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RE: BitPay and Me

in #cryptocurrency7 years ago (edited)

@rhondak Something important I like to keep in mind for myself with consideration of how to apply crypto funds into a FIAT market; Though the creation of these funds exists in a decentralized and user-controlled space, once these funds are brought from this space and applied into a financial platform where such fees and 3rd party control exists, it's inevitable that these paths will cross. What I mean by this is that though you control your cryptocurrency, remember that once this control is relinquished to another party (payment vendor, card issurance), the same rules apply as any FIAT currency and you are going to be susceptible to the same application (fees, holds, taxation). I don't know if this will always be the case, but right now it is unavoidable.

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Yes, this is true. But if I can't spend it, then it holds no value to me. I run a 501c3 tax exempt nonprofit, and the bulk of any funds I transfer will go into that bank account. That was the whole point of me joining Steemit--to try and generate funds to keep the nonprofit afloat, since I live in such a third-world region of the U.S. that local support isn't an option. For this reason I think I may be a lot different from others using this platform--it is strictly a means to an end for me, with very literal life and death stakes for hundreds of Appalachian animals.

@rhondak When you set up your business model, did this include financial fees as part of your cost planning? I don't know much about nonprofit finances but I am assuming the transaction fees aren't able to be rolled into a tax credit in your case. So it's more of a loss event? If that's the case I understand your frustration as you wouldn't see the return of those funds at the end of the year.

There are no tax credits for a tax exempt organization. :-) So yeah, fees are just a loss.

That's a sad thing for your organization, with such a noble cause. I really like the concept of the idea. I am hopeful for your sake that other alternatives will emerge soon that allow you to avoid the FIAT fees in a more reliable manner.

Who knows-Maybe EOS has plans for STEEM in this regard?

That would be really cool. I would love to be able to say I run a nonprofit charity powered almost exclusively by STEEM. :-)

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