I think that's a problem for the cardholder, the card company, and most of all for the merchant who later takes a payment using the stolen card (and usually get

I think that's a problem for the cardholder, the card company, and most of all for the merchant who later takes a payment using the stolen card (and usually gets stuck with bill). Square doesn't bear the cost, and after all, what can any payment processor do to prevent scammers from mimicking their hardware and software?