[2014-05-01] The World's First Bitcoin Bank Will Open This Summer

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http://www.nationaljournal.com/tech/the-world-s-first-bitcoin-bank-will-open-this-summer-20140501

[Dogtanian]

The headline is a bit misleading. Isn't this just the rebranding of the ATMs which was posted here: https://bitcointalk.org/index.php?topic=592195.0

[rammy2k2]

you keep posting only shitty news imo, please double check what u post, and post serious stuff

[_smudger_]

you keep posting only shitty news imo, please double check what u post, and post serious stuff

Ok, and I thought this "spot the troll" competition was going to be harder than this 

[BTCat]

Bitcoin don't need a bank anyways and if there's believers depositing into such a thing they will likely be robbed like the SecondLife banking frauds. Once you transfer your coins you basically lose any control and rights over it. Only idiots would do such a thing, sadly there are plenty of those.

[hilariousandco]

Bitcoin don't need a bank anyways and if there's believers depositing into such a thing they will likely be robbed like the SecondLife banking frauds. Once you transfer your coins you basically lose any control and rights over it. Only idiots would do such a thing, sadly there are plenty of those.

Read the article. I'm not sure if it's really is a 'bank' at all. It's seems like just a company renaming their ATM terminals as 'bitcoin banks' and giving you the option to store your coins online with them, but I don't see what the difference between that and a blockchain.info account will be.

[bryant.coleman]

The headline is a bit misleading. Isn't this just the rebranding of the ATMs which was posted here: https://bitcointalk.org/index.php?topic=592195.0

Thanks for posting. And here is a reply which caught my attention:

At the prices they charge it looks like an appropriate step...

They charge $20,000 for each of their ATMs, while their competitors charge about 20% of that amount. 

[hilariousandco]

The headline is a bit misleading. Isn't this just the rebranding of the ATMs which was posted here: https://bitcointalk.org/index.php?topic=592195.0

Thanks for posting. And here is a reply which caught my attention:

At the prices they charge it looks like an appropriate step...

They charge $20,000 for each of their ATMs, while their competitors charge about 20% of that amount. 

Jesus. I honestly don't know how people can make their money back on these ATMs at such prices unless people start charging extortionate fees, but then that just kinda defeats the whole process if you're having to pay a massive premium to get your coins. All the faff with ID and verification and AML laws etc seems even more off putting as well.

[bryant.coleman]

Jesus. I honestly don't know how people can make their money back on these ATMs at such prices unless people start charging extortionate fees, but then that just kinda defeats the whole process if you're having to pay a massive premium to get your coins. All the faff with ID and verification and AML laws etc seems even more off putting as well.

Most of the traders in Localbitcoins.com charge around 5% commission. So going at that rate, the ROI for a Robocoin ATM might be a total trade volume of $400,000. Might take more than a year. Add the taxes, and it can take even more time.

[hilariousandco]

Jesus. I honestly don't know how people can make their money back on these ATMs at such prices unless people start charging extortionate fees, but then that just kinda defeats the whole process if you're having to pay a massive premium to get your coins. All the faff with ID and verification and AML laws etc seems even more off putting as well.

Most of the traders in Localbitcoins.com charge around 5% commission. So going at that rate, the ROI for a Robocoin ATM might be a total trade volume of $400,000. Might take more than a year. Add the taxes, and it can take even more time.

Where do you get the return of investment is 400k? I guess a year or so doesn't seem too bad, but I think it'll take longer to recoup money than that. I guess it all depend on the placement of the machine though.  

[Muller84]

i think it is fake....bitcoin does't need bank

[bryant.coleman]

Where do you get the return of investment is 400k? I guess a year or so doesn't seem too bad, but I think it'll take longer to recoup money than that. I guess it all depend on the placement of the machine though.  

If they do $400,000 of business, then they will get $20,000 in commissions, before tax (at 5% fee). To do that much business in a year, they need to have a turnover of more than $1,000 every day. Not that difficult.

[guybrushthreepwood]

i think it is fake....bitcoin does't need bank

The general public might not feel safe without keeping their coins in one though. I guess some people just need to let other people look after their money.

[hilariousandco]

i think it is fake....bitcoin does't need bank

I'm pretty sure it's not a real bank, not a bricks-and-mortar one anyway. It's just a fancy name for their ATM with an option to seemingly store your coins online like you do with a blockchain.info account.

[djangocoin]

Be you own bank lol

[hilariousandco]

I thought i was my own bank :]

We all are with bitcoin. That's one of bitcoin's defining features, but that doesn't mean we can't use stuff like blockchain.info, and this still isn't really a bank at all.

[polunna]

I wonder bank will pay the taxes using Bitcoin or USD?

[hilariousandco]

I wonder bank will pay the taxes using Bitcoin or USD?

They'll pay the taxes on ATMs sold in dollars. It'll be a long time if ever before the government accept taxes payable in Bitcoin, but maybe one state might allow it at some point. I guess only the future will tell on the front. Would be pretty cool if they did though.

[umair127]

i think it is fake....bitcoin does't need bank

Well bitcoin can in fact get a bank, it has value so if people wanna store away bitcoins away from there home in hard drives, etc, then yeah banks will come into play by offering a storage for bitcoins.  I think there is one already out, but I forgot there name.

[BillieGin]

I'm going to Cyprus in a few weeks. What fun bitcoin things can I do there? Is there actually a Bitcoin ATM or is that all vaporware?