Thousands of Paksitanis have joined Steemit. I know that for a fact because many joined when I shared a complete Steemit tutorial on my personal blog. That tutorial has since been shared on Facebook more than 350 times, bringing more and more people to Steemit.
However, liquidity still remains a problem for the Pakistani community on Steemit. I have been thinking about a solution for some time now and I finally have created one, a promising one which would solve withdrawal issues.
The Problem
Before explaining the solution, it is appropriate to define the problem facing the community. Consider the following points.
Coinbase does not allow buying and selling of Bitcoin or any of its listed cryptocurrencies in Pakistan.
There's only one local exchange available in Pakistan to buy or sell Bitcoin (only). It's called UrduBit. It has a fixed charges of PKR 500/- (~$5) on withdrawal. Transaction fees are separately charged.
Universally available LocalBitcoins is also available in Pakistan and the process is smooth. However, rates are never favorable as the exchangers charge their commission as well as the exchange fees. You have to buy higher and sell lower than the market price.
Local exchangers (people buying and selling Bitcoin directly for PKR) are available but they quote ridiculous PKR/USD rates. When 1 USD = 105 PKR, they charge 115-120 PKR per USD value of Bitcoin. If you send money actually worth $100, you get Bitcoins worth $85-$90 at max. When you sell, they pay you 95-99 per USD. Again, expensive deal.
I have experienced all of this first hand. All the three withdrawal methods have been tried and tested by me personally. Even though I have created one of the most comprehensive Steemit withdrawal guides, I know that all these methods are expensive. They don't pay you what you deserve to get.
The Solution - Steemit & Discord Powered STEEM/PKR Exchange
We simply remove the exchanges and deal with Steemians. Our own people. Decentralized. It will be as simple as sending Steem or SBD to a Steemian's Steemit or Bittrex account and get paid in PKR via the most feasible PKR transfer options.
Note:- STEEM/PKR also means SBD/PKR. The name I have chosen for the exchange, Steem/Pkr Exchange, is due to Steem's inherent recognition as Steemit's primary currency.
Here is how it will be done.
Discord server named Steem/Pkr Exhange will be created. (Already done)
Pakistani people will be invited to join the server. (Through this post, posts by other Pakistanis and future posts on subject).
Initially, only one trusted exchanger will handle buying and selling demands. He will buy Steem or SBD and send PKR amount via local transfers. (@rizcryptotrader is the trustworthy exchanger who will handle Steem/Pkr exchanges)
Anyone who wishes to buy Steem or SBD can send PKR to our exchanger(s) and get Steem/SBD in his Steemit wallet.
To ensure the integrity of our exchange and fraud prevention, the identity information of every exchanger and member will be available to at least 5 different people, one of them myself. This is called KYC (Know Your Customer) policy in international financial standards.
All transfers will, of course, have Steem blockchain transaction ID and can be verified. Each such transaction should have an equivalent PKR transaction confirmed by the receiver.
Steem/Pkr Exchange discord server will has three channels. 1) General:- for general chat, discussions, brainstorming and guidance. 2) Deals:- here, deals will be finalized, denominating the amounts of Steem currencies and Pkr involved in one deal and confirmation of receipt from boths sides. 3) Disputes:- we will make sure to have trustworthy exchangers and customers but financial dealings may be prone to delay and disputes can arise. Such disputes wil be addressed in this channel.
Coin Market Cap rates are authentic but exchanges have their own rates according to specific demand and supply dynamics. Trading volumes, as well as exchange rates, vary exchange to exchange. Bittrex is the most reliable Steem/SBD hosting exchange till now. It has most volume. Poloniex is not reliable at all. Other exchanges (Livecoin, HitBTC) do not have enough volume.
With above in mind, the Steem/Pkr Exchange rates will take rates of Steem or SBD will most probably referenced from Bittrex. Best case scenario is Coin Market Cap and Bittrex having same rates though.
[IMPORTANT] Rates and fees in Steem/Pkr trades will be determined from three primary factors. One is highlighted above; the exchange rate in crypto markets. The second is the fees involved when the exchanger himself has to convert that Steem/SBD to Botcoin and then tranfer fee when he sends that BTC to an exchange(r) for cashing out. Third is the USD/PKR forex rates. As already mentioned while defining the problem, local exchangers charge way too much in USD/PKR conversions.
Based upon the above three factors, our exchange rates will not only be better than all other withdrawal methods, but also fairly just and transparent. The end result will Pakistani Steemians getting more money and faster.
Benefits of Steem/Pkr Exchange
There are many benefits of Steem/Pkr Exchange due to its problem solving, and not unfair profit making, design. Here are some benefits that are guaranteed.
Steemians will be able to sell/buy Steem/SBD from another Steemian on the Steem blockchain.
Cashing out will become ridiculously easy and super fast.
The customers will avoid sending Steem currencies to exchanges.
And then selling them for Bitcoin and paying a fee for that trade.
Then sending that BTC to an exchange(r) address where they can sell it.
Getting ridiculous USD/Pkr rates from exchnagers or high withdrawal fees from exchanges.
Saving time by send Steem and getting Pkr via bank transfer, easypaisa, jazzpaisa, UBL omni or any other preferred method. All credible and cheap methods of transfer will be made available to ensure maximum inclusion.
These are some of the benefits. Their are so many more and you people are requested to share your experiences.
Conclusion
I know people who complained of scamming as well as extortion in the name of withdrawal. I referred one such person to @rizcryptotrader and he sold his SBD at PKR 1225 per SBD. Happier than ever before and thanked me. He will narrate his story in the comments perhaps.
Steem/Pkr Exchange is an idea by me and will be implemented by me. However, this post, and further posts on the topic, are available for suggestions and improvements. Idea needs to evolve to a point where everyone feels satisfied. If you agree with my idea completely, please mention it in comments.
Join Steem/Pkr Exchange
Click the link below to join the Steem/Pkr Echange. We will soon start our operations. Also, resteem and let your Steemians friend know by giving them link to this post.