while sense I have used Bitcoin, The last time I purchased coin was back when it was like $400 per BTC. Back then I would buy coin from a guy in the Philippines and use it to pay a couple guys that would write asterisk scripts and HTML for me I left some coin in my wallet back then and boy did it grow.

I had enough in BTC to order a few Avalon miners and build out a XMR miner with two Vega56 cards. Well I ordered the Vega56 cards from Newegg with no issue then I found out that to use Win10 with the Vegas I must have a mainboard with PCE-E 3.0 and UEFI. This newegg order I had issues with was the parts I needed to complete the GPU build.

But to answer your question yes the only way to pay Newegg is through the BitPay service.