musseldawg69's picture
musseldawg69
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Bit coin introduction to circle/ and disscussion

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So the purpose of this forum is to learn about bit coin myself included, open up bit coin discussions , a place to go to ask for help , and to introduce you to circle. Now from personal experience I have used coinbase successfully and it has its pros and cons. It is not a bad bitcoin service except for it takes about 5 or so days to buy a bitcoin and a bank account must be linked.I do not have a credit card myself but there is a way to set up instant buy. In my experience my preferred bitcoin service is circle its quick (virtually instant) and a bitcoin can be purchased with a debt card. Here is an introduction to circle -With Circle, purchasing bitcoin is not necessary to use it. Allow me to explain:

All new customers begin with their account balance denominated in USD. Holding USD allows you to send funds to any bitcoin address as though it were bitcoin without your funds being subjected to the fluctuating price of bitcoin.

You can switch your account balance to BTC at anytime in the currency tab of your account setting, so long as you don't have any pending transactions. Keep in mind that holding BTC will subject your balance to the price volatility of bitcoin.

Either way, your account is all set up to linking a funding source and begin adding money to your account. Please let me know if you have any other questions.
Also you are at first limited in the amount you can buy this will increase over time and is reviewed on a rolling 7 day basis. To speed up the increase go under settings , account limits, there you will be able to request an increase.

Well I hope this helps member's, anything you have to add about coinbase mycellium coinkite or any other feel free to share. Also want to add this does have mod approval but lets use common sense here and not mess it up haha.. but all bitcoin talk is welcome

brad123's picture

I got an email from circle that said they were taking off the limit caps. So no limit on what you can send . This is perfect now .

brad123's picture

Bro this is an awesome forum. Very informative . This is how you taught me to use but coin and it's all I want to use now. Circle pay is awesome. Once my limit increases it will be perfect

brad123's picture

Hahaha yea and I still don't know how to use Coinbase . Yea for sure I've already told a few people how to use it and they love it

Nova9's picture

Great forum pal! Much appreciated!

ahmedatsat's picture

Is it the "circle pay" app ??

PIN_CUSHION's picture

So before sending funds to final destination do you have to switch the currency to BTC?

BELLO1782's picture

Whats up,dawg?..i was in the preferred app that is being discussed here and uploaded from my acct. When i was at checkout i clicked pay by using your wallet..then i chose the "preffered app " (also known as a shape) and it automatically brought me to the send option and showed what was due in usd,along with order number and the number it equals too after conversion (example: .4456789etc) and i hit,send...so i REALLLLLY hope what your saying is correct....since i did not,change the,currency or buy them.the only thing that worries me is that its been an hr and still,dont have confirmation of payment,from here. And acct still reads what balance was so tried,to,send again but it said i only have such and such amount left to send,for the week..Where did it go?

MedDx's picture

This was my next question. But, what if you do convert from usd and send via btc?

MedDx's picture

I almost did, but they were too high...some were okay, but i didnt want to use Censored to send...i like going to make the deposits at the bank...i love how buying btc and that it is perfectly legal...first time i went in to a bank.i told them i needed to buy some btc...lol...they were lost...i soon found out that mentioning btc in a bank is not something to do...lol Smile

PIN_CUSHION's picture

When does the limit raise?

PIN_CUSHION's picture

FR sent

MedDx's picture

Good post. I am going to PM you...FR sent.

MedDx's picture

I have used Bitquick twice. They will be back up in a couple weeks....they were fast and all i had to do was choose the bank that i wanted to make the deposit too...btc is awesome...

basicstero.ws's picture

there is one important addition here. some bitcoin wallets share the ip address used. if you send bitcoins from your circle wallet to another one, it can be a temporary wallet on the blockchain.info site, so you need to use a different ip address there. first run vpn and only after this sign in there with fake ip. jsut in case. it will significantly increse yoru safety. also it is better not to send bitcoins from the second wallet to the final destination wallet immediately, but to wait a couple of hours at least. or one can use so called mixers, but they have fees and you need to fully trust them.

Ninja's picture

Also for those who are worried about their personal info that is linked to your circle account; all you have to do is send the money/bitcoin to another account like mycellium. So you have two accounts. One circle and one mycellium. From the mycellium account, you can route the money/bitcoin to the desired final destination/bitcoin address. This way you wont have to worry about circle being connected to your personal info, because your circle account is being transferred to your mycellium account. And mycellium account doesn't require personal bank info.

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committed's picture

It is important to remember that all Bitcoin transactions are public. Addresses are only as anonymous as you make them.

Begin paranoid rant:

I don't really feel safe with a one-hop through Mycelium. It seems that if someone "busted" the final destination and gained their address they could:

  1. Search for all transactions that spent outputs to this address, finding the Mycelium address - probably among several others.
  2. Search for all transactions that spent to the Mycelium address - finding probably only the circle address, and maybe a few others.

In other words, since the transaction that spends from circle to Mycelium is public, there is a pretty easy link between those addresses - unless you use a mixer.

Also the Mycelium app is making network requests. What if the people running that service get a subpoea? How much do you trust that the request does not contain information unique to your phone? (Even if you did turn on tor in Mycelium, which is not on by default.)

Better use ToR to create a web wallet (like blockchain.info) and use a mixer. Or if you are advanced and / or care about blockchain.info getting hacked, use a paper wallet and a mixer. When you are ready to spend you can sweep the paper wallet into a web wallet, or if you're nerdy and don't mind a PITA, use a raw transaction.

Of course you are using the mixer over ToR and trusting that they do not keep logs.

There was once a great related story on eroids that managed to work in the phrase "Your own furry starfish" - definitely worth a search.

committed's picture

Volatility is a risk to be sure.

A payee might give the instruction, "an amount of BTC that equals $500 at the time it is paid."

With that you accept the exchange rate risk between the time you convert to BTC and the time you actually pay.

http://www.coindesk.com/price

+/- 8% over the past 3 months but much more stable the past 1 month. If you are concerned you can keep that holding interval to hours. Not to minimize, though - go back farther and you see some quick drops.

Also liquidity risk: "I funded, the price moved, now it's not enough." To avoid that you can fund with - say - 120% of what you need.

When you pay you send the change to a change address (it could be the same as the one you are paying from). Then you send that change back through a mixer (costs about 0.5% of your 20% change) to an exchange that will let you put it back into your bank account. Or you buy a gift card, but presumably that is going to be mailed to your home address, so you still use a mixer.

Simplest is to just hold onto the change for next time. It's only change, so you have reduced the value at risk.

So, yep, there are some financial risks involved. Negligible compared to the health and sometimes legal risks of anabolics.

FR sent if you have specific questions. If I ever get organized I may have my own try at "complete guide."

The author is long BTC. Blum 3

MedDx's picture

Also liquidity risk: "I funded, the price moved, now it's not enough." To avoid that you can fund with - say - 120% of what you need.

Yep. When this happens the price of BTC moves up, right? This was a situation that happened to me when I waited 2 days to.complete the order and i didnt take the current market value of BTC into consideration, and didnt update my product order, which caused a change in amount of required BTC.

FR sent

committed's picture

Cool.

I would put it as, "[Getting caught short] happens when the price of BTC [in the currency of the marked price] moves down." But the point is the same - it's good to leave some wiggle room.

MedDx's picture

Thank you, sir. I notice btc increased from yesterday, to today...418.65 to 421.80...i factored in a 100 usd spend and it gave me less btc to spend today, than in comparison to yesterday...i see the difference..as well as the wiggle room needed...

committed's picture

Oh - I see the difference.

If you are holding your balance in USD, then it amounts to less BTC when the price goes up.
If you are holding your balance in BTC then it will be the same BTC (duh) - or more USD.
If you are holding in BTC it amounts to more USD-priced product when the price of BTC goes up.

As I mentioned earlier, in the amounts that I manage to spend it, I myself prefer to hold BTC.

Off topic - the Bitcoin supply is limited to 21 million. Unlike USD - more and more circulating at a rate that some consider scary. This puts some natural upward pressure in the long term USD/BTC.

MedDx's picture

This is a good point...

j1980's picture

Gotta admit I've still been very hesitant to mess with Bitcoin. Just seems like its such a pain. Plus I don't like the volatility of the btc market. I've started looking into circle over the past week and it does look like it's going to be a lot easier to deal with. To me the fact you can keep your currency in USD is a huge plus!

konig's picture

I like circle a lot.. my last order I used it and I can't believe how simple it was.