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its because of fraud. with crypto once you have the coin there is no equivalent of a chargeback. if you use a stolen credit card to buy something you have to ha
by solotronics 9y ago
its because of fraud. with crypto once you have the coin there is no equivalent of a chargeback. if you use a stolen credit card to buy something you have to have somewhere to ship it, therefore they can find the thief. with cryptocurrencies they just have to take a loss and open a new card. this is why credit/debit cards security model is absolute shit and should be illegal.
- TheSpiceIsLife 9y agoI don't understand how: > if you use a stolen credit card to buy something you have to have somewhere to ship it, therefore they can find the thief. with cryptocurrencies they just have to take a loss and open a new card. Necessarily results in: > credit/debit cards security model is absolute shit and should be illegal. Can you describe a comprehensive alternative that would, at least in theory, be better. As an analogy: if I come in to your house and steal your gold bullion while you're not looking, leaving little trace of my presence, does that mean the security model of houses is absolute shit and should be illegal?
- iaw 9y agoNope, but it does mean that your insurer will not be covering you for your lost gold bullion because there are limitations in place. The option for the credit card issuers is to: a) stop offering chargebacks for crypto purchases b) stop allowing crypto purchases They opted for 'b' because it's easier.
- pjc50 9y agoa) is illegal in most jurisdictions because of the way credit law works; the card companies can't collect on a debt to them for a product or service that wasn't delivered. (I suppose they could eat the cost themselves, but I can't see that happening)