Buying bitcoins FAQ

How much bitcoin do I get for …

6505 views April 29, 2017 July 21, 2017 ray 125

The price of bitcoin relative to the dollar changes daily.

How much bitcoin you get for say $20 depends on who you buy it from. Some Paxful vendors will sell you Bitcoin with only a 5% fee while others may go as high as 50% fee. It is entirely up to them to set their price and up to you to accept it. For example

  • If you want to buy with a bank cash deposit or the Western Union you will pay a small fee of 5% and get back 95 cents on the dollar.
  • If you want to use an unpopular gift card you could pay up to a 70% fee and get back only 30 cents on the dollar.

By the same token, you can make similar profits if you sell bitcoin.

You can also buy any fraction of a bitcoin. For example, if one bitcoin is worth $770 then you can still buy $20 worth of bitcoin and get 0.025 bitcoin.

How come it isn’t 1 to 1?

For the same reason buying American dollars for British pounds isn’t one to one. Buying and selling are not one to one because this is a free market where buyers and sellers set their own price and earn a profit for their time and service.

Each vendor sets their own price. Look at the “You get” column, it shows you how much you get on the dollar, the more the better. Before your click Start Escrow now it tells you how much bitcoin you will get.

How do I know which is the price and the amount I am getting?

The price of a single bitcoin is set by 5 different exchanges. This is the rate that most merchants will use when you try and spend bitcoin. Here on our marketplace each seller defines their own price which is usually slightly higher than the exchange price because of convenience and speed you are will receive your bitcoin.

Look at the PRICE/RATE of each seller offer. The lower it is the more bitcoin you get for your dollars/euros/etc… If you want to know the current exchange price check http://bitcoinwisdom.com and compare it to the price of the seller.

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