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Anti fraud detection. It's an issue when you reach scale, hard to detect, and if you end up being ultra sensitive you end up behaving like jerks freezing accou
by dotBen 16y ago
Anti fraud detection.
It's an issue when you reach scale, hard to detect, and if you end up being ultra sensitive you end up behaving like jerks freezing accounts for no reason (ie what PayPal does today).
- skbohra123 16y agoso, what's the solution? That's the question.
- dotBen 16y agoI don't think there is one, the only solution to fraud detection issue is to build something that will ultimately just become like PayPal is with all it's frustrations and shortfalls. You are also up against regulatory issues (you skirt around becoming a bank = highly regulated) and the massive network effects PayPal/eBay have. I heard that Square had to pause growth to deal with fraud, and they have the benefit of having Visa/MasterCard/Amex as intermediaries.