-2 votes

The Target credit card breach makes a strong argument for Bitcoin and Cryptocurrencies

I know the financial system is up to no good absolutely. However, this Target breach and the controls many banks have put on the affected cards don't seem hinky to me, they seem completely prudent.

Something that many Bitcoin skeptics don't realize is that most money transactions are done via the CIRRUS, VISA, MC, AMEX payment networks now (Debit or credit). These systems are ridiculous and insecure in their design as compared to Bitcoin. Companies spend literally MILLIONS of dollars each to secure PCI data (credit card data), not counting the fees that the card brands and processors get back (typically 1-3%, sometimes up to 8% - liquor stores!). Bitcoin is essentially free by comparison.

Go read the blow by blow articles about this breach here: http://krebsonsecurity.com/

or here: http://www.informationweek.com/security/attacks-and-breaches......

The breach of Target got 40 Million cards!!! This would be the largest breach of credit cards in history!

Not only did the attackers get the card swipe, and CVV code (if entered by cashier), they got the pin code from anyone stupid enough to run debit transactions at a store. The scale of this breach is really the problem. Fraud committed on cards will simply overrun the fraud detection and prevention systems. The banks can't reissue millions or hundreds of thousands of cards that quickly, especially over Christmas. They're screwed, it's that simple.

The cards are already for sale on the net for about $100 each. Because idiots use debit transactions at POS (point of sale) the banks, networks and merchants are scrambling to try to prevent fraud. For credit transactions, the merchant is liable, for debit, the bank and or account holder is liable. So any bank, credit union etc. who has seen their cards on the internet marketplace for sale, they can reasonably suspect fraud is coming, and they're trying to stop it the best they can. Hence the debit withdrawl limits.

If you're really concerned, go pull cash out from the teller.

This breach says more about the insanity and abject failure of the merchant and credit card system than anything else. Really it's a very strong argument for Bitcoin. The credit card money system is an expensive mess. It's expensive for the merchants, and expensive to the customers since the costs must be passed through. This just demonstrates alternatives like Bitcoin aren't just useful, they're absolutely necesary. Oh, and it seems Target screwed up royally somewhere.

The use of a secure crypto currency like Bitcoin instead of credit cards could reduce the cost of everything you buy by 5-15%. Imagine keeping 5-15% more money... That would be nice huh?

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What a

stretch.

you sound like an obama apologist.

All hat and no cattle. If you're going to make an assertion, make an intellectual and logical argument. Making empty arguments is childish and doing so makes you look like just a petty fascist of a different flavor.

What in the world happened to this place? It used to be a place of intellectual discourse and thought provoking ideas. Now it's becoming a den of idiots arguing about the intricacies of bearded swamp people in reality shows. Maybe Nystrom should just burn it to the ground.

Obama Apologist?

wow, that's desperate

...

I don't argue. The argument is an Hegelian dialectic. Not worthy the front page of daily Paul.

All rights reserved and no rights waived.

Not at all actually...

It's kind of a big deal.

Maybe you'd prefer more Duck Dynasty bread and circuses BS as opposed to real issues then??

Justifies Big Government

The data breach is exactly the kind of thing that is used to justify big govt.

If you used your govt issued biometric scanner to authorize the purchase through a govt approved retailers to purchase govt approved
items within your govt approved quotas then these kinds of big data breaches would not take place.

. That way all your information is securely held in a govt monitoring facility for your protection.

I'm sure you're right...

That's what they'll use as an argument, but in reality, a central database is a very bad idea for fraud. One central database that stores everyone's information, that must be accessed by every Tom, Dick and Harry that has a popsicle stand to validate the transaction, is a very attractive target to attack, and very hard to defend.

Cryptocurrencies are the next logical step to replace the current credit card processing regime.

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Argument is a bit flawed.

Theft of digital information from Credit/Debit cards makes strong argument for paying in cash.
You also get the benefit of staying anonymous and not letting the NSA know what you are buying.

yes and the fed hates it when you use their paper fiat

that's how you stick it to the man, use the fed fiat!
that will teach them who's boss.
true, it will make it harder for the nsa to track you over cc's as there are too many dollars to track and more printed everyday.
so the more money the fed prints the safer it is to use dollars! it's a brilliant strategy because we know that they will never stop printing paper dollars.
i guess inflation is the only downside to your plan but hey the dollar has only lost about 97% of it purchasing power since the fed was created.

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#standwithrand

Society values the convenience of cards...

Online shopping, mail order, contractual payments, recurring payments; all can be configured within the Bitcoin protocol, at less cost. Most of us like these conveniences, even those of us who use cash for many transactions.

Cash will always be with us in some form or another, but likewise, so will digital transactions. They're just so darn convenient.

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I'll check it out

I don't have any litecoin currently, but have been looking at it for a while.

Thanks,

I would love to have and use a cryptocurrency, but

When even the government and the FED are approving of such a system, one has to seriously ponder as to how it would benefit them.

The government has a way of completely taking over and destroying anything good that would benefit the general population. Why are they now such big fan boys?

Please see: http://bit.ly/1fyIk54

“Disobedience is the true foundation of liberty. The obedient must be slaves.”― Henry David Thoreau

kind of a poor argument, unless

you don't use credit or debit cards and only contract in gold and silver which is heavily regulated and manipulated by gov and the big banks on a daily basis.

the feds are half ass embracing bitcoin because they know they can't stop it or track it if used properly. they figured this out over the last 2 years or so when they tried to find dpr the owner of silk road. at some point they gave up trying to track him through bitcoin and started doing web forensics and caught him because of stuff he posted on the clear net/ regular internet not because of bitcoin.

Official Daily Paul BTC address: 16oZXSGAcDrSbZeBnSu84w5UWwbLtZsBms
#standwithrand

Actually many governments don't know what to do

Some are trying to squash it (China) and others simply don't know what to do, or think it's too small to worry about (US) despite Bernanke's enigmatic comments on it. Zerohedge has done quite a few articles on it.

The simple fact is Bitcoin is open source. It's developed in the open by volunteers internationally, then code is reviewed by the global community in the open. It would be extremely difficult, if not impossible to sneak in some evil subroutine under the level of scrutiny the community provides.

The CB's may figure that if an alternative is created, it saves them the work, and since they've got their money already (bankers have it in gold), they can print with abandon to destroy the dollar and not worry about the consequences. I have no idea really. But I do know that Bitcoin will be a useful tool for all of us whether we keep money in Bitcoin, or we simply use it as a transactional currency thereby holding bitcoins for fractions of seconds.

governments arent smart

governments arent smart enough to know what to do and look at the people who elected them.

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