Seeking advice on selling bullion coins for cryptocurrency

[goldsilverdash]

I am considering selling some of my bullion coins for cryptocurrency, preferably Dash. However, I am a bit hesitant about the whole thing.

One worry is that there would not be enough interest among potential buyers here on the forum to purchase bullion coins with Dash or other cryptocurrencies. I have seen that a few such trades have taken place, but not a lot. Would I lose out on a lot of potential trades by only accepting cryptocurrencies as payment? Is the Silver Forum the right place for this?

Another thing I’m concerned about is the exchange rate, given the market price volatility of cryptocurrencies. I am thinking that auctions would be a good thing for me, as it would allow me to find out how much a can get for a given coin. But the bidding would probably have to take place in units of fiat currency (Euros). This leads to the question of at what moment the exchange rate would be locked in, would it be at the conclusion of the auction, or at the moment of payment, or at some other time. Is it the buyer or me, the seller, that should bear the exchange rate risk during the time until payment is concluded? Are there any general concerns with the bidding taking place in one currency and the payment in another currency?

I am thankful for any advice concerning selling bullion coins for cryptocurrency here on the forum or elsewhere. Does anyone have experience with this?

[morezone]

Not many people will want to deal with crypto payments.  Unless they have your crypto of choice at hand and wanting to dispose off, there's no advantage in using crypto.

If you are selling stuff on here then you would need to set terms of payment before hand.

Easier for people to deal in fiat and then you can trade for whatever crypto you want at your end.

[SilverDrum]

I've made a sale using cryptocurrency via the forum before. Also seen a couple of members with listings to be sold for/bought with cryptocurrency. Best way is to just make a trade listing as Morezone mentioned, and just put your specifics in the post. 

I decided on just agreeing a fiat value and a mutually accepted currency conversion rate, then at the time of payment that was the time the price was fixed. I felt it was no different that converting to fiat, just the same as deciding how much fiat your gold is worth, just viewing it as a different currency. 

[goldsilverdash]

Thank you very much for your advice so far, I may just try this out at some point and see how it goes.

That there would be no advantage in using crypto is something I respectfully disagree with. Like with physical precious metals, cryptocurrencies allow you to "be your own bank" and to trade outside of the system. In addition to not having to rely on a financial institution and trust a counterparty to hold your funds for you on your behalf, cryptocurrencies also allow you to transact with more privacy and without being at risk of financial censorship. I have the personal philosophy of "once outside the fiat system, always outside the fiat system". This is why I would not want to sell any of my silver or gold coins for fiat currency (unless I had to because of some personal crisis, and this would be the only way out).

 

[goldsilverdash]

Also, if you don’t want anyone to know that you have physical precious metals, buying it with cryptocurrency may a good idea.

Your bank knows virtually everything about you (who you are, where you live, how much money you have, where you got it from, and what you’re spending it on). They are required to collect all this information and more, and they would not mind sharing any of this information with the authorities should they ask for it. Further, your transactions can be flagged for suspicious activity, and your account can be frozen.

I have bought most of my precious metals with crypto or with cash, and it would be extremely hard if not impossible for anyone to find out that I have precious metals.

[LawrenceChard]

8 hours ago, goldsilverdash said:

I am considering selling some of my bullion coins for cryptocurrency, preferably Dash. However, I am a bit hesitant about the whole thing.

 

One worry is that there would not be enough interest among potential buyers here on the forum to purchase bullion coins with Dash or other cryptocurrencies. I have seen that a few such trades have taken place, but not a lot. Would I lose out on a lot of potential trades by only accepting cryptocurrencies as payment? Is the Silver Forum the right place for this?

 

Another thing I’m concerned about is the exchange rate, given the market price volatility of cryptocurrencies. I am thinking that auctions would be a good thing for me, as it would allow me to find out how much a can get for a given coin. But the bidding would probably have to take place in units of fiat currency (Euros). This leads to the question of at what moment the exchange rate would be locked in, would it be at the conclusion of the auction, or at the moment of payment, or at some other time. Is it the buyer or me, the seller, that should bear the exchange rate risk during the time until payment is concluded? Are there any general concerns with the bidding taking place in one currency and the payment in another currency?

 

I am thankful for any advice concerning selling bullion coins for cryptocurrency here on the forum or elsewhere. Does anyone have experience with this?

 

"I am considering selling some of my bullion coins for cryptocurrency, preferably Dash. However, I am a bit hesitant about the whole thing."

Quite right to be hesitant, IMO.

Some people who got in crypto early have made a lot of money, but I suspect BitCoin and other cryptos currencies are a bubble, and perhaps OK if you like a gamble, and you are using money you can afford to lose.

I think all currencies, with the exception of gold, have eventually become worthless.

We at @ChardsCoinandBullionDealer published a blog back in 2020 https://www.chards.co.uk/blog/is-bitcoin-a-speculative-bubble/966 mainly based on my views.

While BlockChain is probably sound, this does not mean "currencies" and "coins" using the technology are also sound.

BTW, we do accept crypto as payment for bullion.

😎

 

[dicker]

I know this is a controversial topic or some, but I judge Crypto's to be highly pumped (just my humble opinion), with some elements (Tether) possibly being a Ponzi.  One only has to venture onto twitter to see such objectionable terms as 'Enjoy being poor', 'Your kids will miss out', 'Liquidate your property and go into rented to buy BTC' etc.  There is worse that I won't add here.  I see quite a lot of people showing their BTC wealth with displays of wealth: Private Jets, Supercars, Holidays - again I am suspicious of these people and their desire to prove they got rich from BTC - sure some will have done, others are pumpers.

I have seen people on Twitter who have quit their job to 'invest' in BTC, and become 'influencers' i.e. spend all day pumping on twitter (I assume the same on Insta and FB).

Equally, I have been unable to establish to any satisfaction that in 5 years time that BTC (for example) will be worth GBP1 or GBP1M.

The high volatility o cryptos is great if you are an active trader and have insight in the market - I certainly don't.  For me, Cryptos are not that useful as currency because of the volatility.

As @LawrenceChardpoints out, there are people who got in at the beginning who are very wealthy as a result, investing now for profit is less clear cut. 

Additionally I suspect that in the current climate there may well be government intervention that impacts the BTC price (negatively).  Whilst many people think that blockchain is completely secure, I would not trust a nation state not to have invested time and money in working out how to disrupt (and yes I understand distributed ledgers).

As always its a case of caveat emptor!

Best

Dicker

 

 

[Roy]

I wouldn't ever sell gold for crypto. Keep the two separate, I say.

1 hour ago, LawrenceChard said:

BTW, we do accept crypto as payment for bullion.

Lawrence, when you accept crypto for PMs, are you exchanging it for fiat immediately, or are you a hodler too?!

(pls ignore if confidential)

 

[dicker]

1 hour ago, LawrenceChard said:

 

BTW, we do accept crypto as payment for bullion.

😎

 

I saw your new Bitcoin pumping Twitter page now I know why! 🤠

Edited March 4, 2022 by dicker

[LawrenceChard]

22 minutes ago, Roy said:

I wouldn't ever sell gold for crypto. Keep the two separate, I say.

Lawrence, when you accept crypto for PMs, are you exchanging it for fiat immediately, or are you a hodler too?!

(pls ignore if confidential)

 

Good question, we exchange ASAP for good old fiat, before recycling it straight into more precious metals.

P.S. What's a hodler? A bricky's mate with a bike?

😎

[Roy]

I thought as much 👍

Hodler is not of my invention, but a play on the word hold. 

https://blog.coinsource.net/what-does-hodl-mean/

It's not a typo and your definition is much better. I shall use it 😁

[goldsilverdash]

Don’t worry fellow stackers, I would never sell all my precious metals for crypto! Actually, I’m only looking to sell a few select silver pieces, and will probably end up buying more ounces of silver in the future for those very funds. (At this point in time I don’t buy silver because of the high premiums, but will be buying again when the premiums go down.)

I am obviously a big enthusiast for cryptocurrencies, but I am not blind to its downsides. I would agree that Bitcoin may be overvalued now, but Dash is a different story entirely. As opposed to Bitcoin, Dash actually works as a currency. Dash transactions are highly secure, very fast, and carry low fees. But it has yet to prove itself as a great store of value.

Cryptocurrencies and precious metals are the only forms of non-fiat money I know of that allow you to be your own bank and transact without an institution, and as such they go very well together. Each has its pros and cons, and nothing beats a bit of both worlds if you ask me.

[LawrenceChard]

11 minutes ago, goldsilverdash said:

Don’t worry fellow stackers, I would never sell all my precious metals for crypto! Actually, I’m only looking to sell a few select silver pieces, and will probably end up buying more ounces of silver in the future for those very funds. (At this point in time I don’t buy silver because of the high premiums, but will be buying again when the premiums go down.)

 

I am obviously a big enthusiast for cryptocurrencies, but I am not blind to its downsides. I would agree that Bitcoin may be overvalued now, but Dash is a different story entirely. As opposed to Bitcoin, Dash actually works as a currency. Dash transactions are highly secure, very fast, and carry low fees. But it has yet to prove itself as a great store of value.

 

Cryptocurrencies and precious metals are the only forms of non-fiat money I know of that allow you to be your own bank and transact without an institution, and as such they go very well together. Each has its pros and cons, and nothing beats a bit of both worlds if you ask me.

 

I tend to recommend gold rather than silver, mainly because of the VAT element in the UK or EU.

Silver and platinum can be bought for offshore secure storage, which legally avoids the VAT.

[dicker]

Bitcoin down 7.34 pct as I type. Not a comment on the value of BTC just highlights the volatility!

I don’t know dash but will take a look. 
 

Best

Dicker

[dicker]

Just checked it out. Dash is down 7pct today.  Not a currency alternative for me. 
 

Best

Dicker

[LawrenceChard]

1 minute ago, dicker said:

Bitcoin down 7.34 pct as I type. Not a comment on the value of BTC just highlights the volatility!

I don’t know dash but will take a look. 
 

Best

Dicker

I'm not going to dash out to buy any.

😎

[goldsilverdash]

14 hours ago, dicker said:

Just checked it out. Dash is down 7pct today.  Not a currency alternative for me. 
 

Best

Dicker

The volatility of cryptocurrencies remains a problem, and Dash is no better than Bitcoin in that respect. However, I expect this to improve over time as the market matures and we will see more and more real-world adoption. Dash is quite heavily used in Venezuela as I understand, and more stabile than the Venezuelan national currency.

 

If the fact of wild short-term swings in price are enough for some to stay away altogether, I do respect that. I’m more interested in the longer term. Crypto is still a new thing and it may take many years for these markets to mature. Holding 100% of your wealth in crypto today would be crazy, and precious metals can help mitigate that.

[goldsilverdash]

So, I posted my first auction:

Since, it is not allowed to comment in the trade topic itself, comment here. Is the description good?

[ArgentSmith]

Description is great but I think you might find bidding "slow" due to trade feedback, Euro listing, and payment requirements. 🤷‍♂️

[goldsilverdash]

Thank you! I decided in the end to not make it cryptocurrency exclusive in order not to alienate potential buyers. I can accept both crypto and fiat payments. Bidding is in euros, but I can accept payment in pounds and a few other fiats as well.

I guess some interested parties will wait to bid closer to the end time of the auction?

I'm not sure how rare these particular coins are with the privy mark. I'm hoping I might get a bit of a collectors premium.