Silk Road forums

Discussion => Security => Topic started by: abrakadabra on June 12, 2013, 04:43 am

Title: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: abrakadabra on June 12, 2013, 04:43 am
 I am surprised that I haven't seen any discussion here on the forum regarding the recent bitinstint issues. I would imagine this past weekend and last few days vendors have been much slower with the cash deposit option down and now they launched a new site with some major changes to the routine which includes a pretty in depth name verification procedure that makes me uncomfortable with using them.
  They do a records check with some type of agency like trans union or similar and you get quiz with questions like they do if you run your own credit online.
  I have to assume this is a result of some govt regulatory influence and it adds to the database the IRS and other agencies use to profile people.
  I don't like what all the media attention is doing to this thing, although if not for such exposure how many of us would not have ever found this place???
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: forgettegrof on June 12, 2013, 05:24 am
It's the same it's always been...Anyways, if you know how to use a tumbler correctly this shouldn't be an issue for you. Or just use BST
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: danconia on June 12, 2013, 05:31 am
I think there have already been some threads but there are certainly plenty of threads on BitCoinTalk.com.  BitInstant is failing pretty hard at customer satisfaction right now.  I was pushed to use LocalBitcoins.com today for the first time.  The transaction went flawlessly but I had to pay a higher premium than I am used to.

Plus Coinapult (sorry but I'm still grouping BitInstant in with them since they are partners) has been holding onto $400 of my BTC for the last 8 days without any real communication.  These companies need to learn how to better communicate with their customers.

As for verification on BitInstant (and MtGox), as Limetless pointed out in another thread you could probably forge those scans pretty easily in my opinion.  Plus I feel like my personal info wouldn't be of any interest unless I was pushing a lot of money / BTC or if I were already caught IRL buying or selling drugs (and they somehow knew where I got them from).
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: d0z3r on June 12, 2013, 05:33 am
what kind of verification? what does it make you do?
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: ilovelucyshow on June 12, 2013, 05:51 am
what kind of verification? what does it make you do?

It asks questions like you would answer when verifying for legitimate free credit report. Things from your credit history related to past residences, info about relatives, prices of homes previously purchased, etc.

Nothing that isn't insanely invasive.  >:(
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: gtrmonkey on June 12, 2013, 06:07 am
Just would like to point out, things have been said. SR uses a tumbler, Sr does have legitimate goods on here. So I would think it pretty safe to transfer to your wallet.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: AnonymousAddict on June 12, 2013, 06:13 am
Like above said^^ sTOP WASTING MONEY FOGGING AND TUMBLING COINS.. thats done before they hit the road...
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: nottomtom on June 12, 2013, 06:37 am
hmmm.  I used it just a few hours ago.  I just did my transaction as a guest and it was the same as its always been.  Just had to give a fake dob, phone #, etc.  I'm in the US so maybe its that way in other places.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: abrakadabra on June 12, 2013, 07:07 am
hmmm.  I used it just a few hours ago.  I just did my transaction as a guest and it was the same as its always been.  Just had to give a fake dob, phone #, etc.  I'm in the US so maybe its that way in other places.
Did you get the new site? or same old site as before?
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: sharonneedles on June 12, 2013, 08:45 am
How difficult is it for someone to setup their own bitinstant? I assume it's just a matter of investing in btc, distributing "tickets" on your website, person brings the ticket to a shop that has agreed to accept them and they accept cash. This doesn't seem difficult to me and anyone can setup such a service and register it with the State.

Am I missing something?
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: CaptainSnowFlakes on June 12, 2013, 01:39 pm
How difficult is it for someone to setup their own bitinstant? I assume it's just a matter of investing in btc, distributing "tickets" on your website, person brings the ticket to a shop that has agreed to accept them and they accept cash. This doesn't seem difficult to me and anyone can setup such a service and register it with the State.

Am I missing something?

Ya you are missing that you have to be an authorized money transmitting agent. You have to register with the fed I believe for that. Almost makes you like an official bank. That is why most of the other services got shut down. They skipped that step. And with that step comes with regulations like verifying transactions with personal information.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: mindlessWarrior on June 12, 2013, 04:20 pm
I think bitinstant is suffering some serious delays right now. I gave them my money 24 hours ago and still haven't received anything in my blockchain wallet. Im a newb too so this is my first try at getting bitcoins. Freaking out. lol. I didnt have to verify anything though I just signed in as a guest.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: mindlessWarrior on June 12, 2013, 05:24 pm
omg spam somewhere else
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: nottomtom on June 12, 2013, 06:42 pm
hmmm.  I used it just a few hours ago.  I just did my transaction as a guest and it was the same as its always been.  Just had to give a fake dob, phone #, etc.  I'm in the US so maybe its that way in other places.
Did you get the new site? or same old site as before?

it was the new site with the new interface.  i will say guest transactions had a low cap maybe $500.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: danconia on June 12, 2013, 07:27 pm
How difficult is it for someone to setup their own bitinstant? I assume it's just a matter of investing in btc, distributing "tickets" on your website, person brings the ticket to a shop that has agreed to accept them and they accept cash. This doesn't seem difficult to me and anyone can setup such a service and register it with the State.

Am I missing something?

Ya you are missing that you have to be an authorized money transmitting agent. You have to register with the fed I believe for that. Almost makes you like an official bank. That is why most of the other services got shut down. They skipped that step. And with that step comes with regulations like verifying transactions with personal information.

Which is why you have to wonder if there's some better de-centralized way of doing this.  I suppose LocalBitcoins.com may fit that description though.  With BitInstant going down the tubes I used LocalBitcoins for the first time yesterday.  It works well but had to pay a slightly higher commission / premium.

There has to be an easier way of getting around these government assholes
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: mindlessWarrior on June 12, 2013, 08:14 pm
unfortunately for me, localbitcoins has nobody near me to trade with. Not driving 2 hours lol.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: cindelle on June 13, 2013, 12:49 am
unfortunately for me, localbitcoins has nobody near me to trade with. Not driving 2 hours lol.

you dont have to physically meet the person on localbtcoins. there are vendors who take moneypack and WU just like some of the vendors on SR do. there are also vendors on localbitcoins who allow cash deposit into their bank, wells, BOA.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: Stonedstupor on June 13, 2013, 02:33 am
what do yall think about coinbase and linking a bank account? they provide instant verification, i'm thinking about having to switch to this after using nothing but bitinstant, wells fargo, and cash in the mail, all anonymous. now a direct bank transfer isnt too anonymous, this sucks ass
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: ilovelucyshow on June 13, 2013, 04:12 am
unfortunately for me, localbitcoins has nobody near me to trade with. Not driving 2 hours lol.

you dont have to physically meet the person on localbtcoins. there are vendors who take moneypack and WU just like some of the vendors on SR do. there are also vendors on localbitcoins who allow cash deposit into their bank, wells, BOA.

Thanks for the tip. I didn't realize some would sell on localbitcoins without a physical meetup. I need to look more into that, I guess.

But that seems to circumvent the "security measure" of buying locally, if you could call it that. I guess I don't understand how fraud is prevented without meeting...
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: cindelle on June 13, 2013, 12:56 pm
There is also ESCROW in Localbitcoins! You can use it in order to secure your transaction. vendors on localbitcoins have feedback just like SR has. You can limit fraud by researching the various vendors, look at their feedback and STAY IN ESCROW.  I have had 2 successful transactions on there so far.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: sl0wturtle on June 13, 2013, 01:46 pm
I found this dude on another forum I go to where I pay him paypal for his bitcoin. He got good amount of coins and doesnt charge me any fee's. He just wants cash and doesn't want to fuck with mtgox and I want his bitcoin and dont want to fuck with bitinstant or bank transfers. If for some reason he doesn't send the bitcoin, I always got paypal to refund my money.

Works nicely so far.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: sclerogal on June 13, 2013, 03:43 pm
I can't seem to purchase any bitcoins from bitinstant since their web redesign.  I keep getting a variety of errors, the last one was "We are experiencing problems with one of our partners, please try again later"  How else are people safely  and anonymously purchasing bitcoins.  I 'm lost :-\
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: lluskyy on June 14, 2013, 09:25 am
Bitinstant is always running into shit. Give it a few days and it should be sorted.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: razerblade on June 14, 2013, 11:52 am
if you need btc quick fast and in a hurry... JMB under money, digital currency.
Title: Re: Bitinstant and their new Verification requirements for cash deposits (USA)
Post by: sclerogal on June 14, 2013, 02:34 pm
I made it through bitinstant but I had to use my real name and an old address.  I do bitcoins to email option using a tormail account, then transfer to a wallet and onto SR, all through TOR.  I have heard of other people using their real information for purchasing bitcoins since purchasing bitcoins is legal and not traceable.  Is this a safe enough process with using my real information?