Payments Received with Bitcoin Instead of Banks

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A Reddit user talked about how running his transactions with Bitcoin instead of banks has strengthened his business. Saying that he had a truly wonderful and seminal experience for himself, the Reddit user said he did not want to be at the mercy of a bank and its bureaucracy that paralyzed transactions, and emphasized that the best solution for this is Bitcoin.

While many people comment on the leading cryptocurrency Bitcoin, “it can only be a store of value like gold, useless in daily life”; A Reddit user shared his story of how using Bitcoin can make things easier. A Reddit user named “TheSherryBerry”, who declares that he lives in a developing country, says that his business runs with customers in many parts of the world, especially the USA.

Getting paid was a torture for an international trader

Explaining that he is doing international business in a developing country, Reddit user explained that sending money or accepting payment is a very difficult process in his country. Common digital payment platforms such as PayPal, Venmo, CashApp, Revolut were not serving in his region.

For SherryBerry, the best choice was wire transfers. However, in the shipments made in this way, transaction fees were quite high and the exchange rates in banks were not user-friendly. Even transfers from some small banks might not be supported in SherryBerry’s country.

The bank took a long time to transfer and high transaction fees were incurred

The international business Reddit user hired a new client in early 2020 and started looking for the best way to receive regular payments. In the first stage, they used Xoom, a payment service similar to Western Union, where the customer makes the transfers. But to get things done with Xoom, it was necessary to go to another local and physical center. In SherryBerry’s case, this was a central bank.

During this period, the process in the local bank to which Sherry Berries was directed was long and painful. Passing through many steps, such as first routing the transaction to another branch, authenticating and verifying the transfer, meant a waiting period of approximately 3 hours. As if it was not enough for the Reddit user to wait for 3 hours for the payment to be made, a transaction fee was cut, which would cost 3% of the payment he received.

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After Reddit user SherryBerry and his client Xoom, they decided to try Payoneer. Again, the transaction fees amounted to 3%, and in accordance with the “incoming call and outgoing” logic, Sherry Berries took the money this time, not 3 hours, but 1 week.

How about trying it out with bitcoin?

After discussing with her client whether they can use Bitcoin or not, SherryBerry decided to take a bold step, saying “worth a try”. He summarized the process they followed for money transfer as follows:

  • The customer buys Bitcoin on Coinbase and sends it to SherryBerry’s wallet.
  • SherryBerry sees the Bitcoin transfer instantly and takes about 10-20 minutes to go through a 3-step confirmation.
  • SherryBerry reserves some of the Bitcoins for HODL and transfers the rest to LocalBitcoins to receive it in a bank account by wire transfer.

Saying that he has an intermediary who transfers the Bitcoins he sends to LocalBitcoins to his bank account as a wire transfer, the Reddit user suggested that the best part of doing transactions with Bitcoin is not the time saving factor. SherryBerry explained that while it lost 3% of its earnings as transaction fees in other payment methods, it simply switched to 3% profit on transactions with Bitcoin. At that time, when SherryBerry was paid, the price of Bitcoin was slightly higher in LocalBitcoins than Coinbase, so such a profit was made.

The Reddit user added that in this new era of financial globalization led by Bitcoin, it’s something that many people in the West forget. SherryBerry, due to the traditional financial system that immediately renders the service they want to the USA and Europe and enslaves them; He argues that he does not fully grasp the true democratic decentralized structure and benefits provided by Bitcoin.


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