Why do people use e-gold instead of Paypal? And I don't understand why the exchange rate is higher for e-gold. Any idea?
I use e-gold for the people who can't use paypal, where paypal isn't supported in countries, and then I just trade the e-gold for paypal.
I also think e-gold is widely used like moneybookers because they have no chargeback policy. Once a payment is made, it is made forever. This besides its allowed in all countries, unlike PayPal limitations for some conutries.
Few things about egold PROS -it follows the gold value, which means if currency goes down (usd), it won't be affected -Gold value rised from 300+ to 800+ in the last few years(don't quote me, I am just saying this from memory), so if you have a money in your egold account it doubled -"anonymous" transactions, but really if the egold admins really want to track you down they could, unless you employ some really good stealth techniques -irreversible transactions - no chargebacks generated by the buyer -low fees - even in large transactions the fees are a few cent I last check -No need to verify credit cards etc -No transaction limits CONS The problem with is egold is that it is difficult to obtain and withdraw because you cannot directly upload money using your credit/debit card, instead you have to purchase egold from an exchangers who could charge a big percentage of fees. When withdrawing, you would also have to go through the exchanger, but probably with no fees. -- So, the egold system in itself is quite free of problems unlike paypal with complains of paypal taking money from their bank or freezing account. The problem however lies outside of the egold system - the exchangers, because many people preferring not to go through the hassle to exchange from large exchangers would exchange in forums where many scammers lurk. Large exchangers, the one I used at least, can only accept bank deposits, which is quite troublesome and with the fees and the bank foreign exchange rates took quite a big amount of my money. Small exchangers, which I do have a few that I trade with, could accept paypal and moneybookers( know that this kind of exchanging might be against moneybookers' and paypal's Terms of Service ) and they generally charge quite a low amount, last I remember about 3% but sometimes they lack funds in egold. I have not used egold in quite awhile though. I have no problems with using paypal, so I am not biased siding egold. Sometimes, people use egold because in their countries because paypal is not available. I am using paypal now because it is more accessible, because I can fund it using my credit card and withdraw to my bank account within a few minutes. Thats all. Bye bye.
I use egold because soemtimes thats only payment option my customers can pay iwth and I dont want to miss a chance for $$$$