My previous post was about the ABSURD EXCHANGE RATE at which Changelly exchanged $15 USD into Bitcoin. I was using this to buy Steem. The exchange rate Changelly used was $1,761.31 USD, when I found not one, but THREE, different charts showing the highest price of Bitcoin to be ~$924 USD.I have confronted Changelly about this. I sent three emails filled with charts showing the price of Bitcoin at the time of my transaction, calculations using Changelly's posted fees, and requested proof from Changelly (i.e., screenshots of charts, as I provided to them) of the price of Bitcoin at the time of my transaction.
Here is Changelly's response:
<Slightly higher rates? SLIGHTLY HIGHER? In other words: we have your money, you can do nothing about it, and we won't do anything for you.>
...
Today, I went to Crypto-currency Market Captitalizations; the price of Bitcoin was $906.27 USD.
...
I also went to Bitcoin at BitcoinWisdom immediately thereafter; Bitcoin was $903.03, at that moment.
...
Additionally, I checked the price of Bitcoin at CoinGecko; the price of Bitcoin, at the time, was $900.1588 USD.
Did you notice the "Buy Bitcoin Instantly" button? This is a direct link to Changelly! I clicked that button. This took me to the Changelly screen to purchase Bitcoin. I entered 15 as the amount I wished to purchased (as in my actual transaction) and here is the screen as I saw it at that moment:
Note the amount of Bitcoin to be received with $15 (0.0122258).
This represents an ABSURD EXCHANGE RATE of $1,227.2366 !
This is NOT anything close to what any of the above charts represent and CERTAINLY NOT $900.1588 as shown at CoinGecko!
If one was on CoinGecko and clicked the “Buy Bitcoin instantly” button, one would expect (at least close to) the rate shown on CoinGecko, regardless of which kind of funds were to be used. Unless one did the math, one would not know one is being charged up to 26.67% in this case < in other words, "ripped off">. Then, Changelly will deduct network fees and commission on top of this . Their stated commission is 0.05%.< hmmm>
How many of you clicked on that button at CoinGecko and thought you were getting the price shown there when you made (or almost made) an exchange at Changelly?
? ? ?
How many of you actually looked at the transaction in the blockchain to try and figure out what happened?
? ? ?
As I stated in my previous post, in my case, the highest chart price when my transaction occurred was ~$924 USD. The exchange rate shown on my receipt was ~$1,761; a whopping 52.47% difference! Then I had to contend with the fees on top of that! I felt I was ripped off!
How can Changelly justify these kinds of differences? Why is there such a fluctuation in the exchange rate percentages?
As I was writing this, I was wondering which exchange they use for transactions. They say they search to find the best exchange rate, but their search seems nearsighted. Rather than admitting to absurd fees for exchanging USD fiat for bitcoin, they seem to be using an exchange with ridiculously high exchange rates. I have asked for the website address to the bitcoin exchange Changelly uses so I can clarify my transaction. As soon a I get a reply, I will post it for all to see.
Does anyone know what exchange Changelly uses which would account for the absurdly high exchange rates? Why would the bitcoin exchange rate be so high when using fiat rather than any crypto currency? I can understand charging a nominal fee to exchange USD fiat to Indian(?) fiat (rupees?), then a fee to change fiat to bitcoin. Of course there's the network transaction fees and commission - which are posted. Such fees should be clearly stated. Still, this should not amount to over 50% of the initial amount. What about seeming to HIDE FEES IN AN UNCLEAR TRANSACTION AND EXORBITANT EXCHANGE RATES?!?
Perhaps Changelly would like to be introduced to another exchange platform without such high exchange rates? < riiiight. wink, wink>
Changelly logo: Changelly.com.
All others are screenshots I created or parts thereof.
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I think your kind of being a baby, maybe? People can sell their bitcoins for whatever you want to pay them. You didn't have to buy, and why did you buy?? If you thought it was a bad deal, why didnt you buy for market rate through another exchange, other than because they offered you bitcoin when no one else would have?
People on LocalBitcoins charge that rate all the time. Its called risk management. They charge more because you may defraud them.
Why was I buying? I'm trying to find a decent service to exchange fiat to bitcoin via credit card. (several others are not available in my area). This was only a small test amount - their minimum amount of $15 USD. I read through their posted literature and the amount I received in the end was NOT in line with the posted fees. The exchange rate was NOWHERE close to what the exchanges were showing at the time of the transaction. This is why I'm writing about them.
The amounts on LocalBitcoins are clearly posted. I have no beef with that.
Being a baby? Maybe. But I don't like being ripped off through less-than-honorable transactions. I want to alert others of what happened. so it may not happen to them.
EDIT: See my first post on this . You'll get the full background on the transaction.
Ouch, last I looked at their exchange rate it was a 38% premium but 93% would be absurd.
These are their current rates:
Currently, at $1104, it's ~20.5% over market price.
just looked at the exchange rates from USD to STEEM, currently $0.30/STEEM
Is there anything we can do to lower it towards marketprice?
The rate is back up to an absurd $1711 or 86% premium over bitcoin market price.
Thanks for bringing this to light. Hopefully, it will prevent others from getting horrible exchange rates.
This makes me want to go to their article and flag it - so infuriating!
This is why I stay as far away from banks as I can get. Leeches, all of 'em!
I read all through their fee schedules, etc. before I decided to try them. That's why I was so upset when only half of what I purchased showed up in my other wallet. I'm really glad I was not sending a payment or anything like that to someone else!
@changelley what a joke... Brings into question all your other services.
Right!
five months later, same situation: you get sent to indacoin.com: "Please note, that the current exchange rate for this transaction will be equivalent to BTC 1 = EURO 3411.81." the rate at kraken is under 2500. changelly insists in calling the difference "slight": "USD/EUR rates are slightly high now, sorry". lol, why are they still in business I wonder.
I've just had a similar problem, though to a lesser extent. I asked to change ether to SNT and was TOLD 329. I was only sent 316.7. Even accounting for their 0.5% 'charge', I'm out by about 13 SNT. I told them about this, and they told me I had accepted their rate of 318, which is LIES. They claim they have a record of this, which is nonsense - I remember what it said before AND I took a screenshot after to check the rate hadn't changed, and they were both 329. They simply deny it, telling me I accepted their rate of 318, which I most certainly did not - why would I, after being told it was 329?!
This is why I posted what I did. Currently, so few avenues exist to exchange fiat to digital currencies, and these companies know it and exploit it.