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by ConstantineXVI 4916 days ago
The Twitter comparison doesn't work here; Bancorp is explicitly a middleman. As long as Bancorp is getting paid, it's in their best interest (excuse the pun) for Simple to stay afloat.

Bancorp is a closer analog to EC2; they let Simple get off the ground quickly without having to build and harden their own banking systems and transaction networks. Also like EC2, Simple gets to take the heat equally if Bancorp screws up.

That said, this is pretty bad, but if Simple had built their own network and left a glaring security hole open, they'd be utter toast.

1 comments

In the context of Wikileaks, Visa and Amazon were explicitly middlemen. As long as Visa and Amazon were paid, it was in their best interest <snip>

No doubt you already see where I'm going with this.