150 sats \ 10 replies \ @fiatjaf 17 Sep 2022 \ parent \ on: Why Strike still has no Lightning Address support? bitcoin
Why does it need Bitcoin at all for doing Fiat transfers? I never understood that. If you're just moving dollar amounts in a database you don't need Bitcoin, but Jack Malllers seems to think that is necessary.
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0 sats \ 8 replies \ @nout 17 Sep 2022
For inter US transfers I agree. As soon as you go between countries, then you would have to go through Forex, which is pain and costs extra. With Bitcoin they can do fast "as-of-time" settlement.
Also to consider - the math is that initially only few people have Strike and only few of those will send money between each other. The main "business" is to send money to Bitcoin services and other wallets. So this approach gives Strike a jump start without having to integrate with Zelle or something stupid like that.
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0 sats \ 5 replies \ @mrbrownstone OP 17 Sep 2022
Why do you need forex? You just take money on one side and give on the other side.
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0 sats \ 4 replies \ @nout 17 Sep 2022
As a company how do you get the money to give on the other side? :)
Either you have to use existing exchange (forex) or you have to become an exchange that tries to get enough liquidity to not be crashable... and that's the part that's making the whole thing in fiat expensive.
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0 sats \ 3 replies \ @DarthCoin 17 Sep 2022
Slowly start to work with partners that accept bitcoin too. Convince them. If you still want to have "in papers" the transaction, simply put the value in your fiat. When you pay through paypal did you go to forex also?
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0 sats \ 2 replies \ @nout 17 Sep 2022
Yeah, it would have to be slower partnership building. It seems that Strike is sort of hacking around that problem. I think PayPal uses 3rd party forex, but I'm not sure (PayPal charges 4.5% fee for conversion service). But for example Wise is the exchange that's matching the sides.
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0 sats \ 1 reply \ @DarthCoin 17 Sep 2022
Bitcoin was created EXACTLY to avoid all these, remember? Bitcoin wasn't created to just have another paypal...
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1 sat \ 0 replies \ @nout 17 Sep 2022
Totally, when the economy is in bitcoin, then all of the problems that Strike is solving go away automatically (some new problems will show up, but that's a different story). The question from @fiatjaf was about why is it using bitcoin for fiat transfers, and so that's why I tried summarizing the reasoning behind that.
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0 sats \ 1 reply \ @DarthCoin 17 Sep 2022
why always try to stay inside the system? Why not just fuck fiat at all and use only bitcoin? The whole point of bitcoin is to make obsolete fiat.
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0 sats \ 0 replies \ @nout 17 Sep 2022
Oh I agree with that goal.
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0 sats \ 0 replies \ @DarthCoin 17 Sep 2022
Exactly that I was thinking.
Many people think that Strike is a lightning wallet . I consider it just a broker wallet, to buy btc ( from strike internal magic) and send USD. Strike user actually is not sending sats, but just the value of sats in USD. People should use it just as any other broker app to buy btc. That's it.
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