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by jareau
4630 days ago
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Most payment companies aren't able to (due to regulations) do anything particularly high-yield with funds they steward for their merchants. The amount of float a company like Amazon is able to make may factor into their revenue model, but I imagine they hold on to funds more for regulatory and risk mitigation reasons. |
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... which was inspired, in part, by Eugene Wei's thoughts on how Amazon's float gives them leverage: http://www.eugenewei.com/blog/2012/11/28/amazon-and-margins