Sat. Apr 10th, 2021

For only ~7% all up in fees and spreads you can start enjoying an impractical new payment method. and Australia Post have announced a partnership that will let Australians pay for Bitcoin at more than 3,500 post offices around the country. It’s accomplished through Australia Post’s Post Billpay service, essentially letting you pay for Bitcoin like any other bill.

“Australia Post has for a long time played an important role in the community to make services accessible to all,” said Susan Nicholson, Australia Post’s Head of Business & Government Financial Services. “Post Billpay has been one of Australia’s most trusted bill payment methods for over 20 years, and we’re pleased to now provide the ability for Bitcoin bills to be paid at a post office, which will come with a product enhancement that offers ID verification and real-time bill payment confirmation back to the biller.”

To use this payment method:

  1. Make sure you have a cryptocurrency wallet ready to receive the funds.
  2. Go the website.
  3. Click “Buy Bitcoin”.
  4. Enter the amount you want to buy and your Bitcoin wallet address.
  5. Verify your identity by providing some personal information (only if it’s your first purchase).
  6. Double check the details and lock in your transaction.
  7. Complete your transaction by going into an Australia Post branch, showing them the locked-in transaction on your phone and making payment.
  8. Experience a sinking feeling in the pit of your stomach as you realise you just paid a total of 5.9% in fees plus about 1.2% on the spread.

Great value, just not for the customer

The total cost of about 7% here consists of:

  •’s standard commission fee of 3.9% + GST
  • A 2% surcharge for this particular payment method
  • Roughly 1.2% on the spread

“The spread” refers to the difference between Bitcoin market prices and the price is selling it for. You can check it by simply looking at the current prices on, doing a Google search for “BTC AUD” to find the actual current exchange rates and then comparing the two.

To see how much difference this is as a percentage, we can can just plug those numbers into a percentage calculator.

Spreads naturally aren’t exclusive to cryptocurrency. It’s a good idea to do this kind of check whenever you’re exchanging currencies or buying anything else with a market price to see how much you’re actually paying.

If only there was a better way

Some parts of this cost are excessive, others are more par for course.

The 2% surcharge is perfectly normal. It’s typical to find a surcharge whenever you buy Bitcoin with cash, which is the only practical reason someone would want to pay at an Australia Post branch. You have to visit the website to make the purchase anyway, if you use any payment method other than cash you can just go right ahead and do the whole thing online. For perspective, Australian exchange Coinjar charges a 1.5% surcharge for Blueshyft payments, while other Australian exchange CoinSpot charges 2.5%.

The 1.2% spread is alright. CoinSpot is showing a spread of about 1.5% at the time of writing, while other Australian exchange Swyftx is showing about 0.8%.’s current spreads seem to be about par for course.

The 3.9% commission fee is bananas. CoinSpot offsets its slightly-higher spreads with fees from 0.1% to 1%. Swyftx does it the other way around, and offsets its slightly higher commission fees of 0.6% with some of the tightest spreads of any cryptocurrency broker in Australia. Both also provide a nice, easy cryptocurrency brokerage service and have a much wider selection than

It gets even cheaper if you’re happy to dispense with the brokerage service and just directly buy on the open market on exchanges like BTC Markets which get you within a hair’s breadth of mid-market rates with typical trading fees of 0.2% or less on AUD/BTC pairs.

These numbers are actually insane. To put this in perspective, if you use this Australia Post payment method it could be:

  • Easily more than twice as expensive as other cash payment methods at cryptocurrency brokers
  • Well over five times as expensive as non-cash payment methods at cryptocurrency brokers
  • More than ten times as expensive as some of the most cost-effective ways of buying Bitcoin

Opinion: With and without rose-tinted glasses

For practical purposes, such as actually purchasing Bitcoin, this new payment method is underwhelming, to say the least. It only seems to be practical for people who want to pay with cash (but don’t mind providing identification), who don’t mind paying truly majestic fees on their purchases and who can more conveniently get to a post office than a Blueshyft-supporting convenience store.

But that’s probably too narrow a view.

Firstly, despite all the reports on the demise of cash, the cold hard currency is still plenty popular. Admittedly, most of the cash in circulation is being lost, hoarded or used for illicit purposes, but it still has a robust fan base. Plus, there’s likely some overlap on the Venn diagram of cash hoarders and Bitcoin buyers, so there might be more demand than one would expect.

There’s also still an understandable preference for cash as a trusted, tangible payment method and it’s the perfect match for an entity like Australia Post, which is often ranked as one of Australia’s most trusted institutions, especially in regional areas.

There’s an argument to be made that when you buy Bitcoin with cash at Australia Post, the digital currency is infinitely more tangible than it would be any other way. Plus it’s worth drawing attention to the partnership itself as an achievement, and as the joining of one of Australia’s most venerable institutions with the idea of cryptocurrency.

“Our mission is to make Bitcoin safe and easy for every Australian”, said Holger Arians. “For many people, paying for Bitcoin at an Australia Post office feels safer than transferring funds online—particularly for first-time buyers. We’re proud of this partnership and would like to thank Australia Post for their continued openness to new technologies.”

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