Coinbase BTC value fairly different than MTGox

[webchris]

Anyone know what determines the BTC buy/sell at Coinbase? I had thought it was based on MTGox, but I can see now that it is not, or it is delayed. I didn't think it was its own "exchange".

It shows I can buy BTC at $93.55, while MTGox shows 98.79.

Thanks for the clarification!

[vokain]

it probably is sourcing some coins from other exchanges as well. perhaps in conjunction with coinlab/coinsetter? idk

[vokain]

I think coinbase is working with tradehill...

https://blog.tradehill.com/bitcoin-social-meet-up-wrap-up/

[Moebius327]

I had similar experience with coinbase. I think it's related to your post: https://bitcointalk.org/index.php?topic=264283.msg2826236#msg2826236

[zeroblock]

I believe Coinbase is matching orders internally, then placing orders on whatever exchange can fill the liquidity.  I don't know for sure though.

[Moebius327]

I believe Coinbase is matching orders internally, then placing orders on whatever exchange can fill the liquidity.  I don't know for sure though.

I don't think $5 difference is acceptable.

[zeroblock]

I believe Coinbase is matching orders internally, then placing orders on whatever exchange can fill the liquidity.  I don't know for sure though.

I don't think $5 difference is acceptable.

The reason for the $5 divergence is because Mt.Gox isn't an exchange and therefore the price on Gox isn't accurate. 

[Moebius327]

I believe Coinbase is matching orders internally, then placing orders on whatever exchange can fill the liquidity.  I don't know for sure though.

I don't think $5 difference is acceptable.

The reason for the $5 divergence is because Mt.Gox isn't an exchange and therefore the price on Gox isn't accurate. 

I am not talking about Mt.Gox.

Paid an invoice issued trough coinbase for $290 yesterday and didn't notice the weird exchange rate $92/BTC. I sent 3.1394349 BTC to https://blockchain.info/address/1ELA2yrvHYxLfXRi2Mm4cf4Wwfiy5jX62r  Several minutes after transaction completed I noticed the low exchange rate and refreshed the invoce and now their exchange rate was $97 (2.98BTC for the invoice).

Has anyone experienced this?

Edit: Still waiting for some feedback from their support

[webchris]

The reason for the $5 divergence is because Mt.Gox isn't an exchange and therefore the price on Gox isn't accurate. 

Last time I used Mt.Gox it was an exchange. I was able to put in buy/sell orders at prices I was willing to exchange my BTC. But at CoinBase I just have a fixed amount I can pay for BTC or sell BTC for. You can't put in a "bid" or "ask" like at an exchange. But if Gox is not accurate, who is? CoinBase has to be basing their buy/sell prices on something.

[zeroblock]

The reason for the $5 divergence is because Mt.Gox isn't an exchange and therefore the price on Gox isn't accurate. 

Last time I used Mt.Gox it was an exchange. I was able to put in buy/sell orders at prices I was willing to exchange my BTC. But at CoinBase I just have a fixed amount I can pay for BTC or sell BTC for. You can't put in a "bid" or "ask" like at an exchange. But if Gox is not accurate, who is? CoinBase has to be basing their buy/sell prices on something.

Its not Gox I can promise you that.  Gox fails to meet the requirement of an exchange because you cannot reliably or efficiently exchange BTC into fiat.  Sure, it might say that you have a fiat balance, but you can only realize that fiat if it is wired to your bank account.

[Mooshire]

Gox doesn't count as an exchange, i'm pretty sure they pull numbers out of their ass anyways.