Author: Andy Parkins 2014-04-23 13:21:53
Published on: 2014-04-23T13:21:53+00:00
In an email exchange between Dr. Andy Parkins and Mike Hearn on April 23, 2014, they discussed the possibility of fraud in Bitcoin transactions. Mike Hearn questioned whether users would distribute evenly over transactions if fraud were possible. However, Dr. Parkins argued that even if a small percentage of scammers were to exploit merchants selling something of value repeatedly, the consequences would still exist for honest buyers. He believed that the risk of fraud in Bitcoin was not as bad as credit card (CC) fraud since there was only a 5% hashing power attack, which meant the attack failed 95% of the time. Additionally, he said that merchants could mitigate the risk of fraud by requiring six confirmations before allowing withdrawal or deposit. Dr. Parkins concluded that he did not see how Bitcoin could ever be as bad as CC fraud.
Updated on: 2023-06-08T20:47:14.279178+00:00