[lxgr]

How would that not lead to the inevitable concentration of economic activity in a few trusted platforms?

Today, I can shop at pretty much any merchant on the web, under the reasonable expectation that my bank will file a dispute for me if the merchant makes a run for it and I never receive any goods or services. Even in case of merchant bankruptcy, I'm not exposed to any risk.

In a world of non-reversible payments, I'd probably stick to Amazon exclusively. That seems pretty bad for small/new/independent merchants.

[rglover]

> How would that not lead to the inevitable concentration of economic activity in a few trusted platforms?

Because it would force people to be honest in order to eat. Economic activity as a whole would become a lot more transparent because people will avoid hiring you or buying from you if you have a bad reputation. The inverse is also true, rewarding the business owner who invests in quality and customer service.

> if the merchant makes a run for it

Again, this is a discernment issue not a systems issue. In that particular case, you can set up an escrow transaction that only releases funds if the transaction goes through. EBay has already proven, too, that most people are honest by default so this is a non-issue.

> In a world of non-reversible payments, I'd probably stick to Amazon exclusively. That seems pretty bad for small/new/independent merchants.

That's a personal choice.

[lxgr]

> [...] it would force people to be honest in order to eat.

But how do I detect honesty in first interaction with an unknown party?

> [...] people will avoid hiring you or buying from you if you have a bad reputation [...]

As a merchant, what if I have no reputation? How do I ever get my first customer?

> EBay has already proven, too, that most people are honest by default [...]

...on a centralized platform that can arbitrate trust!

[rglover]

> But how do I detect honesty in first interaction with an unknown party?

It should be obvious. The guy who shows up to your intro meeting well-dressed, prepared, etc with references is going to be preferable to the guy who shows up smelling like vodka in tattered clothes.

> As a merchant, what if I have no reputation? How do I ever get my first customer?

The same way you do under the current system. Go work for someone else to build up credentials/experience, or, offer to do stuff for free in exchange for referrals and testimonials.

> on a centralized platform that can arbitrate trust!

Can, but often doesn't need to.

[lxgr]

> The guy who shows up to your intro meeting [...]

Do you regularly hold in-person intro meetings for ordering sub-$100 items online?

> Go work for someone else to build up credentials/experience, or, offer to do stuff for free in exchange for referrals and testimonials.

And then passport it to my own store how, exactly? "Trust me, I'm honestseller897 on Amazon/eBay"?

>> on a centralized platform that can arbitrate trust!

> Can, but often doesn't need to.

The fact that it does, when required, is the reason for rarely needing to.

[rglover]

> Do you regularly hold in-person intro meetings for ordering sub-$100 items online?

Of course not but you can use the same heuristic by looking at the presentation of what's being sold. Just like in-person, it will be obvious. The only exception would be if you're doing something dubious which already has risks.

> And then passport it to my own store how, exactly? "Trust me, I'm honestseller897 on Amazon/eBay"?

I don't understand what you're asking. By doing that work and building those relationships, you've established a reference to someone who can vouch for you and your work.

> The fact that it does, when required, is the reason for rarely needing to.

Great. Use a business (or start one) to mitigate that risk for you and pay with Bitcoin using escrow.

[sodality2]

> Of course not but you can use the same heuristic by looking at the presentation of what's being sold.

Which works until the scammers begin making nice websites. They already do, not sure if you've noticed - phishing sites typically look almost identical to the target site. I've even seen known scam shopping sites look completely legitimate. Stripe lookalike checkout page, with full emulation of every behavior of the page, address look up, the whole nine yards. The reason why it's not worse than it currently is, is because CC theft is not as easy as it could be, if it were all crypto (irreversible transactions + immediate theft that can be shuffled around within seconds and hidden).