Topic: [2018-02-27] Steve Wozniak ‘Loses 7 BTC’ In Unlikely Credit Card Fraud (Read 108 times)
February 28, 2018, 04:11:04 AM
One thing we should learn here is that nobody can really be too careful. If one who is exposed to technology a big part of his life can be a victim of fraud.,..how much more for people who are like you and me? Fraud then can happen to anyone. In all cases we should be careful and always be mindful that anytime we can be a victim too. Peer-to-peer can be dangerous if there is no escrow system in place. I better sell my Bitcoin in a legal exchange available locally than do what Steve did. Anyway, 7 Bitcoin is nothing to his fortune so this can be the reason he is sharing and just shrugging this incident off.
February 27, 2018, 08:43:27 PM
The authors that write for Cointelegraph are horrible. There are so many things wrong with that article. Even the title has problems.
The title says "unlikely credit card fraud" but says nothing about why it might be "unlikely" -- probably because the author doesn't have a clue.
Well, did the author actually ask for a confirmation? I think that is "unlikely".
Obviously, the author knows nothing about how credit cards work.
When somebody uses a credit card, the funds are not credited until many days later. And even if the funds are credited, they are debited if the transaction is canceled later. Escrow is not helpful in the credit card case.
The title says "unlikely credit card fraud" but says nothing about why it might be "unlikely" -- probably because the author doesn't have a clue.
Quote
Wozniak has yet to confirm more information about the theft.
Well, did the author actually ask for a confirmation? I think that is "unlikely".
Quote
The trade appeared to have closed with Wozniak sending the bitcoins before receiving the fiat funds. ... and whether an escrow feature - that would have prevented the possibility of credit card fraud - was available.
Obviously, the author knows nothing about how credit cards work.
When somebody uses a credit card, the funds are not credited until many days later. And even if the funds are credited, they are debited if the transaction is canceled later. Escrow is not helpful in the credit card case.
February 27, 2018, 11:17:51 AM
Apple co-founder Steve Wozniak allegedly lost seven bitcoins to fraudsters using a stolen credit card, the India Economic Times reported Monday, Feb. 26.
The tech veteran was speaking at the Global Business Summit 2018 in New Delhi when India Economic Times reported him admitting to the audience he had lost the funds - seven bitcoins to be exact - now worth about $75,000.
“I had seven bitcoins stolen from me through fraud. Somebody bought them from me online through a credit card and they cancelled the credit card payment. It was that easy!” the publication quotes him as saying.
“And it was from a stolen credit card number so you can never get it back.”
Despite multiple publications subsequently picking up on the story, Wozniak has yet to confirm more information about the theft, and the unusual circumstances surrounding the loss.
The trade appeared to have closed with Wozniak sending the bitcoins before receiving the fiat funds - something p2p cryptocurrency trading platforms such as Localbitcoins firmly warn users against doing.
It remains unclear whether Localbitcoins or other major platform was used for the trade, and whether an escrow feature - that would have prevented the possibility of credit card fraud - was available.
Nonetheless, the weak link allowing the fraud to be successful appears to lie either in the susceptibility of credit card data to fraud or human error in sending bitcoins without confirmation of funds receipt.
Consumer complaints surrounding cryptocurrency “scams” have increased markedly over the past year, even involving Ethereum co-founder Vitalik Buterin, Cointelegraph reported this month, yet a lack of diligence on the consumers’ part remains palpable.
https://cointelegraph.com/news/steve-wozniak-loses-7-btc-in-unlikely-credit-card-fraud
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