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PIM

Bitcoin

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PIM

Bitcoin is a very convenient, economical and fast way to remit money into (and out of) the Philippines.

 

In this post, I will not try to explain bitcoin to you. A DuckDuckGo search will provide you with plenty of information on bitcoin. Here I will guide you in how to use bitcoin to remit money into (and out of) the Philippines.

 

Before you start using bitcoin, you will need to open an account with a bitcoin exchange in both the source country and the destination country. Most exchanges have some level of know-your-customer (KYC) procedures when opening an account. Even with these procedures, you should be able to open your accounts on-line.

 

Now that your accounts are opened, you need to be aware of the main risks with using/holding bitcoin.

  1. Compared to most fiat currencies, bitcoin can have a volatile exchange rate. Volatility works both ways (up and down). This can be good for currency traders (who know how to make a profit either way) but may scare some people off using bitcoin.
  2. If the volatility concerns you, your rule should be to only hold your bitcoin for the shortest time that you need to.
  3. Bitcoin exchanges are not as secure as most banks. Any bitcoins (or fiat money) stored under the control of a bitcoin exchange can be lost or stolen. The rule here is to NEVER leave bitcoin (that you cannot afford to loose) stored with bitcoin exchange. Transfer your bitcoin to an exchange only when needed and transfer it out as soon as you have no need to keep it with the exchange.
  4. Store your bitcoin in a wallet that only YOU control.

For remittances to the Philippines:

  1. Using internet banking, transfer funds to your preferred bitcoin exchange in your home country and purchase bitcoin.
  2. Transfer your bitcoin to your preferred Philippines bitcoin exchange and have them deposit or deliver the PHP equivalent to you in the Philippines.

You will get about the XE.com rate less about 2% or 3%. With good timing, you should have your PHP cash within one banking day.

 

To remit from the Philippines:

  1. Using internet banking or cash deposit, transfer funds to your preferred bitcoin exchange in the Philippines and purchase bitcoin.
  2. Transfer your bitcoin to your preferred destination country bitcoin exchange and have them deposit or deliver the cash equivalent.

Again you will get about the XE.com rate less about 2% or 3%. With good timing, you should have the cash within one or two banking days.

 

My preferred bitcoin exchange in the Philippines is coins.ph. There are a few others, some more competitive than others and offering different services. I have been remitting both ways for about a year now. Never had a problem.

 

I use Multibit as my main bitcoin wallet and have Bitcoin Wallet (by Bitcoin Wallet Developers) on my cell phone for ready-use spending. Coins.ph also has a handy cell phone app that I have installed.

 

Some of my clients pay me in bitcoin. This can save them many hundreds of dollars in international money transfers. I normally keep about 5% of my cash reserves in bitcoin. I also use bitcoin a lot when travelling overseas. Some of my preferred hotels accept it for payment and I generally get a better exchange rate when needing local currency.

 

If you have any questions on the use of bitcoin, ask them here and I'll do my best to answer them.

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Ozepete

The trouble is that Bitcoin goes up and down like a barmaid's nickers and many of us don't trust them, the bitcoin not the nickers!

A previous Bitcoin promoter was here on LINC claiming they would reach $1000 by last Christmas..... der!

Edited by Ozepete
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Davaoeno
claiming they would reach $1000 by last Christmas.

 

 

He was only off by $750 !!

 

I think anyone who buying and selling speculative unproven volatile  ether world things to exchange their hard earned money is  fine - but for them to recommend to others less sophisticated  as a means to transfer money  is unethical .    ill advised 

Edited by Davaoeno
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spydoo

He was only off by $750 !!

 

I think anyone who buying and selling speculative unproven volatile  ether world things to exchange their hard earned money is  fine - but for them to recommend to others less sophisticated  as a means to transfer money  is unethical .

Hmm, that sounds a bit harsh on the OP. If he was promoting it for investment, then certainly. He was only suggesting it for transfer of money and gave several caveats, including not having more than one can afford to lose in bitcoin and having it in there for as short a time as possible, if they are less-sophisticated in fx. Taking the whole post including his cautions into account, I wouldn't judge him to have been unethical, personally.

 

That said, foreign exchange isn't for the feint-hearted or financially uneducated, and crypto-currencies are for the dare devils of foreign exchange (my disclaimer, so I'm not at risk of being labelled unethical).

 

Edit: ThompsonJR WAS unethical, and suffered accordingly.

Edited by spydoo
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PIM

Thank you Spydoo.

 

I would never recommend an investment vehicle (and particularly bitcoin) to others. My OP was to introduce members into using bitcoin for remittances only. Both I and some of my clients have used bitcoin for international remittances with nothing but success and saving considerable money.

 

As an example, yesterday I remitted AUD1,000 to the Philippines. Using Western Union in Australia, I would have received PHP33,563 (after WU fees and exchange rate) available for pick-up within 1 or 2 days. Using bitcoin I received PHP34,186 (after commissions and exchange rate) available for pick-up at Palawan Express today.

 

The PHP623 is better in my pocket for a crate of SMB rather than in WU's pocket!

 

My bitcoin was exposed to exchange rate volatility for about 30 minutes (rose 0.007% against the AUD) and was under the control of my bitcoin exchanges for less than 10 minutes total.

Edited by PIM
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Davaoeno
I wouldn't judge him to have been unethical, personall

 

thats why I limited my comments re unethical  to making such a recommendation to "  others less sophisticated "   .     

Edited by Davaoeno

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Salty Dog

 

 

 others less sophisticated

 

I be take espession two dat...

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A_Simple_Man
In this post, I will not try to explain bitcoin to you

 

Thanks, because if you had searched the forums you would have seen two pages of experts trying to 'explain it to us' and seen the opinion of the majority is rather negative.

 

post-2276-0-64966200-1430462037_thumb.png

Edited by A_Simple_Man

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riklynbor

Also SHOULD have your money in 1 or 2 to 3 days????

 

2 to 3 percent loss in exchange rate = $20 to $30 per thousand dollars.

 

To me that is slow and expensive but maybe i am not sophisticated enough lol

 

I will pay iremit $12 fee for transferring thousands into a pinoy account done or for smaller amounts $8 and pick it up on arrival.

 

So why mess with bitcoin and take risks of theft??

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contraman

Has ThompsonJR been reincarnated ? :(

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mikewright

 

 

A previous Bitcoin promoter was here on LINC claiming they would reach $1000 by last Christmas..... der!

 

 

 

Posted 16 February 2014 - 3:27 AM

Bitcoin will probably go to 4000$ this year and within the next 5 years will go to 10,000$

 

I won a few beers on a bet on this.  Haven't collected yet :(

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easydrifter

Thanks, for the great tips and spreading the good word about bitcoin, it's lots of fun. I just opened an account with coin.ph and sent some coin to myself from one of my wallets. It was easy and went right through.It went into the peso account, but can convert to bitcoin with the push of a button.I just used my smart phone. I'm sure it will come in handy for us.

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mikewright

OP, thanks for the information, probably the clearest set of instructions for how to transfer funds through bitcoin I've seen.

 

The earlier threads about bitcoin were more to do with the wisdom or otherwise of investing in bitcoin, not about just using it as a method of money transfer.

 

If you transfer bitcoin to the Philippines exchange, how does the Philippines bitcoin exchange pay the PHP to you - cash, bank deposit, or some other method?

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A_Simple_Man

 

 

Thanks, for the great tips and spreading the good word about bitcoin, it's lots of fun. I just opened an account with coin.ph and sent some coin to myself from one of my wallets. It was easy and went right through.It went into the peso account, but can convert to bitcoin with the push of a button.I just used my smart phone. I'm sure it will come in handy for us.

 

Almost sounds like the opening promoter, er I mean poster, talking to himself.  The one positive voice . .  selling ?? what?

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