I guess this is a very basic question you probably know the answer, I know the answer too but something lead me to ask and that is the high commission (at least I feel it is high) that I get charged to do it.
I don’t know but I feel almost everyone along the chain of my transaction gets a cut before it finally hits my wallet, it doesn’t seem to be that much until you try to do a larger transaction and then discover that mehn! This is big.
3 days ago I bought $50 dollars worth of Steem that I wanted to use to increase my stake in Neoxian, extend some of my leased SP and save some to lease more SP. When the Steem finally landed in my wallet I decided to check what the Steem was worth and discovered it was worth about $48.3 at that time.
The $1.7 in transaction fees may not seem much but consider that if I did a $500 transaction it will have a transaction fee of $17 and if it was a $5000 transaction it will attract $170 in transaction fees. I know the price of Bitcoin fluctuates but even when the price of Bitcoin goes up I still get about the same thing, it is always short of what I expect to have in my account and sometimes it can get as low as the $47 range.
How I Buy Steem
To buy Steem I go to the website of the crypto-currency exchangers (which servers mostly African countries) and make my payment for the value of Bitcoin I want using my MasterCard. I now provide my Blocktrades Bitcoin wallet that will convert it to Steem and sends it to my Steem wallet when the Bitcoin I ordered for hits their Bitcoin wallet.
Who Is Eating The Cake
I think the crypto-currency exchangers where I buy Bitcoin is the main culprit in this shenanigan. First off, the conversion rate they charge from my local currency to the dollar is too high.
1 dollar equivalent to 361.52 naira
But our bank rates when we use our card on international transactions are 1 dollar equivalent to 363 naira.
Now the crypto-exchangers charge 1 dollar equivalent to 373 to 380 naira depending on the market.
The funny thing is that when you want to sell your Bitcoin back to them they charge 1 dollar equivalent of about 340 naira depending on the market.
This situation is not going to stop me from buying Steem when I want to, but I just wanted to voice it out to see if there were other alternatives of buying Steem I could try.
Note: Most US and EU cryto-currency exchangers don’t allow us buy from our country and the ones that do charge even higher transaction fees.
Thanks for reading, please keep your comments coming I love them and will respond as soon as I can. You can follow me if you haven’t already so that you’ll be seeing my post in your feed. I love your support always.