One of the more distinct types of Bitcoin scams active in the world today comes in the form of so-called digital currency conversion sites. As the name suggests, these websites will offer to convert Bitcoin to other popular online payment options, such as PayPal, PerfectMoney, and WebMoney. This is another example of why bitcoin users should not rely on third-party service providers, especially not if the conversion does not take place instantly.
Exchanging Bitcoin To Other Payment Methods Is Difficult
There is an excellent reason consumers have a hard time exchanging between more traditional online payment methods and Bitcoin, as the two just do not work together very well. PayPal is an obvious example, as this is a very popular online payment option, yet also subject to high rates of fraud and chargebacks.
That being said, various services on the Internet will offer a conversion process from PayPal to Bitcoin and vice versa. Although there may be a legitimate service in existence providing such a service, it is pretty much impossible to convert between the two while trusting an unknown third party to do so.
Other payment methods, such as PerfectMoney, WebMoney, and even Western Union, can not be converted to and from Bitcoin with relative ease. Unless people want to deal with an exchange providing such a service, and pay a high fee in the process, that is. Anyone offering the same service as little to no fee should not be trusted, though, as using these payment options is not free by any means.
Unfortunately, for digital currency enthusiasts, converting to anything other than a bank transfer or cash is virtually impossible through legitimate means. Then again, this begs the question as to why users would want to convert to services such as PayPal or PerfectMoney, as they can use the incoming cash or bank transfer to do so as well.
Granted, users would pay fees twice, or even three times, but that is the nature of the game where financial payment solutions are involved. Bitcoin is an entirely different creature compared to all of these other online payment solutions, and it only makes sense converting between different types of online money will be difficult.
The same principle applies when trying to convert between PayPal, PerfectMoney, and WebMoney without involving Bitcoin as well. There is no convenient or secure way to do so, and users will always have to rely on third parties to complete these transfers. It is not impossible to do so, but users should ask themselves whether or not it is worth the trouble, hassle, and risk of losing funds.
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