Topic: Loans and the acceptance of DOX - page 2. (Read 1240 times)

The good news is if you have documents, you know where the person lives.  Not paying back a loan isn't worth losing a car windshield in most cases, ya know?

The problem that I can see is that even if someone positively identifies themselves, it is still a pain in the ass to collect, even more so if parties are in different states.  Also failing to repay a loan is not a crime, it is a civil matter,  it would be almost impossible to prove that the debtor defrauded someone or had no intent to repay the loan.

Because more than one person was responsible for it, and it was too big of a mess, and involving legal action at that point would have damaged bitcoin's reputation, and plus people all over the world were involved, it simply was not feasible. Also, it's written in posts by people recounting the events, I don't know of any off-hand though, as I was there to witness it, so I didn't read it from an article somewhere.

So why wasn't legal action taken? Or maybe perhaps point me to the story? I'd like to read it.

Because this is how it used to be done ~2.5 years ago, and it nearly led to the (what would have maybe only have been temporary, however, we will never know) ruin of the BTC economy, and would have, if some people didn't bail out thousands of BTC of default from their own pockets.


EDIT: This is the tldr version of the story.

First: This isn't a loan request - just an inquiry to satisfy my curiosity. Please feel free to move if necessary.

Some time ago I polled you all on whether you'd have more confidence in lending *if* the borrower could be identified. Needless to say, there wasn't much interest, but those who did respond said they'd only gain a little more trust to follow through with the transaction.

My question to you all is - Why isn't full disclosure of one's identity enough to secure a loan?

I've seen several people request loans offering their DOX only to get ragged on and collateral demanded. I don't disagree with collateral (please don't misconceive what I'm saying), I guess I don't quite understand why there's an issue with proof of identity. Yes, I know this community is full of scammers; I've been scammed (not here tho) and I've even called a few of them out. I also know that DOX can be faked. But is that the only reason for its non acceptance? I mean, if you know someone's identity (verified identity), couldn't you pursue criminal charges against them for breach of trust? Or make a small claims case against them? Wouldn't those judgements against a defaulted borrower have a more lasting effect?

Lets have a civilized discussion, please.

And for those who might be thinking I'm preparing to ask for a loan... shame on you. I'd starve first.