OK. So its been over a year. How is this working out?
"Coinbase Wants to Be the PayPal of Internet"
They're basically there, or at least well on their way. They've attracted the largest single VC funding of any bitcoin startup ($5M). Coinbase's first mover advantage is very similar to that Paypal had in its early days - right before their many competitors threw in the towel.
It's tough to compete with free. Coinbase has a zero-fee merchant sign-on program currently underway (first $1M in bitcoin sales at no commission).
For end users, there really no faster or lower-fee (1%) way to buy or sell bitcoin, all you need is a bank account. Why anyone in the US would still use MtGox for the occasional buy/sell is difficult to understand.
Definitely the best place to send anyone new to bitcoin.
For the most part, agreed. Wasn't aware of the $1M free option. Need to look into that; however, my hands are tied as I'm a Bitpay
local Integration Partner.
Keep in mind that being a US based company, they may be faster to report to the SEC/IRS which may make having an account elsewhere advantageous.
I think there's definitely an advantage to saying I own my bitcoins in Germany given the 1 year tax free treatment for example. I haven't thoroughly looked into these things, but I'm guessing I'll be making decisions on where to say the "location" is of my money before year's end. Not sure how much the govt will buy "internet" as the "location."
I will say that someone sent bitcoins to my e-mail address that I registered with Coinbase
and the bitcoins showed up in my account easy peezy. So I'd say that's a win.