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Then you might want to try XBMCtorrent [1]. (disclosure: I wrote it)

Select a torrent, watch it.

[1] http://forum.xbmc.org/showthread.php?tid=174736

[2] http://www.youtube.com/watch?v=NQiC62ig3N0

Edit: wrong url

Useless for US citizens who are not using private VPN, since it downloads torrents on your machine, which tells legal institutions that your IP address is downloading that movie using torrent.

So far guys I'm using StreamNation.com (http://www.streamnation.com), way better than put.io, their UI is amazing, they offer way more features and their iOS app is a killer with an offline mode. Last the pricing: they are 10 times less expensive. Plus they transcode all videos and stream them, and they support magnets! You should try my friends, no-brainer!

It's interesting that they don't talk about torrent anywhere on the pages, in order to verify that they support it I had to search on their blog for word like "magnet". I guess they probably prefer to have a low profile approach and use generic sentences like "your ripped DVDs, video files and web clips"

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