2

Bitstamp allows deposits/withdrawals using SEPA (EUR only), but all traidings are done using USD. It is nowhere described what exchange rate is used when doing these deposits/withdrawals.

There are some indications that amount of money lost in conversion may be significant:

  • The order book only offers bitcoin-dollar trading so conversion fees apply on deposits and withdrawals (the conversion spread can be queried by API). [1]
  • Bitstamp has an EUR bank account in Slovenia to which I deposited euros, then it converted to USD. Then it converted the EUR deposit to USD but I checked the daily EURUSD forex range and Bitstamp converted my EUR to USD at a rate worse even the worst rate in the 24-hour daily range; I have to say, clever: another small profit source for them. [2]

Does anybody know how big the EUR/USD spread at bitstamp really is? Is it significant?

[1] http://blog.kraken.com/post/97016109057/what-does-it-really-cost-to-buy-and-sell-bitcoins

[2] https://bitcointalk.org/index.php?topic=825459.0

2

I believe the EUR / USD conversions are preformed by the bank with which Bitstamp works. They have conversion rates which don't appear to be market-driven, but are set to a fixed rate that includes the bank's fees.

The exchange rates link provided on the website leads here: http://www.raiffeisen.si/pripomocki/menjalniski-tecaj/

  • 1
    DustWolf, could you clarify where you got that link from? – Nick ODell Aug 13 '15 at 3:48
  • The linked site showed the exchange rates of a Slovenian bank, according to DustWolf, the one that is used and was linked from Bitstamp. This answer both explains source and current values for the exchange rate that the question requests. The answer could be improved by describing in more detail how the connection was made from Bitstamp to Raiffeisenbank, but besides that this appears to be a good answer to me. If somebody would point out that the answer is wrong or undersourced, I'd get that, but I don't understand why it gets spam votes. – Murch Aug 13 '15 at 10:12
  • 1
    The link is provided on the bitstamp website, if you go under Deposit, and select EU Bank (SEPA). There is an "Important notice" at the bottom that says "All funds transferred in EUR will be converted to USD, free of charge. Check our current exchange rates here." The word "here" is linked to the link I provided. – DustWolf Aug 14 '15 at 9:21

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.