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Originally Posted by afc wimbledon
although it does pose a question, what's the point of the exchanges then?
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Converting cash to cryptocurrency.
And they are about the only way that paying for everyday things with cryptocurrency is currently viable. Actually transferring it is too slow and few businesses want to take on the currency risk of accepting it. So they act as an intermediary where they pay the business with fiat currency and then deduct the equivalent in cryptocurrency from your holdings with them. For instance, here's how you spend Bitcoin at Whole Foods:
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Originally Posted by opendoor
And of course you can't actually directly buy things with Bitcoin at Whole Foods. You have to sign up for a custodial wallet with Spedn, deposit funds there (but not too much, since you can't withdraw money and these companies seem to become insolvent with regularity), and then the transaction is funneled through Spedn's payment system (because a blockchain transaction would take too long to be practical) where the vendor immediately receives fiat money.
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