E bullion alarm
May 6, 2008 by moneypenny
Filed under Personal Finance
If you have money tied up in e-bullion you could be in for a rough ride in getting your funds back when cashing in. All these gold-scams like DXinone and the like eventually close their site, rename themselves, and set up shop again under a new name after a few months, gaining a whole new customer base.
Mark wrote many posts on this, that can be referred to here. A recent warning in 2007 was posted on a forum. It seems this was justified.
E-BULLION WARNING (JULY 2007)
Due to numerous unanswered complaints, the Global Digital Currencies Association would like consumers and merchants to be aware that E-bullion.com closes and/or freezes accounts without any court order or reasonable justification, sometimes freezing customer funds forever.
This unscrupulous policy makes E-bullion an unfavorable system for online commerce and for the safe and secure storage and transfer of funds.
We recommend that E-bullion account holders switch to a different digital currency immediately in order to avoid frozen accounts and loss of funds, such as:
GoldMoney - www.goldmoney.com
Pecunix - www.pecunix.com
Liberty Reserve - www.libertyreserve.com
c-gold - www.c-gold.com
PhoenixDollar - www.phoenixdollar.com
E-bullion.com is also listed with an F rating by the Council of Better Business Bureau, Inc., and have unanswered complaints going back as far as 2005.
http://www.gdcaonline.org/content/news.html
moneypenny
Yea, this is an old warning from GDCA and the credibility of them is pretty doubtful as we know who’s in charge of GDCA.
We’ve blogged about this matter before.
I have some problems to understand this article.
1. “Alarm” is a strange headline when refering to an almost one year old “warning”.
2. That GDCA “warning” was questioned as it appeared as one complaint was the reason for the warning.
3. I really don’t see your point when mixing up with past digital scams that comes back with new names. How are this related to E-bullion and the one year old “warning”?
I can only talk for our own business and a few thousands of clients, but our transactions with e-bullion are working smoothly every day. And no, I am no biassed, as I also do EG and LR everyday.
Hmm…To be honest I don’t see the point of this alarmist blog posting. First off as others have pointed out this is old news. Second the GDCA’s authority and credibility has been put to question by numerous people. There are serious questions of conflict of interest within the GDCA leadership - like key persons running rival e-currency companies.
Until we hear of e-bullion being shut down by the US government or some other catastrophe I such alarmist and unwarranted posts should be ignored - no offence to you moneypenny.
Keep on bloggin’ !
Alan
heres my response mail to your comment. Thomas. I have not said that they are fraudulent,, merely that some people have had problems withdrawing money, this continues to be discussed.As have other companies that I mentioned the similarity lies in the withdrawing money and the lack of regulation that causes this nervousness and rumour in the first place. I have also discussed similar problems in withdrawing from paypal although I myself have had no problems with paypal.In my post I referred to Mark’s many posts and comments on the matter. If the body that claims to regulate these systems has conflicting interests that does not mean I cannot express an opinion on e bullion. There is a lot of emotion spining around. Its just an opinion.
Thanks for your comment Alan. but it may be way to late for users to do anything, if indeed they ever can, once the US govt has” shut them down” to use your own terminology.
Even with completing ignoring the GDCA leadership, there are those who cant get their but money, those who you advise to ignore the post.
Alarm and warning are one and the same word, jumpiness can illicit stange responses. Well, if you rely on the unregulated e currency companies to tell you the truth, you have my pity, and thanks, I will blog on. Moneypenny
As a “verified” member using e-bullion nearly since they opened I have never had any problem with e-bullion’s liquidity. I cannot say that about 9 of the other 10 payment processors online.
E-bullion is very specific in their “TOS” terms of service agreement when you sign up they will “ID” you. Unlike other payment processor’s who cater to criminal activity e-bullion has a “know your customer” policy.
The problem you refer to with “alarm” is the customers who do not read the terms of service when they signup.
These are the same people who use “john doe” in their user profile and claim they were “scammed” somehow when they cannot verify their account and withdraw the funds.
E-bullion does not tolerate anonymous or criminal activity in their system. I would expect the same from any payment system I use.
Dear Withheld,
Thankyou for giving some information on the m.o of E bullion.
I agree that many customers don’t read, or can’t understand the fine print, and that’s why we at moneyworld constantly warn people not to invest in something with a high risk profile, using money they can not afford to loose.
Risk is a gamble, that makes it attractive to many. Many who should never gamble, either because they can’t control their impulse to take a large risk, or because they really don’t understand the rules, and shouldn’t be playing in that playground.
As to the online payment part refered to, companies need to guard against money laundering, and hopefully this is what they are attempting to do with their rules. Anonymous users on the net cause exactly this alarm, as they can pose as who they want: to sabotage a rival payment company, by posting positive things about their own interests while bad-mouthing other companies. This is the arena of the web, and it is used by criminals and honest investors alike.
Thanks for your comment.
Your perspective on e bullion, will be of interest to interested investors and those already invested.
Moneypenny
For god’s sake! I, ve been robbed by e-bullion. I was about to deposite £4000.00 ($8000.00) by the time £1 = $2.02 I finally deposite $2000.00 into my e-bullion account. When gold reached its highest point of $970/ oz I tried to withdraw my money three times but was imposible. they argued I had made the transaction proceedures wrongly just in order to keep the money in the account. I went mad because I needed the cash for other transaction and I began to think of this company to be untrusted but there I am, caught up in their scam. I expect we get our fund plus interests. Question: Can anyone out there tell me if I can launch a sueing process? Thanks. Monn Nelson Email: monnray2000@yahoo.com