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The difference is that you have leverage to force the banks to care. There isn't any federal regulation at all covering your Bitcoin.

thrill 1y ago
Fraud is fraud. There’s plenty of laws against it.
- ameliaquining 1y ago
  The question is not whether it's legal to defraud someone, but what a financial services provider's obligations are if their customer gets defrauded. The answer here is quite different for banks and brokerages than for crypto exchanges.
  - bdangubic 1y ago
    it really is not. no bank is going to refund you money cause you are a moron (we have all been morons, I am not trying to disparage the person that got scammed, I sympathize with him)
    - ameliaquining 1y ago
      This is untrue. https://www.consumerfinance.gov/rules-policy/regulations/1005/6/ https://www.consumerfinance.gov/rules-policy/regulations/100...
wmf 1y ago
Bitcoin exchanges like Coinbase are regulated by the CFTC in the US. This case is more of a Google problem though.
- ameliaquining 1y ago
  I don't believe the CFTC has any rules requiring crypto exchanges to reverse fraudulent transactions.
  - bdangubic 1y ago
    this isn't fradulent - you being silly and allowing someone full access to your account is your fault as much as leaving a wallet a strip club and calling owner joe for a refund
    - otterley 1y ago
      It is absolutely fraudulent. If you intentionally misrepresent yourself as the real account holder to the financial institution (by presenting credentials that do not belong to you), the institution relies on this misrepresentation, and damages result, that is fraud. Full stop.
  - wmf 1y ago
    It's generally impossible to reverse crypto transactions so such regulation would be pointless. CFTC could force Coinbase to use 2FA but that was already enabled.
bdangubic 1y ago
what federal regulation is there where it is your fault that you allowed someone access into your account? name a statute (any state or federal)? :)

thrill 1y ago

Fraud is fraud. There’s plenty of laws against it.

ameliaquining 1y ago
The question is not whether it's legal to defraud someone, but what a financial services provider's obligations are if their customer gets defrauded. The answer here is quite different for banks and brokerages than for crypto exchanges.
- bdangubic 1y ago
  it really is not. no bank is going to refund you money cause you are a moron (we have all been morons, I am not trying to disparage the person that got scammed, I sympathize with him)
  - ameliaquining 1y ago
    This is untrue. https://www.consumerfinance.gov/rules-policy/regulations/1005/6/ https://www.consumerfinance.gov/rules-policy/regulations/100...

wmf 1y ago

Bitcoin exchanges like Coinbase are regulated by the CFTC in the US. This case is more of a Google problem though.

ameliaquining 1y ago
I don't believe the CFTC has any rules requiring crypto exchanges to reverse fraudulent transactions.
- bdangubic 1y ago
  this isn't fradulent - you being silly and allowing someone full access to your account is your fault as much as leaving a wallet a strip club and calling owner joe for a refund
  - otterley 1y ago
    It is absolutely fraudulent. If you intentionally misrepresent yourself as the real account holder to the financial institution (by presenting credentials that do not belong to you), the institution relies on this misrepresentation, and damages result, that is fraud. Full stop.
- wmf 1y ago
  It's generally impossible to reverse crypto transactions so such regulation would be pointless. CFTC could force Coinbase to use 2FA but that was already enabled.

bdangubic 1y ago

what federal regulation is there where it is your fault that you allowed someone access into your account? name a statute (any state or federal)? :)