There are many Bitcoin exchanges to choose from these days, yet some of them are far more strict when it comes to withdrawing funds compared to others. Even Bitcoin withdrawals can be a pain in the rear, especially for new BTC-E customers who have to wait three full days before their first withdrawal is executed. Such a scenario is not acceptable, especially not when a digital currency is involved designed to put users in full financial controls.
Also read: Bitcoin Price Increase A Sign of Things To Come?
Even though BTC-E has always been one of the “bigger” Bitcoin exchanges in the world, things are going downhill for the company relatively quickly. A recent report on Bitcointalk details how new platform users will have to wait three full days before they can make their first withdrawal, even if they just want to transfer Bitcoin funds to their wallet.
Anyone who has been involved in Bitcoin and digital currency for some time now will agree waiting three days to access one’s funds is not acceptable. While instant withdrawals might be a bit much to ask for – although they should be possible regardless – there is absolutely no reason for BTC-E to hold onto user funds that long.
The main question is why it takes that long in the first place. Some people might argue this is a security precaution, which makes a lot of sense in that regard. Especially where new users are concerned, as it is hard to distinguish between legitimate and fraudulent deposits for Bitcoin exchanges these days unless they want to rely on a third party to handle their funds.
Regardless of how one wants to look at things, BTC-E is controlling user funds, both in fiat currency and Bitcoin, This is not an unusual scenario in the world of Bitcoin exchanges, but it is a clear example of why decentralization and controlling funds at all times are so important. Companies like BTC-E can get away with this for some unknown reason, although their practices could end up hurting the ecosystem in the long run.
If you were new to the Bitcoin world and decided to buy Bitcoin on BTC-E, you would be turned off by this three-day waiting period immediately. A lot can happen to the value of those bitcoins in 72 hours, and not everyone sees Bitcoin as a long-term investment just yet. After all, this digital currency is designed to allow for transactions in near real-time, making a three-day waiting period seem like an eternity.
A good reputation goes a long way in the world of Bitcoin exchanges, and BTC-E is not doing themselves any favors. Things like these will have to change sooner rather than later, as BTC-E is alienating novice users from the Bitcoin ecosystem. Security measures are positive, but they should not be at the cost of the core principles of digital currency.
Source: Bitcointalk
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