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> In a "normal" system, you don't trust third parties to create transactions to begin with. Third parties use a centralized system to create the transactions an
by lawn 8y ago
> In a "normal" system, you don't trust third parties to create transactions to begin with. Third parties use a centralized system to create the transactions and you trust that centralized system.
For example as a merchant you don't have to trust PayPal with your money and trust them to process credit cards from the buyer and then send it to you.
You can just accept payments digitally directly like if they gave you cash in person.
> This really only applies if you're actively trying to lie to the government
I value my privacy and I don't want my transaction history to be sold to advertisement companies and the like.
- warkdarrior 8y ago> I value my privacy and I don't want my transaction history to be sold to advertisement companies and the like. Merchants can sell your transaction history in any case, regardless of how you pay them.
- lawn 8y agoGiving a single entity like your bank, credit card provider or PayPal your whole transaction history is quite different from giving many merchants a small part each. It also allows you to pay digitally in person and avoid transaction records in some cases.
- eridius 8y ago> For example as a merchant you don't have to trust PayPal with your money and trust them to process credit cards from the buyer and then send it to you. > You can just accept payments digitally directly like if they gave you cash in person. You're just moving your trust around. You have to trust that the cryptocurrency system was implemented correctly and without bugs, and you have to trust your wallet to be implemented correctly and without bugs, and if it's a hosted wallet you have to trust the hosting service, and if it's a local wallet you have to trust your local system to ensure you don't lose your key or get hacked. Also since we're dealing with a different currency now you have to trust that the currency will actually act as a stable store of value. Or if you use something like Coinbase to accept bitcoin but immediately turn that back into USD, you're now trusting Coinbase to process these transactions.
- UncleMeat 8y agoEven if you use monero to buy a widget online they still need to ship it to you. How are you keeping your transaction history secret?