Crypto exchange rate

#33

The hidden fees aren’t great, and I agree with everything everyone’s said here. Having said that, it’s a very convenient way to trade in cryptos.

The thing that frustrates me is that the historical pricing graph is just plain incorrect. For instance, it’s trying to tell me that 1 Litecoin = GBP 245.85 at 9.00 this morning. I was watching live at that time, and the Revolut price never climbed above GBP 220.

If you’re going to have a pricing graph, it might as well be of the Revolut price, not the Bitstamp price.

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#34

Hi guys.

Let me apologise for the delay in getting back to you. We’d like to clarify that we derive our prices from the exchanges we have partnered with. The rates you see on screen are based on ‘bid’ and ‘ask’ prices streamed from these exchanges. Depending on the type of transaction you want to initiate (buy or sell), we calculate a volume weighted average from the live orders that are currently available on the exchanges and add a 1.5% flat fee to that rate. This is then displayed for you and is locked, once you execute the transaction.

Unlike other exchange providers Revolut offers an instant exchange, where with other Crypto providers you can only place an offer and not instantly exchange.

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#35

HI Andreas,

Thanks for the explanation. This gives a MUCH better explanation of the fee structure. So as I understand, you are calculating a VWAP based on the order book rather than the traded prices in the market.

So essentially it is a 4-5% spread. Where 2.5-3.5% comes from the Orderbook VWAP and 1.5% comes from Revolut’s fee

#36

@AndreasK Thanks for that feedback.

Could you elaborate on how the historical pricing graphs are determined?

I ask because, for instance, the pricing graph for Litecoin for today shows 1 LTC = GBP 245.85 at 9.00 this morning. I was watching live at that time, and the Revolut price never climbed above GBP 220.

The graphs don’t appear to be correctly mapping the Revolut price…

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#37
        After played with cryptos for 2days i feel revolut's offering is something sort of gambling on short terms not serious market mirror. there's no charts for prices for day and you don't know which way the trend is(sometimes it was totally in opposite direction from other exchanges). serious investors better off with other exchanges with wallets and more pairs
#38

Let me apologise for the delay in getting back to you. We’d like to clarify that we derive our prices from the exchanges we have partnered with. The rates you see on screen are based on ‘bid’ and ‘ask’ prices streamed from these exchanges. Depending on the type of transaction you want to initiate (buy or sell), we calculate a volume weighted average from the live orders that are currently available on the exchanges and add a 1.5% flat fee to that rate. This is then displayed for you and is locked, once you execute the transaction.

Unlike other exchange providers Revolut offers an instant exchange, where with other Crypto providers you can only place an offer and not instantly exchange.


@jlomo0423 you’re almost right. However, the numbers are not correct.

Let me clarify it’s not a 4-5% spread but around 3.4%.

For example, the Ask at the moment (price at which Revolut sells bitcoin) is 16855 & Bid (price at which Revolut buys bitcoin from customer) is 16264. Therefore the difference between Ask & Bid is 591 which equals to 3.4%.

Breaking down this 3.4%, it give us a 1.5% which is the fee applied by Revolut on the exchange provider Ask price and a 1.5% which is the fee applied by Revolut on the Bid price and the rest 0.4% comes from the exchange which depends on market depth.

Another example is LTC:

Ask Price is 300.35 (USD) & Bid price 290.00 the difference is 10.35 USD which is 10.35/295 = 0.0344, which means 3.44%

Breaking down this it gives us a 3.44% which comes from:

3% = 1.5% + 1.5& comes from Revolut (1.5% Ask & 1.5% Bid) & 0.4% comes from the exchange.


Regarding the pricing graph, we’re aware it’s not completely accurate at the moment. However, we’re working on fix and it should be live soon.

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#39

The issue is not about the explaining the cost of doing crypto exchanges…
The issue is that there is still no warnings on HIDDEN FEES anywhere in the app and advertisements!
No work seems to be done to make up for loses for all transactions done already WITHOUT THIS INFORMATION UPFRONT about the total fee buying crypto currency with the Revolut.

#40

What hidden fees are you referring to? Could you please elaborate?

#41

The fee is 1.5% but the exchange rate is 1.5% worse too.
So there is additional 1.5% FEE HIDDEN in the exchange rate.
And there are no warning or explanations when doing the exchange that the rates will be always worse to the user by 1.5% on every exchange.

It’s just like international transfers in some banks, that advertise “20 euros only fee” and then you get ripped additional “500 euros” through a shitty transfer rate.

Same with the Revolut 1.5 advertised fee…
Which is 15 euros from each 1000 euros… yet I was ripped 50 euros for each 1000 euros just for buying bitcoins and converting them back to euros later…

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#42

Thank you Andreas K. It makes sense.

@Original it seems like you don’t have a clue how currencies work.

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#43

Thank you for taking the time to explain this in detail.

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#44

Why you are saying 3-4% when its almost 8-10% rather. Stop lying to your customers and tell them the real story. Right thing to do would be truthful about all the charges. Last thing any startup like yours want to do is lie to your customers. Once you lose reputation and community thinks you guys are just ripping people off. Everyone is going to abandon your platform. Should be careful!

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#45

Revolut, you are an eMoney license holder, regulated by the FCA. Trading crypto in itself isn’t regulated, but your behaviour as a regulated firm is.

Honesty, integrity and reputation are key characteristics of both your eMoney directors under the fit and proper test, and indeed the firm itself.

Your approach to crypto fees appears to be entirely at odds with these characteristics. Using misleading statements, comparisons and hidden pricing to encourage premium signups and then to generate significant revenue at the expense of your customers.

Please address as a priority, before you’re forced to by bodies other than your annoyed users.

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#46

its clearly said in their FAQ they use Bitstamp.


it doesn’t look like 1.5% to me and there is no that big difference between bid and ask on Bitstamp lol.

#47

Some other screenshots here about the hidden fee:

#48

I think the bit where we don’t get transparency is the weighted average bit.

I suspect it is an average of say the next 200 sell orders weighte, or however man they need to make sure when we sell they can sell and be above the rate. Eg.

If current sell rate is 16000, when we sell instantly the price is locked, but by the time Revolut can make the transaction (bitcoin isn’t instant) the price may have fallen by 500

To protect against this I think they take a bunch or sell orders weight them average them and use that as an offer to us price.

I think most would be ok with this if transparent, just looks like hidden fees otherwise.

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#50

I never seen that huge spread between bid and ask on Bitstamp.

#51

I have a 24 hour trade position on Lite Coin which has seen an increase according to bitstamp however my USD value hasn’t moved the slightest with Revolut trade was yesterday at 11.49 price was 304 and the picture shows a 24 hour rolling from bitstamp.

Revolut price hasn’t moved but market is showing a price drive.

:-/

#52

Ok, maybe 1.5% + 1.5% FEE was fine… but 1.5% + 6% HIDDEN RATE FEE!

Bye, bye Revolut. :wave::wave::wave:

#53

I don’t think you can compare with coinbase, or across exchanges. Coinbase has usually a much larger price pair (both buy and sell) than others, including Gdax, which they own as well. The prices and the spread depend largely on the liquidity on each exchange.
Also some exchanges charge you a fee to deposit or withdraw fiat, so the real price can not be directly compared.

Unless you can easily (and for free) move funds between exchanges so that you could buy on the lowest and sell on the highest the actual price does not really matter.

All that matters is the difference between opening the position and closing it, minus fees.

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