>The good thing is that bitcoin doesn't have to compete directly with CC companies. Current CC companies are essentially two products. One is the transaction p

>The good thing is that bitcoin doesn't have to compete directly with CC companies. Current CC companies are essentially two products. One is the transaction processing side of things, and the other is the financial + insurance product which protects both parties from fraud, chargebacks etc. Crypto currencies should be able to make transaction processing effectively free. All you need is an insurance product that operates at margins lower than 2-3% (current credit cards).