Wal-Mart to start a new store-to-store money transfer service

[64dimensions]

http://www.dallasnews.com/business/retail/20140417-wal-mart-to-start-a-new-store-to-store-money-transfer-service.ece

1) $4.50 for up to $50

2) $9.50 for up to $900

[TheButterZone]

Nuts to that.

[zeroday]

Do they use bitcoin?

[Swordsoffreedom]

Do they use bitcoin?

Good point this isn't really Bitcoin Press move to Off-Topic Perhaps or (Not sure if we have a section for news that may be of interest to Bitcoiners but is not about Bitcoin itself)
Bitcoin Discussion or Speculation?

Anyways aside this is a blow to the majors although Walmart might lose this war later on to Bitcoin as the money transfer services try to become more competitive or change their models.

(less all the regulatory crap) Won't happen very quickly lol.

[bryant.coleman]

Do they use bitcoin?

No. They are planning to use another mode of payment. Anyway this is not bad news at all. Just look at the stock exchange. Moneygram and Western Union lost quite heavily. Moneygram shares dipped by almost 20% on the announcement. So this might be a good news, even if Bitcoin is not actually involved here. Because Wal-Mart was forced to take this step, as a result of the extremely steep commissions charged by services such as Western Union.

[runam0k]

Do they use bitcoin?

No. They are planning to use another mode of payment.

They don't need a mode of payment as such; they aren't actually moving anything anywhere.  They're just taking $ + fee and saying someone can pick up the same $ amount from one of its other stores.

[oakpacific]

Why would anybody use that? Only kind of works in America, $900 is the upper limit, and the fee is nothing close to affordable.

Anyone cares to enlighten me?

[escrow.ms]

Why would anybody use that? Only kind of works in America, $900 is the upper limit, and the fee is nothing close to affordable.

Anyone cares to enlighten me?

The new service, which Wal-Mart says will charge lower fees than those currently offered by competitors, will enable shoppers to send and receive cash from family members and friends at more than 4,000 U.S. discount stores.

It's just a local money transfer alternative.

[bryant.coleman]

Why would anybody use that? Only kind of works in America, $900 is the upper limit, and the fee is nothing close to affordable.

It is especially meant for people who send small amounts, such as $100 or $200. The fee is quite affordable, at less than 2%. If you send $500 using Moneygram or Western Union, then they will charge commissions ranging from 5% to 10% (I am talking about domestic transfers). Also, WU offices are not as common as Wal-Mart shops. A lot of people will use this new service.

[Swordsoffreedom]

Why would anybody use that? Only kind of works in America, $900 is the upper limit, and the fee is nothing close to affordable.

It is especially meant for people who send small amounts, such as $100 or $200. The fee is quite affordable, at less than 2%. If you send $500 using Moneygram or Western Union, then they will charge commissions ranging from 5% to 10% (I am talking about domestic transfers). Also, WU offices are not as common as Wal-Mart shops. A lot of people will use this new service.

Interesting enough Walmart is doing it but the one I am watching is Facebook
Basically Bitcoin and Crytotechnology in General has started to push the other industries towards making their own
http://www.forbes.com/sites/leoking/2014/04/15/watch-out-paypal-the-real-meaning-of-a-facebook-money-transfer-business/

[Lauda]

The fees are way too high, yet many still don't see the benefits that Bitcoin offers.

[bryant.coleman]

The fees are way too high, yet many still don't see the benefits that Bitcoin offers.

Check my reply:

It is especially meant for people who send small amounts, such as $100 or $200. The fee is quite affordable, at less than 2%. If you send $500 using Moneygram or Western Union, then they will charge commissions ranging from 5% to 10% (I am talking about domestic transfers). Also, WU offices are not as common as Wal-Mart shops. A lot of people will use this new service.

[Lauda]

The fees are way too high, yet many still don't see the benefits that Bitcoin offers.

Check my reply:

It is especially meant for people who send small amounts, such as $100 or $200. The fee is quite affordable, at less than 2%. If you send $500 using Moneygram or Western Union, then they will charge commissions ranging from 5% to 10% (I am talking about domestic transfers). Also, WU offices are not as common as Wal-Mart shops. A lot of people will use this new service.

Well the fees are high compared to Bitcoin, was what I actually meant.
And yes, I know the WU fees are crazy.

[Swordsoffreedom]

The fees are way too high, yet many still don't see the benefits that Bitcoin offers.

Check my reply:

It is especially meant for people who send small amounts, such as $100 or $200. The fee is quite affordable, at less than 2%. If you send $500 using Moneygram or Western Union, then they will charge commissions ranging from 5% to 10% (I am talking about domestic transfers). Also, WU offices are not as common as Wal-Mart shops. A lot of people will use this new service.

Well the fees are high compared to Bitcoin, was what I actually meant.
And yes, I know the WU fees are crazy.

WU Fees are crazy still I will admit that if Walmart enters into the Money Service Business with Facebook and other such organizations we may be in for an interesting ride.

Wonder how long till they start using Bitcoin based infrastructure to do money transfers

[lynn_402]

Wonder how long till they start using Bitcoin based infrastructure to do money transfers

Sadly they would not benefit in using cryptocurrencies. The transfer is internal in their company, so there is no third party to be trusted, hence I believe Bitcoin offers no advantage for their service.

[bryant.coleman]

WU Fees are crazy still I will admit that if Walmart enters into the Money Service Business with Facebook and other such organizations we may be in for an interesting ride.

Wonder how long till they start using Bitcoin based infrastructure to do money transfers

If the Walmart money transfer service become successful, then they might feel no need to use Bitcoins as a medium for money transfer. But still, I hope that the Walmart service ends up a success story. It is essential to destroy the exploitative companies such as the Western Union and Moneygram who literally rob common man of their hard earned money.

[LostDutchman]

http://www.dallasnews.com/business/retail/20140417-wal-mart-to-start-a-new-store-to-store-money-transfer-service.ece

1) $4.50 for up to $50

2) $9.50 for up to $900

Caught that yesterday and will be adding it to my preferred methods of payment.

Safe and secure.

My $.02.

[Swordsoffreedom]

Wonder how long till they start using Bitcoin based infrastructure to do money transfers

Sadly they would not benefit in using cryptocurrencies. The transfer is internal in their company, so there is no third party to be trusted, hence I believe Bitcoin offers no advantage for their service.

Not necessarily if they made an alt coin and then pre-mined the whole system they could use the cryptography benefits to do free transfers of value from A to B and determine each coin to a predetermined value.

Very High Markup

Say Each Walmart coin is worth a dollar
User X in Idaho Wants 60 Dollars sent to Oklahoma
Send 60 Walmart Coins
User in Oklahoma converts Walmart Coins to Cash
All occurring in the system and the clerk just knows user in Oklahoma gets 60 bucks and pays a 3 dollar fiat fee for the service

Guess it would require a bit of integration into the teller system but seems doable.

[lynn_402]

Not necessarily if they made an alt coin and then pre-mined the whole system they could use the cryptography benefits to do free transfers of value from A to B and determine each coin to a predetermined value.

Very High Markup

Say Each Walmart coin is worth a dollar
User X in Idaho Wants 60 Dollars sent to Oklahoma
Send 60 Walmart Coins
User in Oklahoma converts Walmart Coins to Cash
All occurring in the system and the clerk just knows user in Oklahoma gets 60 bucks and pays a 3 dollar fiat fee for the service

Guess it would require a bit of integration into the teller system but seems doable.

But what would be the advantage for a centralized company to build a cryptocurrency whose network have to be secured? Couldn't they, simply:
1- Costumer asks for 20$ to be transfered to a Wal-Mart in Colorado, he pays to the cashier. 2-Cashier enters in the computer "20$ shall be deducted from this store and added to Colorado's store" 3- Friend of the costumer collects money in Colorado.

I really don't see what benefits would PoW bring to that system.

[Swordsoffreedom]

Not necessarily if they made an alt coin and then pre-mined the whole system they could use the cryptography benefits to do free transfers of value from A to B and determine each coin to a predetermined value.

Very High Markup

Say Each Walmart coin is worth a dollar
User X in Idaho Wants 60 Dollars sent to Oklahoma
Send 60 Walmart Coins
User in Oklahoma converts Walmart Coins to Cash
All occurring in the system and the clerk just knows user in Oklahoma gets 60 bucks and pays a 3 dollar fiat fee for the service

Guess it would require a bit of integration into the teller system but seems doable.

But what would be the advantage for a centralized company to build a cryptocurrency whose network have to be secured? Couldn't they, simply:
1- Costumer asks for 20$ to be transfered to a Wal-Mart in Colorado, he pays to the cashier. 2-Cashier enters in the computer "20$ shall be deducted from this store and added to Colorado's store" 3- Friend of the costumer collects money in Colorado.

I really don't see what benefits would PoW bring to that system.

The main benefit is that it keeps a ledger that Walmart can use to track transactions to see how many people use the system on a daily basis and what they can optimize it for to maximize profits. (Walmart may be able to do this already but can isolate one sector of its retail using Crypto)
(Example Walmart knows one location is very popular so they do more advertising there than in places where they receive lower income places or the reverse if they think they can take market share).
In addition the benefit of removing the cashier from the transaction may reduce some stealing. (Example Cashier in Oklahoma knows Cashier in Colorado Sends some money every couple of months to Cashier B and quits before the end of the year accounting is sent no one knows who sent what the money is lost long siphon)
Vs: Cashier X sent Amount A to Cashier Y (Blockchain trackable) and they realize it eventually when they do the accounting and can trace it to an individual.  
I think your right given how Walmart operates might not seem too practical now but who knows in the future, it just seems a bit cheaper to have a few miners and a transaction log that they can have in all stores to determine demand for it, than the cost involved in setting up a new system from scratch (Unless they are using moneymart/Western Unions stuff) in all their Walmart stores. Cutting the bottom line and saving money is the walmart motto, so that is where I see some cryptography benefits applying.