Gold Dealer Drops Credit Card Payments For Bitcoin

[froggyboy604]

The world of gold bullion sales is often peopled by the odd and interesting. Joseph Castillo is one of the latter. The owner of Agora Commodities, his company now only accepts Bitcoin for online sales, a move that has reduced fraud and improved his service.

Castillo talked to Coindesk about his decision, saying that “What we had to do to protect ourselves against card fraud, we no longer have to do with bitcoin – and that saves us on costs.”

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I think Bitcoin is like real money where you can't get it back after you pay someone.

But, I bet a lot of criminals use stolen and fake credit cards where they buy gold, and latter said they got scammed to get the money back from the bank while keeping the gold they bought, so accepting credit cards online can be risky.

 

[hissae2]

If they just want to avoid credit cards I don't see why they couldn't also accept PayPal.

 

[froggyboy604]

I agree they should accept Paypal, but I know that Paypal sometimes lock your account if you look suspicous, or Paypal feels you are a scam.

In the past, Minecraft's official Paypal account got locked/frozen €600,000 euros according to Notch who is the maker of Minecraft.

a post on MineCraft developer Notch’s blog, PayPal have limited access to his PayPal account due to “a suspicious withdrawal or deposit”. That’d be the same PayPal account people drop money into when they buy MineCraft. In the post, Notch says that there’s more than €600,000 in there, and if PayPal decide something untoward is going on they’re going to keep that money.

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[Demon_Skeith]

I wonder if it's really worth investing into bitcoin.

 

[froggyboy604]

I wonder if it's really worth investing into bitcoin.

You can always exchange Bitcoin for US Dollars and other types of money like the Euro, Japanese Yen, or British Pound by using Bitcoin to money exchange websites if you don't want to invest into Bitcoin, and just want real world cash.

 

[Lleyn]

I agree they should accept Paypal, but I know that Paypal sometimes lock your account if you look suspicous, or Paypal feels you are a scam.

The problem would also be rather similar on Paypal. Scammers would still try to dispute the transactions to try and get the money back. And even if the company doesn't end up losing much from this, Paypal doesn't like complaints like these and will just end up locking the account.

 

[froggyboy604]

The problem would also be rather similar on Paypal. Scammers would still try to dispute the transactions to try and get the money back. And even if the company doesn't end up losing much from this, Paypal doesn't like complaints like these and will just end up locking the account.

I think Paypal also don't allow accepting and receiving payments for some types of companies like adult entertainment, recreational drugs, etc. Gold dealing may seem kind of suspicious because a lot of scams ruined the gold trade profession like  scams involving "Cash for Gold, Gold for cash, and Gold coin sellers"  because people got ripped off selling their valuable gold for a few dollars, bought fake gold or unpure gold mixed with cheaper metals, and fake gold coins which are not antiques, so they are worthless.

Some banks may also be like Paypal where they don't deal with risky companies that get a lot of charge backs, and scam complaints.

I think Bitcoin is generally safest for gold trading because Bitcoin is not controlled by a company like Paypal, and there are a lot of people and companies who are willing to exchange Bitcoin for cash. But, you need to pick a reliable and safe bitcoin wallet service or program to store and hold your Bitcoin, so they don't get stolen by a hacker before you exchange the Bitcoins for cash to spend offline.