Steam stops accepting bitcoin due to high transaction fees and price volatility
#1
Link to Steam announcement

Steam says that transaction fees peaked at close to USD 20 last week -- in comparison, it was roughly USD 0.20 when they started accepting bitcoin.

Another issue is the volatility. Sometimes when the payment is still being processed, bitcoin's price can change significantly, causing Steam to either have to refund the user or to ask the user to send more bitcoins. In either case, it involves paying the transaction fees again. With the transaction fee price this high, it's becoming untenable to do so.

Steam ends the announcement by saying that they will re-evaluate the viability of bitcoin payments at a later date.

Personally I never used bitcoin on Steam even though I could do so. As someone who exclusively buys older or heavily discounted (75% off and more) games the bitcoin fees would have been a significant portion of the price I pay for the games, so it's a no-go for me. Some users seem pretty upset/disappointed by the news, judging by the comments on the linked announcement above.

p/s: Bitcoin now at ATH of 15.6k USD at the time of writing. Holy s-it!
#2
This is pretty amazing info. It says a lot about the volatility of bitcoin but also the power of Steam to be noticed to this extent. I'm sure Steam must have got their advice from somewhere - so who knows, maybe bitcoin is a bubble currency set to go for a huge dive one of these days. Probably a wise move of theirs - but of course a difficult one at the same time considering the upward movement of Bitcoin.
#3
That is kinda smart to do... I'm not sure bitcoin is sustainable at this point and if it will crash lol. Using it across all platforms is pretty risky and I would hold off for the moment.
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#4
I certaintly agree that it's a smart idea. Bitcoin is just too risky and difficult to deal with for purchases of video games. Good thinking Steam!
#5
maybe steam will not accept it because it hard to re-sell bitcoin again?
but i never using bitcoin for steam games , just debit card will do the jobs
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#6
When you buy games for a few US$ and you transfer fees are almost in the hundreds of US$. Bitcoin is no longer really usable in the real world. Buying goods doesn't work well because you pay a hefty transfer fee. Where it would be really worth is if you buy something really expensive. Transfer fee would be rather small and wouldn't play big role if you spend thousand US$ in BTC.

Steam made the right decision. Bitcoin has no use case in their market again and when the bubble bursts there is going to be a huge outcry.
#7
@Dio, It's not about re-selling. As Hidden Refuge said. The transaction fee is so high.
I had to pay 10$ for my server. only 4$ went and 6$ was fees. And bitcoin has also reached 20,000$ .......
Steam did good,

just been curios why steam removed Skrill etc?
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#8
@Dio
They use BitPay which gives you the option to get the USD equivalent of BTC once you receive payment which I believe they use. So I don't think that's part of the reason.

They already stated it pretty well in their blog post.
#9
Transfer fees has becoming insane and Now nobody can really predict what could happen. There were so many Gurus were saying it's gonna crash even before reach 10k usd but now it's nearly 20k usd. But again if it crash it's gonna crash hard and companies like stream will be in big trouble if that happens. So I guess it's no rocket science why they had to do it.
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#10
(2017-12-20, 2:01:45 pm)dudex Wrote:  But again if it crash it's gonna crash hard and companies like stream will be in big trouble if that happens.

  1. As Conan said, Steam uses Bitpay which allows merchants to receive the USD equivalent instead of bitcoin itself.
  2. Using Bitcoin is expensive for customers due to the transaction fees, so I'm inclined to think that only a very small percentage of Steam purchases are done with bitcoin.

With these in mind, I don't think Steam would be in big trouble at all if Steam were to continue accepting bitcoin and bitcoin does crash. In fact, if the price does crash, then transaction fees will become lower as well, and bitcoin would be more viable as a payment method.




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