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Part of the design of modern credit cards is that even authorized purchases can be reverted if the customer is not delivered the promised goods. My understandin
by benced 2y ago
Part of the design of modern credit cards is that even authorized purchases can be reverted if the customer is not delivered the promised goods. My understanding is that crypto people think that is a design flaw, not a feature, but most folks disagree and that's what counts when trying to get most people to adopt your solution.
- ilaksh 2y agoThat is in there because of the core obsolete design flaw I pointed out -- credit card credentials are master keys authorizing arbitrary transactions. This is because it is an obsolete design that predates modern ubiquitous cryptography.
- lxgr 2y agoDispute resolution, for non-fraud disputes, is completely orthogonal with fraud that happens due to insecure cardholder authentication. What if the seller goes bankrupt after accepting payment, but before shipping an order? What if they're an outright scammer? What if the buyer says they are, but the real scammer is the buyer? Somebody's got to figure all of that stuff out. The established card schemes provide a framework for that. It's flawed, it's taking a ton of automated and manual resources, nobody in their right mind would rebuild the same thing if given the opportunity from scratch, but it's there and it kind of works. That's a lot better than what crypto has to offer.