“Of the $ 20 I put in, they only gave me $ 13”: Youtuber Uncle Frank shared his experience buying Bitcoins

(VIDEO) The Salvadoran youtuber shared his experience when converting dollars to Bitcoins and vice versa, where he had to pay up to 10.5% commission plus a very high extra fixed charge to make use of the cryptocurrency.

The popular Salvadoran youtuber, Tío Frank, went to the beaches of El Zonte and El Tunco, in La Libertad, to see first-hand how transactions with Bitcoins work, the cryptocurrency that El Salvador recently adopted as legal tender .

In the images shared by the same youtuber, it is possible to observe how he and a companion arrive at one of the ATMs that have been installed in El Zonte, and which works to withdraw or deposit money directly into the virtual wallet.

You can read: What does it imply that there are 3 legal currencies in El Salvador?

The first steps that Uncle Frank takes in his experience are to install the Bitcoin Beach Wallet application and register through a personal account, from there, a user of the place tells him how he can do to introduce money, something that is equivalent to to buy fractions of Bitcoin.

To do the test, the youtuber scans a QR code, then the account status appears on the screen, that is, how much money you have in your virtual wallet both in dollars and BTC (short for Bitcoin).

At this moment, the young man introduces a $ 20 bill that, once registered by the cashier, shows him on the screen how much it is equivalent in BTC, at the same time that he indicates that there is a fixed charge of $ 5 for converting that physical money into cryptocurrencies.

The ATM shows the fixed charge for each transaction when converting physical money to Bitcoins. Illustrative and non-commercial image / https://www.youtube.com/watch?v=AMpxrgLLb9E

Likewise, while the youtuber waits for the cashier to issue the receipt that proves his purchase, Uncle Frank clarifies that, despite the high value of Bitcoin in the market, it is possible to buy it in fractions, as in his case he acquired 0.0003399 BTC with $ 20.00

Also read: Approving the use of Bitcoin has been a “stupidity” of the Bukele government, says US economist.

However, and to the surprise of the young man, when obtaining his receipt, the real charge he received for the transaction and the conversion of dollars to BTC can be observed, in which it appears that, in addition to the $ 5.00, 10.5% has been discounted. commission for the procedure.

By making accounts and checking his virtual wallet, Uncle Frank checks that the actual amount he has obtained in BTC is equivalent to $ 13.56, that is, $ 6.44 less than the value he paid for Bitcoins.

Uncle Frank shows on a receipt that he was charged $ 6.44 in commission for buying $ 20 worth of BTC. Illustrative and non-commercial image / https://www.youtube.com/watch?v=AMpxrgLLb9E

However, both the youtuber and the person who explains how the ATM works mention that the high cost of the transaction could be due to the fact that the ATM is private and that, probably, it is the owner who charges an extra commission for converting dollars to BTC.

Likewise, Uncle Frank’s companion affirms that he prefers to use traditional ATMs, because they are more practical to use and “without much flow”.

In the same video, the youtuber decides to check the cost of transactions at the Athena ATMs, located in El Zonte, where, as you can see, the commission charge is lower, but the procedure is more cumbersome.

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For example, to be able to convert BTC to dollars, the user must scan a QR code, then they must wait five minutes to receive a code on the phone, then that code must be entered at the ATM, which will give them a ticket; Then, you must enter the phone number, to receive a second code that will be used to continue with the operation and, finally, you must enter another code that appears on the receipt before received and with this withdraw the money requested at the beginning of the operation.

Some of the users who commented on the video posted by Uncle Frank, stated that the commission charges are too high and that they will only generate losses in the population. Others added that if Tío Frank and his friend, who are “bugs”, find it difficult to understand the procedure, it will be more difficult with the majority of the Salvadoran population, especially merchants and entrepreneurs.

After several minutes, the youtuber was able to withdraw $ 10 from an ATM that converts BTC to dollars. Illustrative and non-commercial image / https://www.youtube.com/watch?v=AMpxrgLLb9E