why does localbitcoin have such high rates?

im talking about the cash deposit mark up. its currently at 402 and people are wanting up to $50 more. any way to combat this? or do i just have to be smarter when buying? (buying lot when low and storing on electrum)


Comments


[3 Points] Canna-Juice:

It's a free market.

The sellers only set the price as high as they believe they will receive bids.


[2 Points] j0kfiyah:

Just use LibertyX, hardly any markup and they have locations everywhere. You can also be completely anonymous if you use a disposable phone. In terms of why Localbitcoins is so expensive, it's just people trying to make a return on their investment. Also, if people see that the price of Bitcoin is going up they may correctly infer a general increase in demand and thus increase their profit margin as a result.


[1 Points] Theeconomist1:

Is that a face to face exchange or the going premium for bank deposit? Bank deposit was usually the lowest premium. Face to face was higher b/c of hte obvious effort that it takes to meet someone. Gotta worth the time.


[1 Points] Early_C:

I do cash deposit and I can usually find BTC at 8-10% markup. Just the cost of doing business. In my experience, the markup seems to be lower in the morning, I guess the vendors want to get the business and start the day off with some quick sales.


[1 Points] Clix828:

[deleted]

What is this?