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by legendofbrando
925 days ago
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Crypto thinking is always basically some version of how modern finance is broken, yet the solution is basically “hey consumers, whenever you buy something you’re at risk that you could have no recourse.” Of course individual merchants dislike cards, they create a wedge between consumer and merchant -/ but that wedge also enables people to freely spend more than they’ll ever extract from falsifying things, thereby benefiting all merchants. Crypto logic ignores that the modern banking system is actually far more logical than it sounds at first blush when you just take the perspective that not everyone should be trusted all the time. |
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As an example, let's start with the very first step of a transaction.
The payer puts some "secret" numbers into the website of the payee.
With those "secret" numbers, the payee contacts some middleman and says "Heyho, your customer agreed to pay $12345 to me. Here is proof of this: The secret numbers". This is already absurd, as the payer gives those "secret" numbers our all the time. So they are not secret. And the $12345 could be completely made up.
The way this is handled is that the middle man tries to cope with the clusterfuck that is the result of this. And everybody suffers along the way.
The payer has a bad user experience. What is the latest UX ploy to get fraud under control? Was it 3D-Secure-Name-Your-First-Dog-Name-Plus-Another-Secret-Number-Or-Hey-We-Have-An-App-For-You-That-Creates-Random-Card-Numbers-Each-Time-You-Pay-Oh-And-Hello-Do-You-Support-Apple-Pay? I lost track.
The payee has to constantly tinker with fraud detection and fraud handling.
Just like the middleman, although the middle man likes it this way because they get paid for it.