Paying with Bitcoin for US Purchasers using CoinBase

[mpking]

Overview
I wanted to buy AnyDVD, but was having significant problems with my credit card going thru. To that end, I decided to get some Bitcoins, and pay that way. This is the results of my research. My goal was to do this as easily and painlessly as possible. I was not striving for total anonymity, in fact, if you are looking for total anonymity, this is not the way to do it.

Wallet
To own a bitcoin, you have to place it in a wallet. Without a wallet, you can’t receive, store, or spend bitcoins.

A Bitcoin wallet is simply an app, website, or device that manages Bitcoin private keys for you.

There are 2 types of wallets. Hot-wallets, and Cold-wallets.

Think of them like this:

• Hotwallet is like the wallet on your person. Easily accessible, yet fairly easily stolen. (Pickpocket / purse-snatcher). You want only keep the minimum amount of money you need in these. You wouldn’t walk around on the street with your life’s savings, would you?
• Coldwallet is like a safe that you’ve installed somewhere. This is usually done via an offline computer (Air gapped, powered off)
  • Hardware Wallets are a subset of coldwallets with dedicated hardware that requires you to have physical access to the hardware wallet.

For my purposes, I only needed a Hotwallet. I chose to open an account with a CoinBase. Choose the security options you feel comfortable with, but if you ask me, you ALWAYS need to enable 2FA (2 Factor Authentication) so that your account is more secure.

Purchase Bitcoins
Now that you have an empty wallet, now you need to buy some bitcoin.

The easiest guide I’ve found was https://www.buybitcoinworldwide.com/ which goes over the pros and cons of each buying METHOD.

For me, I chose to buy thru CoinBase, because of a few reasons.

1. I had already created my wallet with CoinBase, so it was the easiest to buy from.
   
2. They accept Credit Cards (Visa / Mastercard)
3. They only charge 3.99% credit card “convenience fee” (Bank transfers are 1.49%). This is one of the lowest credit card fees that I found.
   
4. They do have a $100 a week limit on credit cards, unless you Verify your ID. (In the USA scan and send a copy of your drives license, This was WAY easier thru the mobile app.) For me, this was not a problem.

Purchase AnyDVD

1. Visit the ordering page
2. Fill out the order form, make sure to select Bitcoin at the bottom:
   
3. On Page 3 / 4 (Ignore the fact there was no Page 2/4) confirm your details and select
4. On Page 4 / 4 you should receive the Bitcoin Amount, and Address for payment
   
5. Copy the Bitcoin address to your clipboard. Leave this window open, you’ll need the BTC amount in a later step.
6. Log into your CoinBase account,

Following directions are for the Mobile App (They made this harder than it used to be)

1. From the Home Tab, click the Portfolio Button
   
   
2. Click the Bitcoin wallet in your portfolio screen
   
   
3. Click the Bitcoin Wallet (a second time)
   
   
4. Click the Send button:
   
   
5. Enter in the correct amount of BTC from the Redfox page you left open on Step 5 in the previous section. Click Continue
6. Fill in the TO field with the Bitcoin Address. (You can use the QR code)
7. Hit Send Funds
8. There may be more steps, but this should get you on your way.

At this point, you have to wait between 5 and 10 minutes for the Bitcoin transactions to take place, you should receive a confirmation from Redfox, and your license key as well.

That's it! It's not very hard at all.

Following directions are for the desktop app

1. Sign into Coinbase.
2. Click on Portfolio
   
   
3. Click on Bitcoin under "Your Assets"
   
   
4. Click SEND
5. Enter a recipient address, an amount, and click continue
6. There may be more steps, but this should get you on your way.

At this point, you have to wait between 5 and 10 minutes for the Bitcoin transactions to take place, you should receive a confirmation from Redfox, and your license key as well.

That's it! It's not very hard at all.
*Updated December 2019

 

[ddjmagic]

That's it! It's not very hard at all.

Thanks for the post - great information.
All my previous AnyDVD purchases have been with Bitcoin, it's painless and the additional 10% off is a nice little incentive/bonus too.

 

[BRCS]

Nice info I used coinbase for three purchases for Redfox products the only difference is instead of using their weekly limit cap with out a drivers license I just purchased what i needed from here one phone call is all they require for info quick and easy and my info is not all over the internet this is USA only.

Bitcoin Ranger: https://www.bitcoinranger.com/

 

[RedFox 1]

Coinbase is one of the biggest exchanges in the world.

 

[RedFox 1]

That's cool.

I just checked their site out, and they require a referral to join, so that didn't meet with my goal of being "easy". Plus, you are paying a premium for that privacy. Bitcoin exchange rates are highly liquid, but at the time I'm writing this, Coinbase was $13.02 cheaper to buy .05 BTC.

I did write a whole section about privacy, anonymity, and Bitcoin. But when I stated my goal, I realized that didn't fit what I was trying to accomplish. I tailored this document towards my goal as much as possible, the goal of it being easy and painless as possible. It's the reason I ended up at CoinBase, they are big enough that I didn't have a fear of being scammed, and they have invested significant effort on making their Website userfriendly.

I made your guide a sticky, so it will always be at the top of the sub forum page.

 

[Ivan]

Thank you for the great guide @mpking ! Very well done!

 

[LoneSwan]

Excellent tutorial!
I chose to use Electrum for wallet because another user posted about CoinBase taking action due to AnyDVD purchase. Whether this is truly the case (or not?), I thought it best to go to an alternate provider for the wallet function.

For the majority of purchasers from the USA, CoinBase (as detailed in this thread) seems to be the best current method. Hawaii is no longer able to use CoinBase, but that state is the only exception.

Some additional notes about CoinBase {more detail will be added to thread on Coinbase + Electrum(wallet), if needed.}:

Purchase with credit card limit of $100 per week is only increased to $150 by jumping through additional ~hoops~ of sending images of FRONT _and_ BACK of driver's license, using CoinBase website tool.

"Authy" was my choice for 2-factor verification, and I believe 2-factor is a requirement for credit card purchases. With Authy, it is possible to use a landline phone for account. However, you _must have_ a mobile phone to setup CoinBase account, and you _must_ verify this mobile number with CoinBase before switching (CoinBase) to use the Authy service. Authy also allows more than one device added to same account(telephone number). In my case, I have an Android tablet, 2 Windows desktops, as well as a mobile phone. I'll probably delete Authy access from the mobile(cell phone) now that it is active on my other devices.

 

[nebostrangla]

Due to the issues that Redfox is experiencing with their PSP. This really is the best option for purchasing licensing. And you get a 10% discount on top of any other they may be offering.

 

[RedFox 1]

Once you get used to Electrum, you can buy your Bitcoin at Coinbase and transfer it to Electrum, then use the Bitcoin from Electrum to purchase whatever you want, its so easy once you do it one time.

 

[Red Fox]

Very nicely done, thanks!

 

[Brutal67]

Used this method to buy a lifetime licence for AnyDVD. Works perfectly, so not just in the US, in Europe too!!

 

[PapaDeltaMike]

There's an extra 20% discount for purchased paid by BTC, to cover the network fee. Feel free to compare BTC price vs Visa price ;-)

Sent from my Nexus 7 with Tapatalk

Thanks for the reply.

BTC discount is 10%

BTC is $93 plus purchase fee plus miner fee equals about $108
Visa is $102

Minor difference, but this point is not mentioned anywhere in this thread or referenced articles

 

[Ch3vr0n]

Well it does depend what fee amount you selected speed wise. The quicker you want the network to confirm the transaction, the higher the fee required. But perhaps @Ivan can increase the BTC discount amount.

That said, you going to skip the purchase for $6 and risk a failed transaction with Visa? Personally I'd just be happy to have AnyDVD back up and running

Sent from my Nexus 7 with Tapatalk

 

[RedFox 1]

Current network fee is 11.66 USD
That's a show stopper for me.

I'm not missing something am I?

Like was already said, AnyDVDHD is the best program of it kind on the internet, if 11.66 is going to stop you from buying it, you don't really want it that bad. Too Bad because you are missing out on a very good deal. After the 10% Bitcoin discount the price is the same.

 

[Ivan]

Current network fee is 11.66 USD
That's a show stopper for me.

I'm not missing something am I?

Indeed, Bitcoin fees are high these days. That's the main reason for all these forks, Segwits and coin confusion.

We could add Bitcoin Cash (BCH), Litecoin (LTC) or Monero (XMR) as additional payment option. Would this help?

 

[BRCS]

Personally I would add them all and probably update your bitcoin discount to maybe 15%

 

[Ivan]

we'll think about this...

 

[PapaDeltaMike]

Also, using Coinbase does not allow you to select a wait time or max fee.

 

[RedFox 1]

Also, using Coinbase does not allow you to select a wait time or max fee.

Thank you we are aware of Bitcoin fees, its the part of the blockchain that are under scrutiny now.

 

[RedFox 1]

Bitcoin's transaction fee nightmare is over (for now). Down from a high of $34 - to $0.78 cents today!
on February 20, 2018 in bitcoin, lightening network, Segwit2x.