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You take the issue to a crypto court which controls the escrowed funds. If the crypto court makes an unfair ruling, you tell everyone to never trust their judg
by rdbell 5y ago
You take the issue to a crypto court which controls the escrowed funds.
If the crypto court makes an unfair ruling, you tell everyone to never trust their judgement. Now they’ve lost credibility and nobody will want to escrow funds with them in the future.
Whichever court provides the most consistent fair rulings attains the best reputation and becomes the most utilized.
By contrast, if government courts make an unfair ruling, they’re still going to be in business tomorrow and there’s nobody that can stop their monopoly on broken justice.
Some people might argue that their western country has a fair justice system and that everyone should be glad to be subject to that system.
That argument would be overly generous to even the most fair countries, and completely falls flat in the many countries where corruption is rampant.
- bcrosby95 5y agoWhen looking at the whole binding arbitration fiasco, it doesn't seem like this system would work out too well for the average person.
- rdbell 5y agoIt's hard to imagine any system that would solve 100% of disputes accurately, but at least having a free market of reputation-based dispute resolution providers gives you more options and attempts to weed out corrupt justice. The thing I don't understand about all of the cryptocurrency negativity on HN is nobody's forcing anyone to use decentralized products, but the naysayers seem to insist that everyone needs to continue use existing centralized solutions even if they're not happy with them. What's so bad about letting the nerds LARP amongst themselves even if you don't want to participate?
- CryptoPunk 5y agoBinding arbitration is not perfect, but to deem it a failure based on a few melodramatic accounts of it producing unfair outcomes is premature. It's entirely possible it's the only thing that has prevented anti-discrimination lawyers from hollowing out corporate America with lawsuits https://richardhanania.substack.com/p/wokeness-as-saddam-statues-the-case https://richardhanania.substack.com/p/wokeness-as-saddam-sta...
- deleted 5y ago[deleted]
- lambdadmitry 5y agoImagine a court that consistently rules in favour of a richer party. Imagine that the richer party is not THAT interested in doing business with you, so they can tell you to take it or leave it. How do you think it will work?
- _fizz_buzz_ 5y agoThis sounds awfully naive. I have a very small company that sometimes deals with large corporations. Large corporations already want to push a jurisdiction onto you in their contracts. Usually the jurisdiction of where they are headquartered, which makes sense because they have lawyers that are allowed to work at those courts and know how to deal with that specific jurisdiction. So now you want them to be able to choose some big-corp-friendly-private-crypto-court? Sorry, no thank you. In a world where everyone has exactly the same power this scheme might work, but I would hate to have to negotiate with big clients which crypto court to choose.