Bitcoin Forum
April 23, 2014, 09:16:10 AM *
News: Due to the OpenSSL heartbleed bug, changing your forum password is recommended.
 
   Home   Help Search Donate Login Register  
Pages: [1] 2 3  All
  Print  
Author Topic: Dwolla growth email - success and relation to Bitcoin?  (Read 3105 times)
evoorhees
Hero Member
*****
Offline Offline

Activity: 910


Democracy is the original 51% attack


View Profile WWW

Ignore
July 21, 2011, 04:24:09 PM
 #1

Received an email today from Dwolla, with them announcing they've passed $1m in daily transactions. They've got a nice infographic chart showing their growth since December. Now, of course, it is strikingly similar to the growth of interest in Bitcoin (starts jumping fast in May, right as Bitcoin started getting traction).

However, they're not mentioning Bitcoin AT ALL in either their email or graphic. It's understandable of course, but I found it amusing.  Am I wrong in speculating that a significant part of their growth is due directly to Bitcoin? My guess is that they have a love/hate relationship with Bitcoin, as it's bringing them massive business, but is also likely to make them obsolete before they ever truly succeed.

Thoughts?




SatoshiDICE World's most popular Bitcoin game.
1398244570
Hero Member
*
Offline Offline

Posts: 1398244570

View Profile Personal Message (Offline)

Ignore
1398244570
Reply with quote  #2

1398244570
Report to moderator
1398244570
Hero Member
*
Offline Offline

Posts: 1398244570

View Profile Personal Message (Offline)

Ignore
1398244570
Reply with quote  #2

1398244570
Report to moderator
1398244570
Hero Member
*
Offline Offline

Posts: 1398244570

View Profile Personal Message (Offline)

Ignore
1398244570
Reply with quote  #2

1398244570
Report to moderator
Buy a Blade, Get a 5-Chip Free!
Start Mining with GAWMiners.com
24/7 Live Phone & Tech Support
Free Hosting & Electricity for 1 Year!

Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1398244570
Hero Member
*
Offline Offline

Posts: 1398244570

View Profile Personal Message (Offline)

Ignore
1398244570
Reply with quote  #2

1398244570
Report to moderator
1398244570
Hero Member
*
Offline Offline

Posts: 1398244570

View Profile Personal Message (Offline)

Ignore
1398244570
Reply with quote  #2

1398244570
Report to moderator
1398244570
Hero Member
*
Offline Offline

Posts: 1398244570

View Profile Personal Message (Offline)

Ignore
1398244570
Reply with quote  #2

1398244570
Report to moderator
drrussellshane
Hero Member
*****
Offline Offline

Activity: 510


View Profile WWW

Ignore
July 21, 2011, 04:28:17 PM
 #2

Yep. It's from bitcoin.

OTC Rating - Rep Thread - Public PGP key - Ŝejnpensejo - about.me
Amagi Metals Want gold? Buy gold & silver with bitcoin and litecoin and even dogecoins now! Amagi Metals
FlipPro
Hero Member
*****
Online Online

Activity: 980



View Profile WWW

Ignore
July 21, 2011, 04:33:51 PM
 #3

Never even heard of "dwolla" before I got into Bitcoin  Roll Eyes. So that bump is an obvious bump related to Bitcoin...

Tweet For Coins http://uptweet.com |Bitcoin T's http://bitcoinpride.com
kokojie
Hero Member
*****
Offline Offline

Activity: 882


tblob.org


View Profile

Ignore
July 21, 2011, 06:17:07 PM
 #4

yep it's pretty obvious

If my post has been helpful, send me some love -> BTC: 1kokojUapmWqCqPw3Ch2rjcVh57tJEzka | PPC: PDyXAgA8eH47gokVW6zVZPSuu15aao5nZF | LTC: LRDpNJM5nkXFBDoxWRCk5hicvT7TrXQZ3c
The Big List of Bitcoin | My reputation | Free 20GB cloud storage from copy.com
BTCrow
Full Member
***
Offline Offline

Activity: 235


BTCrow.com


View Profile WWW

Ignore
July 21, 2011, 06:43:54 PM
 #5

I never heard about dwolla too before bitcoins. So it can be an influence of their daily transactions.

evoorhees
Hero Member
*****
Offline Offline

Activity: 910


Democracy is the original 51% attack


View Profile WWW

Ignore
July 21, 2011, 06:48:38 PM
 #6

It must be a very difficult issue for them. Bitcoin will replace the value proposition they offer - Dwolla is made redundant by Bitcoin's success. It's like they're helping to foster a child that will grow up to kill them! Strange relationship.

SatoshiDICE World's most popular Bitcoin game.
CaptainDDL
Newbie
*
Offline Offline

Activity: 23


View Profile

Ignore
July 21, 2011, 06:53:48 PM
 #7

Yeah, if not for being the cheapest option to purchase BTC I would have never used Dwolla.
RodeoX
Hero Member
*****
Offline Offline

Activity: 1148


The revolution will be monetized!


View Profile

Ignore
July 21, 2011, 07:19:38 PM
 #8

I would have never used dwolla if it were not related to bitcoin. Hell, I don't even have a facebook account.
We should tell them! email on the way!

The gospel according to Satoshi - https://bitcoin.org/bitcoin.pdf
tvbcof
Hero Member
*****
Offline Offline

Activity: 1022


View Profile

Ignore
July 21, 2011, 09:12:37 PM
 #9

It must be a very difficult issue for them. Bitcoin will replace the value proposition they offer - Dwolla is made redundant by Bitcoin's success. It's like they're helping to foster a child that will grow up to kill them! Strange relationship.

I expect that Dwolla would be vastly more palatable to governments due to (what I am supposing without specific knowledge is) it's adherence to 'know-your-customer' procedures and non-P2P architecture.  I think it's safe to bet that if any 'legitimate' company operating in the US 'knows-its-customers', so to do a lot of government agencies, their friends, and their contractors.

So, I would suppose that governments would do what they can to foster Dwolla and it's cousins and deter Bitcoin (and it's possible cousins.)  I'm hopeful that Bitcoin will eventually strangle or starve out those in the other camp at an opportune time...at least I am currently and hope that nothing changes my mindset.  How this plays out will be very interesting.

fitty
Full Member
***
Offline Offline

Activity: 224


View Profile

Ignore
July 21, 2011, 09:37:23 PM
 #10

Received an email today from Dwolla, with them announcing they've passed $1m in daily transactions. They've got a nice infographic chart showing their growth since December. Now, of course, it is strikingly similar to the growth of interest in Bitcoin (starts jumping fast in May, right as Bitcoin started getting traction).

However, they're not mentioning Bitcoin AT ALL in either their email or graphic. It's understandable of course, but I found it amusing.  Am I wrong in speculating that a significant part of their growth is due directly to Bitcoin? My guess is that they have a love/hate relationship with Bitcoin, as it's bringing them massive business, but is also likely to make them obsolete before they ever truly succeed.

Thoughts?


That's why it's funny when people freak out over BTC prices. There are a ton of people buying and using bitcoins. These people aren't trying to make money off BTC, they aren't mining, they aren't "investing", they're using it for what it is, a currency. BTC has a strong future because of the people using it as a currency, not because of the miners, traders, investors. Those people are trying to make money off BTC. As long as people use it to exchange goods and services, which clearly it looks like they are, BTC is golden.

The price of BTC doesn't matter. $5 or $20 it really has no effect. People sell based on usd/euro etc... No one locks in prices at a set BTC. If you sell a $20 item for 1 BTC or 4 BTC it really doesn't change anything. The person buys the bitcoins, sends them, the seller cashes them out. At $5 and at $20 it's the same process. It's always been discussed that 50-80% of miners leaving wouldn't really change a thing. Day traders, investors, people playing the exchanges don't matter. All those people could fuck off right now and people would still be buying BTC, using BTC, and sellers selling the BTC.

Which is why there's no collapse. The people powering BTC, the people using BTC, don't give two shits about how much it's currently worth on the exchanges. There's APIs now that auto convert USD to current market value BTC. Does the API, buying, seller really care if it's $5 or $20? The API just converts it to the USD value and sells the item.

If anything BTC hitting $5 would get rid of the short term for profit miners who are drama queens every time the price fluctuates because they're in a panic to get their money back from their investment. It also gets rid of the people treating BTC like gold bullion.

BTC was never created to be a collectible. It's a virtual currency. Letting people can exchange goods and services. So Jimbo in Poland doesn't need a bank, visa, mastercard, or paypal to sell his homemade bellybutton lint sculptures. He can accept BTC from every corner of the planet. People seem to think that having people profit off of the investing, trading, mining is the core of BTC. It's not. People using BTC as a currency is the core of BTC, will always be the core of BTC, and those people don't give two shits what the current market value is.

They login, buy btc, spend them, get their shit. Whether it's $5 or $50 doesn't change anything. If all the people holding BTC like it's gold bullion cashed out, the people who are using the currency would still be using it the next day, the next week, the next month.


billyjoeallen
Sr. Member
****
Offline Offline

Activity: 252


Hide your women


View Profile WWW

Ignore
July 21, 2011, 11:29:04 PM
 #11

It's reasonable to assume that a substantial portion of that $1M/day is going into Bitcoin exchange accounts. This is an indication that their are more potential buyers to keep the price from dropping substantially and possibly drive the price up. 

I've funneled thousands through Dwolla and the only reason I've ever used it was to buy Bitcoin.

insert coin here:
1Ctd7Na8qE7btyueEshAJF5C7ZqFWH11Wc

Open an exchange account at CampBX: options, lowest commissions, and best security
https://campbx.com/register.php?r=0Y7YxohTV0B
bbit
Hero Member
*****
Offline Offline

Activity: 1050


Bitcoin


View Profile

Ignore
July 21, 2011, 11:32:20 PM
 #12

with out bitcoin Dwolla is Gonewolla I do believe!

BitcoinStarter.com - The First Bitcoin CrowdFunding site!
Videos4BTC.info - Video clips of girls stripping for BTC!
DopeCoin.com - A Billion Dollar Market!
Meatpile
Sr. Member
****
Offline Offline

Activity: 277


View Profile

Ignore
July 21, 2011, 11:48:10 PM
 #13

Well we know from hacking history that mtgox is around 60,000 accounts. So assuming half of those people used dwolla instead of liberty reserve then thats about $300 a person per week. That sounds like a fairly reasonable assumption. Only mtgox really knows how much people deposit and withdraw per week i guess, but those numbers are logical.



MagicalTux
VIP
Hero Member
*
Offline Offline

Activity: 617


Working on new MtGox features


View Profile WWW

Ignore
July 21, 2011, 11:56:06 PM
 #14

We got in June a total of $6,824,168.53 of funds moving around (16640 transactions in both deposits and withdraws) over Dwolla, equivalent of $227,472.28 per day, or $1,592,305.99 per week. Should be noted that the site was closed on June 20th, so in reality amount per day/week is higher.

bitcoinBull
Hero Member
*****
Offline Offline

Activity: 812


rippleFanatic


View Profile

Ignore
July 22, 2011, 12:42:35 AM
 #15

On their chart, Dwolla is claiming a million per week in June and a million per day in July. 

But the rally to $30 was in June, so either Dwolla has a substantial non-BTC customer base, or a lot of USD has moved to MtGox this month Grin

College of Bucking Bulls Knowledge
billyjoeallen
Sr. Member
****
Offline Offline

Activity: 252


Hide your women


View Profile WWW

Ignore
July 22, 2011, 12:59:00 AM
 #16

We got in June a total of $6,824,168.53 of funds moving around (16640 transactions), equivalent of $227,472.28 per day, or $1,592,305.99 per week. Should be noted that the site was closed on June 20th, so in reality amount per day/week is higher.

$6.8 million from Dwolla or from everywhere?

How much money is entering mtGox from Dwolla?

insert coin here:
1Ctd7Na8qE7btyueEshAJF5C7ZqFWH11Wc

Open an exchange account at CampBX: options, lowest commissions, and best security
https://campbx.com/register.php?r=0Y7YxohTV0B
julz
Hero Member
*****
Offline Offline

Activity: 952



View Profile

Ignore
July 22, 2011, 01:13:40 AM
 #17


The price of BTC doesn't matter. $5 or $20 it really has no effect. People sell based on usd/euro etc... No one locks in prices at a set BTC. If you sell a $20 item for 1 BTC or 4 BTC it really doesn't change anything. The person buys the bitcoins, sends them, the seller cashes them out. At $5 and at $20 it's the same process. It's always been discussed that 50-80% of miners leaving wouldn't really change a thing. Day traders, investors, people playing the exchanges don't matter. All those people could fuck off right now and people would still be buying BTC, using BTC, and sellers selling the BTC.

Which is why there's no collapse. The people powering BTC, the people using BTC, don't give two shits about how much it's currently worth on the exchanges. There's APIs now that auto convert USD to current market value BTC. Does the API, buying, seller really care if it's $5 or $20? The API just converts it to the USD value and sells the item.

If anything BTC hitting $5 would get rid of the short term for profit miners who are drama queens every time the price fluctuates because they're in a panic to get their money back from their investment. It also gets rid of the people treating BTC like gold bullion.

BTC was never created to be a collectible. It's a virtual currency. Letting people can exchange goods and services. So Jimbo in Poland doesn't need a bank, visa, mastercard, or paypal to sell his homemade bellybutton lint sculptures. He can accept BTC from every corner of the planet. People seem to think that having people profit off of the investing, trading, mining is the core of BTC. It's not. People using BTC as a currency is the core of BTC, will always be the core of BTC, and those people don't give two shits what the current market value is.

They login, buy btc, spend them, get their shit. Whether it's $5 or $50 doesn't change anything. If all the people holding BTC like it's gold bullion cashed out, the people who are using the currency would still be using it the next day, the next week, the next month.


It's true that the price of BTC is irrelevant for trades where it's converted seamlessly at either end.. but in practice there is a fair overhead in both fees and time for conversion. (I'm sure it varies from country to country - but for me it's a couple of days + 5% or so)

Once there are significant number of merchants accepting BTC, it seems to me that ironically, the market value of BTC could go up if governments start to make difficulties for the exchange points.   The smoother the flow in and out of BTC - the less need to hold a fat wallet.










@electricwings   BM-GtyD5exuDJ2kvEbr41XchkC8x9hPxdFd
Stephen Gornick
Hero Member
*****
Offline Offline

Activity: 1246



View Profile WWW

Ignore
July 22, 2011, 01:18:20 AM
 #18

$6.8 million from Dwolla or from everywhere?

removing the stuff in parenthesis:

We got in June a total of $6,824,168.53 of funds moving around over Dwolla

As far as how much was for incoming (deposits) versus outgoing (withdrawals) I don't know.

evoorhees
Hero Member
*****
Offline Offline

Activity: 910


Democracy is the original 51% attack


View Profile WWW

Ignore
July 22, 2011, 01:53:56 AM
 #19

We got in June a total of $6,824,168.53 of funds moving around (16640 transactions in both deposits and withdraws) over Dwolla, equivalent of $227,472.28 per day

So if Dwolla in July is reaching $1m/day figures, then back in June according to their own chart it was, like, 1/3 of that... or roughly $200-$400k per day in June.

MagicalTux says that in June they were getting $227k per day on average.

In other words, the MAJORITY of Dwolla's business is directly related to Bitcoin, at least in June.

This is pretty fascinating actually! I wonder if they ever talk about it in the office... or if it's kinda a touchy subject that nobody wants to bring up  Wink


SatoshiDICE World's most popular Bitcoin game.
Meatpile
Sr. Member
****
Offline Offline

Activity: 277


View Profile

Ignore
July 22, 2011, 02:03:14 AM
 #20

what kind of a business thinks its majority income is a touchy subject?
Pages: [1] 2 3  All
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!