Please contact us IMMEDIATELY with your order information via contact[at]coinabul.com! The oldest orders on our books(due to PO boxes, invalid addresses, etc) are many months newer than that so your order has definitely been shipped. We need to complete an insurance claim immediately for your order, as it should have arrived long ago.

You mentioned that you've tried to reach us before about this package, if you can include any previous email correspondence so we can further trace where the communication breakdown happened internally within our customer support team that would be highly appreciated. Please also make sure you include your order number, and any tracking information you have received in your email.

Thank you, and please don't hesitate to email us with further questions about the process of filing an insurance claim for your lost shipment. My sincerest apologies, but unfortunately parcels do become lost in transit occasionally despite close integration with customs structures around the world.

Hi everyone,

First off, I wanted to thank all of you for your patience in the last couple months with all of the issues that the metals market as a whole are experiencing. After the recent massive drop in spot prices, everyone has been struggling to keep up with the increased demand whether it be miners, government manufacturers, or retailers like us. I know the longer-than-usual delays are exasperating at best, infuriating at worst. There's a ton of work that goes into managing inventory levels on our side of the equation, and when governments fail to produce goods in any kind of timely manner despite us sitting in the order queue for months after prepayment, it makes everyone's job a lot harder here. You all have been quite understanding and patient with the issues at hand, and I really appreciate it since as the saying goes, "poop rolls uphill".

To that end, you'll likely notice that a number of silver items have now been disabled. Liberty Eagles, most of the Sunshine products, and a few other products are now unavailable for purchase due to major issues in the supply chain. We've been working off of our own internal inventory without having the ability to restock a few months now, with thousands of ounces of silver sent out while continually harassing the manufacturers we deal with to try and replenish our reserves. Now that we're running so low on those particular items, with no ability to restock, I've had no choice but to disable them for now.

In terms of our other inventory, we've been pouring every penny into reserves in an effort to keep up mitigate the issues market-wide. For a lot of items where other retailers in the USD market or otherwise are struggling to get any stock at all, we're pretty well set. Products like Silver Eagles and Silver Maples are in very short supply for most folks, but we've been maintaining enough float that there's much less issue for our clients than from other retailers in the precious metals market. One thing to note is the greatly increased premiums on those types of items seen industry-wide, and we haven't followed suit - we're taking the hit and subsidizing the extra cost out of pocket to make sure that your experience is not only smooth, but the best possible investment of your hard-earned Bitcoins.

In the mean time, I've been restructuring things as far as the off-brand and large-bar inventory we keep in stock. You'll start seeing new silver items showing up on the site in the next few weeks, along with some new gold items. The first item I'm happy to announce is the Valcambi CombiBar( http://coinabul.com/index.php/valcambi-combibar-50gram-gold-bullion.html ) - this unique 50 gram gold bar is divisible into single-gram increments simply by snapping the perforations formed on the bar during the manufacturing process. It's one of the more unique items to hit the gold markets in recent years, and luckily we have access to a direct supply. Since it's a new item with fairly high manufacturer's premiums attached, and a larger-than-usual denomination we'll not be keeping a ton in stock initially but if they prove popular they'll be available, as with the rest of our inventory, in bulk.

I'll keep everyone appraised as new inventory starts to hit the site, but for now things should be moving more quickly in general as a result of some of the reshuffling we've done in the last month. On top of the changes we've been making to the inventory, I've also hired some new shipping staff members, expanded our offices, upgraded our fiber link, and added new servers to our cluster. With all the tweaks, both the site and order processing should be able to keep up with our continual growth. Provided that the Bitcoin market continues to remain stable in terms of exchanges, regulations, banks, etc everything should continue to run smoothly.

Thanks again for your patience in these chaotic markets,
Jay

Hi All,

We've been emailing back and forth with Kris for a bit, his stuff has been slated to go out for a while but due to the mayhem in the precious metals markets combined with all the issues Bitcoin is experiencing as a whole, it's been a little more delayed than we'd like. Regardless, his stuff is all packaged up and will go out with the next shipping batch.


In the mean time, we're still working hard to keep products flowing quickly. Gold and silver both continue to push downwards, with record lows being set continually. As prices drop, demand starts to increase, and at this point the entire PM market is struggling to keep up. We've been taking preventative steps to keep ourselves from being impacted too heavily over the last few months, sinking huge amounts of money into inventory to ensure that orders will flow quickly. Some manufacturers and governments are still having major issues, but as a whole things should run more smoothly in the coming months.

Once again I do need to reiterate that the best way to get in touch if you're having issues is not through here/reddit/etc, but via official channels like email, contact form, or telephone. We have a dedicated support team with efficient channels for resolving any issues that come up, but they do need to be contacted via those mediums I mentioned before in order to help you efficiently.

Thanks,
Jay

Hi all,

You may have noticed our systems kicking into high safety mode over the last 48 hours as market price, exchange, and Bitcoin network instability steadily increased and started to disrupt our ability to process transactions. All systems are now operating normally, with some significant changes made on our backend.

We've adjusted the internal pricing algorithms we use to account for multiple exchanges failing and/or having extreme discrepencies, and market prices completely failing. I myself started to make some updates to our Bitcoin network backbone for processing transactions in order to have a higher degree of availability in circumstances like the recent forking event.

We've also got a heck of a lot of server horsepower inbound which should be going online this coming week, in order to handle the increased load that we've been under during the last couple of months. I've also been hiring and training more staff, so everyone will be able to achieve a much greater level of customer support interaction soon as well as faster shipping times.

Thanks very much to all of you for your continued patience and support over the past few weeks as both Coinabul and Bitcoin continue to grow to new heights.

-Jay

Hi all,

I've re-enabled transaction processing and you will likely notice a marked decrease in page load times.

Thanks again for your patience,
Jay

Hi all,

I've been noticing some slowness in our systems and an occasional error in my logs, so I've disabled purchases for the evening while I do some spring cleaning. We've been under a huge amount of load recently and our servers have been feeling it, but luckily the new additions to our cluster should be arriving before the end of this week.

In the mean time, you should see a substantial improvement in performance once I've finished the various optimizations I'm working on tonight. I'll post again here once I've completed the updates and re-enabled transactions.

Thanks for your patience as we grow,
Jay

Hello,

I've officially resigned from my position at Coinabul.

I put in my two weeks notice about two weeks ago on Wednesday March 6th.

I've thought long and hard about my decision and I decided that my time was better served helping other Bitcoin companies. I was recently brought onto the team for BitcoinStore and will continue spending more of my time working on that project.

I'd like to thank all the customers I had the pleasure of meeting and talking with! You guys rock, seriously. All the troubles and delays Coinabul went through and yet most of you were patient and kind.

As for the recent kerfuffle, I guess that is partly why I am leaving Coinabul. Jay has now resolved both issues that gained notoriety on the forums and this subreddit, but I felt pretty much helpless to solve the issues because "Jay's in charge".
We've recently been disagreeing on which directions to head and well, I now know which way I'm heading. This does not imply that the direction he wants to take Coinabul is not a valid one. This is not me saying that the company is bad, it isn't. I'm still amazed at how quickly we amassed orders and how much we've grown in less than two years.

It was great working with you guys to build a new site and company and hopefully you'll continue to support me on my new venture with Roger Ver at BitcoinStore!

Thank you,

Jon Holmquist

Your order shipped in 16 business days- slightly towards the slower end of the spectrum, but in line with our page here describing typical order timelines: http://coinabul.com/index.php/coinabul-secure-bullion-shipping-and-ordering-process-how-to

Sometimes the bullion market experiences shortages on certain items, or banks and manufacturers have various delays. These are things we work hard to mitigate, but sometimes we are encumbered by external factors over which we have no control. Practically speaking, 4 business days is about on-par with most USD based major retailers.

-Jay

Hi all,

I've been emailing Petr on an almost daily for nearly 3 weeks now trying to work with him to find the best way to refund his purchase and shipping(USD or BTC) that would be most ideal. Unfortunately, this line of communication was sidelined; he has thusly missed a few opportunities to get BTC cheaply so I've generated a MTGOX-USD coupon which has been sent to him. This includes $1603 for the coin itself, $105 for the shipping which was never used, and $50 as a gift to help him get an ounce of gold in a way which will be viable given the import restrictions he's forced to deal with.

As far as the local laws for the Czech Republic:
"gold, silver, and platinum may be imported only by authorization of the State Bank."
"Import licenses and quantity restrictions are applicable for many articles sent to the Czech Republic. Therefore, senders should ascertain from the addressee before mailing whether the contents are permitted and whether the necessary documents are held."

That said, we could possibly have attempted to send his coin(depending on our legal team's viewpoint) but it would have never made it to his hands and insurance companies of any type have coverage exceptions for government seizures so realistically this is not an option - as is the case with ANY bullion dealer not located in the Czech Republic and licensed by the State Bank.

The Czech Republic has been removed from our site some time ago to prevent this issue in the future. As always, we ask that if you are ordering from outside the USA you check your local import restrictions to ensure that we can get your desired products to you safely. While many countries have readily available import / export information, some nations are difficult for us as outsiders to investigate due to language barriers and continually changing laws. If you do have import restriction information for us as a resident of another nation which will help us make your Bitcoin to metal experience smoother, we welcome your emails via contact[-at-]coinabul.com

Thanks for helping us iron out the kinks in global Bitcoin trade,
Jay

I've been trying to refund his coin along with the shipping cost(of course) for nearly two weeks now - he continually refuses my attempts to do so, and requests that we break the laws of the country in which he resides instead which is obviously not a possibility.


Beyond that, our International Shipping page is quite clear:
"You are responsible for assuring that any product you order can be lawfully imported to your destination country. When ordering from Coinabul.com, the recipient(purchaser) is the legal importer of record and must comply with all laws and regulations of your destination country."

No matter what the origin country, precious metals are unable to be imported into his nation(see http://countries.bridgat.com/Czech_Republic_Import_Restrictions.html http://www.fedex.com/us/international/irc/profiles/irc_cz_profile.html http://pe.usps.com/text/imm/ce_019.htm). Since I saw this issue pop up after having no order volume to the Czech Republic until a couple of weeks ago, the Czech Republic has been disabled entirely in our system. We remove any countries that are glaringly obvious, but with 244 countries and countless territories in service, as well as language barriers for many of them which makes research very difficult, it's nearly impossible to verify on our end which countries across the globe have a specific ban on the import of precious metals, hence the special International Orders page linked to from the footer on every page within our site.


Bitcoin is heavily volatile- when a customer places an order, we replace his metal within our reserves, ship the order and convert the BTC to fiat as quickly as possible in order to preserve the spot indices as closely as we can between order placement and completion. Once an order comes in, the conversion process engages, and the customer owns their chosen metal from that point forward.

We deal with millions of dollars worth of bitcoins- sitting on that kind of risk profile is averse to the entire concept of the business via preserving wealth via stable precious metals. If someone bought $1,000 of gold when BTC is at $50, then it suddenly falls to $2/coin as it has in the past, and assuming that gold stays stable as it tends to they'd be getting a refund of $1000 in either straight fiat on MtGox(our prefered for the transitory capability) or coins at the updated rate- not $40 worth of BTC. The same goes inversely.

If in the prior scenario gold skyrockets to 10x the value, the customer would get $10,000 as the refund instead of $1,000. Once the transaction is engaged in by the customer, the turbines spin up on our side to fill it as humanly fast as possible, and the customer owns metal as opposed to Bitcoins, as do we since we've already started replacing the metal that we've allocated to fill the customer's order. If the customer needs a refund, we'll refund the equivalent value of their metal provided we're legally allowed to.

Our TOS states this quite succintly:
"If an order cannot be filled by Coinabul we will either: provide a substitute product of your choice of equivalent value, or provide a refund, minus any market loss incurred and at our discretion."

We'll happily refund the going market value of the customer's metal + shipping costs whenever we are not specifically legally banned from doing so, and that hasn't happened yet.

I've emailed Petr again just a few minutes ago as I have been for a couple weeks trying to send him a refund, ideally in USD so he can be poised to repurchase bitcoins when they're close to his original price point(as he could have over the last week had he accepted my continual attempts to refund him previously).

Our International Shipping page is quite clear:
"You are responsible for assuring that any product you order can be lawfully imported to your destination country. When ordering from Coinabul.com, the recipient(purchaser) is the legal importer of record and must comply with all laws and regulations of your destination country."

No matter what the origin country, precious metals are unable to be imported into his nation(see http://countries.bridgat.com/Czech_Republic_Import_Restrictions.html http://www.fedex.com/us/international/irc/profiles/irc_cz_profile.html http://pe.usps.com/text/imm/ce_019.htm). Since I saw this issue pop up after having no order volume to the Czech Republic until a couple of weeks ago, the Czech Republic has been disabled entirely in our system. We remove any countries that are glaringly obvious, but with 244 countries and countless territories in service, as well as language barriers for many of them which makes research very difficult, it's nearly impossible to verify on our end which countries across the globe have a specific ban on the import of precious metals, hence the special International Orders page linked to from the footer on every page within our site.


Bitcoin is heavily volatile- when a customer places an order, we replace his metal within our reserves, ship the order and convert the BTC to fiat as quickly as possible in order to preserve the spot indices as closely as we can between order placement and completion. Once an order comes in, the conversion process engages, and the customer owns their chosen metal from that point forward.

We deal with millions of dollars worth of bitcoins- sitting on that kind of risk profile is averse to the entire concept of the business via preserving wealth via stable precious metals. If someone bought $1,000 of gold when BTC is at $50, then it suddenly falls to $2/coin as it has in the past, and assume that gold stays stable as it tends to they'd be getting a refund of $1000 in either straight fiat on MtGox(our prefered for the transitory capability) or coins at the updated rate- not $40 worth of BTC. The same goes inversely.

If in the prior scenario gold skyrockets to 10x the value, the customer would get $10,000 as the refund instead of $1,000. Once the transaction is engaged in by the customer, the turbines spin up on our side to fill it as humanly fast as possible, and the customer owns metal as opposed to Bitcoins, as do we since we've already started replacing the metal that we've allocated to fill the customer's order. If the customer needs a refund, we'll refund the equivalent value of their metal provided we're legally allowed to.

Our TOS states this quite succintly:
"If an order cannot be filled by Coinabul we will either: provide a substitute product of your choice of equivalent value, or provide a refund, minus any market loss incurred and at our discretion."

We'll happily refund the going market value of the customer's metal + shipping costs whenever we are not specifically legally banned from doing so, and that hasn't happened yet.

This is exactly what we did here: he bought 10 ounces of silver which were valued at $28.3 at the time of his order, and spent around $20 for shipping. We refunded him $303 replacing the entirety of his silver's value as well as shipping.

[Monday, November 05, 2012] [05:56:27 PM] absolutely, and if I can't get them to properly cover the parcel I'll quite possibly end up covering a portion of the loss out of pocket in replacements

This is the standing offer I made to Kris on the same day I was told by our insurance company that they'd likely be unable to cover the cost of replacement. This offer was in place up until give or take the point that I saw him create a similar thread on the 17th of Feb at which point I lost patience with trying to help him. I always do my best to make sure each customer is satisfied, and that I've done everything I can to that end. Heck, as I type this, there are customers with insurance claims in various stages of processing that have already had a replacement shipped to them. That's exactly why I offered to cover at least a portion of the parcel's silver, and would have been very amenable to covering 100% of the replacement, but Kris never followed up with me about my offer even at the time that I made it. He'd just send "ping" and nothing else, and go offline before I could respond. He's had my email address since before he even placed an order, but aside from "ping" on IRC periodically he hasn't really been in contact with me regarding my offer. I got an email from him on 9/13 which I replied to, and then got nothing in my inbox until January 4th.


Yes, I flew off the handle a bit when I saw this thread: I worked Christmas Eve, Christmas Day, Thanksgiving, my birthday, and New Years' Eve, New Years Day, et cetera, both this year and last. I generally work 6 or 7 days per week, and get 8 hours of sleep perhaps two nights out of the month. Instead of taking care of my financial needs, I invest every spare cent back into the company and staff, and vicariously my customers. Just one example of that is me to this day driving a car that is past the age of majority for voting, having children, drinking etc in many countries. In any possible way I help the company's growth via minimizing my own expenditures, and increase customer satisfaction by having a larger amount and variety of inventory in our vaults. So between Kris not even emailing me about the offer I made him before posting here, combined with the countless sacrifices I make as a general rule to help my customers, I of course took his accusation and the inaccuracies of his account very personally.

My apologies for losing my cool: I'm normally pretty even keeled, but this really rubbed me the wrong way in concert with some major personal stress over the last few weeks(very ill relative). Combined with the fact that I've had a standing offer to him for ages as far as taking care of him in metal or fiat, but instead of even asking me about it he just complains on here on the forums about 80btc, I really took it too personally and lost my temper. I didn't even mind the continual messages on IRC. What got to me was the lack of communication with us substantively via email or other mediums, but the effort put into fairly constant posting here of half-truths and fabrications instead. Look at the content and title of this thread, as well as his last thread: both inflationary and confrontational, demanding 80btc instead of replacement products as I offered him all the way back in November.


I'll put my offer back in place for Kris, since he IS our only failed insurance claim to date, throughout our entire history of thousands of parcels to countless countries. I always want every customer to have the best possible experience no matter what kind of exigent circumstances come into play. However, for the sake of posterity, I should make a few things clear:

-We don't self-insure parcels, for a variety of reasons. Insurance requires a high level of specialized interfacing to carriers, many hours of phone calls, and extensive fraud investigations. Not only would our ability to self-insure be subpar compared to the professional commercial offerings we utilize, but it would open us up to a huge potential for fraud and cause much higher shipping rates for our customers and decrease efficiency dealing with carriers/governments.

-We never use carrier insurance coverage- they specifically exclude precious metals via fuzzy language buried deep in the insurance disclaimers and policies.

-We always use private insurance that is specifically vetted for precious metals coverage and designed for higher than average value coverage.

-We ALWAYS use tracking numbers, no matter what, even on uninsured shipments. There would be no way to correlate orders to shipments if we did not, and I'm not even sure there's a low-grade enough USPS service that even comes sans tracking number.

-USPS insurance itself is off the table for our shipments: if you read the insurance documentation provided by USPS in-depth you can see that the maximum coverage they'll provide for bullion on non-registered-mail shipments is $15.

-Registered Mail is off the table for high-volume shipments: it's a service rarely utilised by average consumers, and when it comes down to how we are able to integrate with carriers to produce prepaid shipments Registered Mail is for all intensive purposes unavailable. In terms of value, once a shipment reaches the point where Registered Mail would be engaged(more than $500 for an international shipment), security protocols and insurance companies get upgraded quite heavily as does the carrier. USPS, even with registered mail, is only suitable for low-weight low-value shipments.

-We always buffer the value of a shipment's insurance by a wide margin, at great cost to us, to ensure that even during heavy market volatility the insured value can remain valid.

-We cover random expenses that come up for orders on a regular basis, whether it's upgrading the security protocols / insurance for $100 out-of-pocket to ensure a volatility buffer+coverage, paying insane government fees for bizarre demands($400 to Thailand recently, for example), sending PCGS instead of standard uncirculated coins when the market dries up, eating the cost of insuring large orders beyond what we actually charged($1100 for one single order recently), et cetera. We spend a TON of money making sure customers are well taken care of, and would have done so for Kris had he actually communicated with us and taken me up on my offer to replace.

-Unfortunately, as a rule we encounter a LOT of fraud. I'm not quite sure how we compare to more traditional fiat-based dealers, but without writing an instruction manual for potential scammers I can tell you that there are a variety of ways that people routinely attempt to defraud us for quite large sums of money.

-We don't hoard your coins for weeks or months at a time. This would in essence equate to gambling with customers' funds instead of engaging in our conversion process. We maintain metal reserves, and continually replace our reserves to account for products ordered.

-As I said before, out of thousands of shipments this has been our only failed claim to date. Our loss rates, claim-success-rates aside, are around 0.25%, which is exceedingly low. That's why I offered Kris some replacement metal happily in November.



I'm not quite sure what the uproar is about: Nearly 5 months ago I tried to open the door with him as far as my willingness to cover some, if not all, of the cost of his failed insurance claim. Instead of taking me up on it, he just sent non-substantive IRC messages continually and posted on the forums complaining about 80btc. I'm re-extending that offer to him again, despite his less-than-truthful portrayal of events. As my long-term customers and peers will tell you, I tend to be a very reasonable person if you take the time to talk to me and will always bend over backwards to enrich Bitcoin in any way possible.

-Jay

I work with BitcoinStore and Coinabul.

No other link than that.

-Jon

Shoot me an email: Jon [at] Coinabul.com ASAP. Put CUSTOMS ASAP in the title, I'll handle it as soon as it comes in.

Jon [at] coinabul? Did I not respond?

My issue here is that I don't know who you are in relation to our order system. If you send me a PM with your order number I can figure out what's up.

Cheers,
-Jon

Kris,

   
"I have been given no proof that anything was sent."

We gave you your tracking number countless times: here it is again at LJ664423272US. You've stated on multiple occasions that we provided no tracking information to you, and this is quite simply an outright lie. Every order, even uninsured parcels, carry tracking information which is always entered into our systems and transmitted to each customer instantly as your order is shipped.

"They strung me along for seven months, with half promises of paying out of their own pockets to cover it but never committing to anything."

We were very communicative with you on a non-stop basis, but despite this you proceeded to send me far too many messages which were all responded to graciously, and at horrendous times of day for us(such as 4:30AM Sunday) in the USA, in an effort to provide you the best customer service we could:
[Sunday, October 28, 2012] [04:22:40 AM]    anyway, i'm still wrangling with my insurance company, they're giving me a hassle about covering your parcel because the value changed over their arbitrary limit between when it was sent and when it didn't show up
[Sunday, October 28, 2012] [04:23:22 AM]    in essence, they're saying that because it changed in value by X% they won't cover it, even for the original value... so i'm harassing them on the phone to see if i can do anything about it

An excerpt from the insurance company in question:
"In looking at my notes, we spoke over the phone about this on 10/25/2012. At that time, I explained that the shipment exceeded your per parcel limit for USPS First Class International packages."


The date correlations between this excerpt and the next should be noted. I was still willing to cover a good portion portion out of pocket at that point, despite nonstop messages on IRC:
[Thursday, November 01, 2012] [10:51:26 PM]    hey, any updates?
[Saturday, November 03, 2012] [07:02:50 PM]    ping
[Sunday, November 04, 2012] [09:15:15 PM]    ping
[Monday, November 05, 2012] [02:49:34 AM]    ping
[Monday, November 05, 2012] [05:38:57 PM]    ping



Excerpt:
[Monday, November 05, 2012] [05:41:26 PM]    but in the mean time I'm still hassling with the insurance company, who's adamant about not covering this parcel
[Monday, November 05, 2012] [05:46:50 PM]    are they final on that or is it still ongoing?
[Monday, November 05, 2012] [05:49:35 PM]    they seem pretty final, but I'm still hassling them to see what can be done
[Monday, November 05, 2012] [05:55:08 PM]    Ok. I'd appreciate if you could let me know how this looks like ending as soon as you know. I'm getting out of mining once block reward halves and was going to go with bullion to cash out as it's less hassle than Mt Gox. Need to decide if it's viable.
[Monday, November 05, 2012] [05:56:27 PM]    absolutely, and if I can't get them to properly cover the parcel I'll quite possibly end up covering a portion of the loss out of pocket in replacements


Through all of this, I was happy to communicate with you, but it quickly became obvious you were attempting to bully us into replacing the cost of your items out-of-pocket with the attitude that it was an obligation, as opposed to a kindness.

While I explained to you that I'd likely do so, you send me continual messages on IRC to the point that it appeared scripted. I'd sit down at my computer, move my mouse, and instantly see another message from you. This was generally multiple times per day, for months, in addition to phone calls and emails at a similar frequency.


A small excerpt from my log follows:
[Sunday, December 16, 2012] [12:36:02 AM]    ping
[Sunday, December 16, 2012] [02:02:10 PM]    ping
[Sunday, December 16, 2012] [10:19:15 PM]    ping
[Tuesday, December 18, 2012] [01:35:47 AM]    ping
[Tuesday, December 18, 2012] [06:43:16 PM]    ping
[Thursday, December 20, 2012] [03:24:48 AM]    ping
[Thursday, December 20, 2012] [07:15:32 PM]    ping




Eventually, you managed to use up all the patience I had with trying to provide you support, and through continual harassment managed to dissuade me from paying for your order out of my own pocket. When I started this battle with the insurance company in question over covering your parcel, I went into it with the intent of covering AT LEAST half of your order out of sheer kindness, and was considering whether I could afford to cover 100% of the cost when you started to continually harass me. When it didn't stop for weeks, and then months, I became very quickly opposed to covering your shipment from my own pocket.



- The insurance company obviously has something in their T&Cs which states that if the value of an item changes by a certain percent or value, then they won't cover it. Coinabul should reasonably have known about this.

Having insurance coverage on bullion shipments, let alone worldwide coverage, while being able to provide shipping service at a reasonable cost to customers is a nearly impossible challenge. Carrier level insurance doesn't even cover bullion, and if it appears to do so the likelihood of them making good on any submitted claim is slim to none. To this end, successfully structuring international insurance on bullion parcels is a difficult thing to achieve, and we take every possible step to remain in compliance with our insurers' terms such that each parcel is covered to the best of our ability, but ultimately the discretion of whether to pay an insurance claim lies with the underwriter. Considering that almost no insurance companies are willing to cover bullion transit, the very few who do are wary of fraudulent claims. The insurance industry is wrought with fraudulent insurance claims, and many millions if not billions of dollars per year are lost by underwriters to fraudulent claims. While we generally have great success with insuring our parcels(you are our only rejected claim, in fact, throughout the entire history of insuring thousands of individual parcels at Coinabul) the insurance company must make the final determination as to the validity of each customer's claim and appraise the legitimacy.

- Silver is a volatile market. Coinabul should have reasonably expected the price of silver to fluctuate between taking out the insurance and a possible claim.

In terms of actual value, I will give you a real-time example. On a shipment in our disbursement queue, there is an actual $143 silver cost, and we've insured for $228, for a massive 60% buffer zone above silver spot price in order to ensure that spot price fluctuations in transit do not prove to be an issue. This costs us substantially more per month in insurance fees than we would otherwise incurr simply to ensure that spot price volatility proves to be no issue.

- The insurance policy is between Coinabul and the insurer. It has nothing to do with me.

The insurance policy has everything to do with you: you are the one who stands to benefit from a fraudulent claim, nobody else. We did our part and sent your product to you, and insured it under our policy within the limits set forth by the insurance company. If the insurance company refuses to cover the parcel, there's nothing we can do about it except harass them, which we did.


It's quite clear how you yourself contributed to the lack of coverage in this situation. When the insurance company refused to cover your shipment, and I offered to do so, you didn't show so much as a grain of appreciation...instead, you wrote a script to harass me on IRC. After seeing you post about us being non-communicative with you on bitcointalk even after responding to your ostensibly scripted semi-communication, there was no way I was willing to cover your shipment out of my own pocket. We send out millions of dollars worth of products, and expecting us to be responsible for out-of-pocket coverage in the case of an insurance company's refusal to do so is simply unreasonable.

Let's do some math, shall we?
So, assume 17oz of silver costs you $500. You send us Bitcoins, and by the time we're finished processing your shipment we've made $0.50-$0.75/oz. So, sum total $8.50-$12.75 give or take. For us to earn the cost of covering your order out of pocket, we must process the same order 59 times on the high end, 40 times on the low end. You can see very quickly that this makes it impossible to simply absorb the cost of sending a replacement product, especially if you consider that the products we are sending are liquid. We aren't sending a DVD player that depreciates when you sell it to your friend after it's in your hands, we are sending a highly valuable commodity which makes it quite easy for people to defraud our insured shipping process. To call for a scammer tag as we continually deliver Ferrari's worth of bullion to customers each month is simply ludicrous.

Although I've been quite clear with you in the past and I'm not quite sure as to the goal of your continued fabrications excepting a desire to besmirch, hopefully this helps you understand the circumstances a little more clearly.

-Jay

Send me an email with order information.

Thanks,
-Jon

Scam means we mislead. Scam means a trick. We did neither of those things. There also must be a gain. We gain nothing from this scenario. It sucks, we've apologized for it, but there isn't much we can do.

I'm saying the industry is filled with it. Mostly on the consumer side. I didn't say anything about this specific case.

The gold industry is filled with fraud.

Not everyone who has health insurance has their claims filled. It's the same in this situation.