I've wondered about starting a service to sell bitcoins via credit card but the catch is he service holds your coin for you for 6 months or whatever the period for chargebacks is.
Buy BTC from tocomment Inc with credit card. If in 5 1/2 months the price of Bitcoin is lower, issue a chargeback and take no loss. If the price is higher, do not issue a chargeback and take the profit.
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I've wondered about starting a service to sell bitcoins via credit card but the catch is he service holds your coin for you for 6 months or whatever the period for chargebacks is.
Is that a viable idea?
Credit card companies and Paypal will shut you down for being "high risk" or whatever. I wouldn't bother trying.
Virwox.com does this. They hold for a few days and charge high fees, but they certainly don't ask for lots of information like Coinbase is now doing.
Also, if you happen to live in the land of the free you can expect to pay a few hundred grand procuring the proper money transmitter licences.
Buy BTC from tocomment Inc with credit card. If in 5 1/2 months the price of Bitcoin is lower, issue a chargeback and take no loss. If the price is higher, do not issue a chargeback and take the profit.
Sounds like a bad deal for tocomment Inc.
This could be "fixed" by holding USD for 6 months and then converting it to BTC, but it's still fairly pointless.
Very good point! I still think there's got to be a solution to selling bitcoins without so much overhead.