One of the top exchanges in the cryptocurrency space, BTC-e, has announced today that they’re allowing traders to withdraw funds to VISA or MasterCard-issued credit/debit cards.
According to the exchange, the withdrawal method can be done “in any country and in any currency”, but notes that all transactions take place in U.S. Dollars, meaning that if a cardholder’s card does not go by USD, it will be converted as per the VISA/MasterCard (or bank) rate.
While most users should not have any issues, BTC-e warns that MasterCard Maestro and VISA Electron cards are not supported by their payout system. PayPal cards will also not work.
Explained by BTC-e:
On some cards withdrawal is not possible, this is due to the restrictions polices of some banks. For example: you cannot withdraw money through our exchange on the cards issued by PayPal. Some credit cards that does not allow to have a positive balance cannot be funded.
If payout to your card is not possible, then we will immediately notify you and refund the money back to your account.
Certainly, the withdrawal method is convenient, but that convenience comes at a price. BTC-e says they’ll be charging a 5 percent fee on this withdrawal method.
The community response has leaned to both sides of the spectrum:
“This is actually amazing,” wrote a user in response on social sharing website Reddit.com.
Another says sarcastically, “Haha wow only a 5% fee, what a bargain.”
So far as we’re aware, BTC-e is the only exchange in the bitcoin realm to allow this sort of withdrawal method.
What do you think?