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paypal is a product built on top of existing currency. bitcoin is a currency on top of which you can build paypal-like product. there are many things trivially

paypal is a product built on top of existing currency. bitcoin is a currency on top of which you can build paypal-like product. there are many things trivially done in bitcoin that are absolutely impossible in bare usd. one can use multisig escrow accounts to implement paypal-like dispute resolution but also limiting the influence middleman (paypal) has - can't run away with your money, can't block the transaction against will of both participants, etc. this tech is a decade old but it's still in it's infancy especially regarding UX side.

smsm42 8y ago
> bitcoin is a currency on top of which you can build paypal-like product I can't, I don't have time. No, I understand you mean "somebody might build" - but so far, nobody did. When it changes, the evaluation changes too. So far, we aren't there by no means. > there are many things trivially done in bitcoin that are absolutely impossible in bare usd Sure. How many of them are necessary to a typical credit card/cash user? > one can use multisig escrow accounts to implement paypal-like dispute resolution You seem to be under impression dispute resolution is a technical problem in search of suitable algorithm. It's not - it is a social/service problem which needs careful balance between trust to various parties and careful calculation of how expensive each tweak to trust levels would be and how to keep fraud in check without pissing off too many people. It's not an algorithmic problem (at least not until we have strong AI). > can't run away with your money Which also means no possibility to curtail fraud - if the middle-man can't reverse transaction, what prevents me from selling you an iphone, sending a brick instead and leaving with the money? Or, alternatively, what prevents me from buying an iphone and claiming I got a brick instead, and getting my money back and a free iphone? > can't block the transaction against will of both participants Which also means feds close it after a month because it is being used to trade drugs. And seize all the funds there (if you're adventurous, you can sue the federal government for the return of the funds - maybe in 10 years you'll even succeed!)
- keymone 8y ago
  > No, I understand you mean "somebody might build" - but so far, nobody did. there are plenty of products on top of bitcoin. but i guess it's important for you to believe that there are none? > Sure. How many of them are necessary to a typical credit card/cash user? gee, i don't know, what do you think, does typical credit card/cash user do this thing called "transacting with other people"? sigh. > You seem to be under impression dispute resolution is a technical problem in search of suitable algorithm when you're not sure it's wise to ask rather than to make assumptions. > if the middle-man can't reverse transaction, what prevents me from selling you an iphone, sending a brick instead and leaving with the money what prevents you is smart application of cryptography. maybe you should inform yourself on the topic before arguing? https://en.bitcoin.it/wiki/Multisignature#Multisignature_Applications https://en.bitcoin.it/wiki/Multisignature#Multisignature_App... > feds close it after a month because it is being used to trade drugs quick, somebody tell feds most of drug deals are done in USD, make them close USD! this is depressing.

smsm42 8y ago

> bitcoin is a currency on top of which you can build paypal-like product I can't, I don't have time. No, I understand you mean "somebody might build" - but so far, nobody did. When it changes, the evaluation changes too. So far, we aren't there by no means. > there are many things trivially done in bitcoin that are absolutely impossible in bare usd Sure. How many of them are necessary to a typical credit card/cash user? > one can use multisig escrow accounts to implement paypal-like dispute resolution You seem to be under impression dispute resolution is a technical problem in search of suitable algorithm. It's not - it is a social/service problem which needs careful balance between trust to various parties and careful calculation of how expensive each tweak to trust levels would be and how to keep fraud in check without pissing off too many people. It's not an algorithmic problem (at least not until we have strong AI). > can't run away with your money Which also means no possibility to curtail fraud - if the middle-man can't reverse transaction, what prevents me from selling you an iphone, sending a brick instead and leaving with the money? Or, alternatively, what prevents me from buying an iphone and claiming I got a brick instead, and getting my money back and a free iphone? > can't block the transaction against will of both participants Which also means feds close it after a month because it is being used to trade drugs. And seize all the funds there (if you're adventurous, you can sue the federal government for the return of the funds - maybe in 10 years you'll even succeed!)

keymone 8y ago
> No, I understand you mean "somebody might build" - but so far, nobody did. there are plenty of products on top of bitcoin. but i guess it's important for you to believe that there are none? > Sure. How many of them are necessary to a typical credit card/cash user? gee, i don't know, what do you think, does typical credit card/cash user do this thing called "transacting with other people"? sigh. > You seem to be under impression dispute resolution is a technical problem in search of suitable algorithm when you're not sure it's wise to ask rather than to make assumptions. > if the middle-man can't reverse transaction, what prevents me from selling you an iphone, sending a brick instead and leaving with the money what prevents you is smart application of cryptography. maybe you should inform yourself on the topic before arguing? https://en.bitcoin.it/wiki/Multisignature#Multisignature_Applications https://en.bitcoin.it/wiki/Multisignature#Multisignature_App... > feds close it after a month because it is being used to trade drugs quick, somebody tell feds most of drug deals are done in USD, make them close USD! this is depressing.