Topic: What about Bitcoin and consumer protection? (Read 2671 times)
From which threat you are asking of protection? But yes I want to mention that the contracts fixed with Bitcoin as a payments option are fully protected as many people have fear about this. The local laws are always applicable as long as your contract is legal. Everything will take place as usual, ONLY THE PAYMENT method will change. The only requirement is that this should be explicitly mentioned in the contract that you are making payment in Bitcoins. After this if the other party refuses to fulfill the contract you can seek legal help.
I think the company of bitcoin always consider the protection of the consumer or investors rather.
Since they are the reason why their business still exist; because they know on how to valued every customers dreams, they capture the hearts of the public resulting to a high demand.
Since they are the reason why their business still exist; because they know on how to valued every customers dreams, they capture the hearts of the public resulting to a high demand.
I don't think that is possible unless government and bitcoin unite. But bitcoin and altcoins providing some helpful activities for that kind of protection. But a protection from the government it is impossible.
There are many websites out there that you can generate paper wallets on. Best is to download the software in the computer and generate it there. Then move the coin to the paper wallet.
I dont think there are any customer protection using bitcoin, as we know all of the transactions is almost anonymous, and we only know the person wallet address, that is why all of the important transaction using bitcoin is escrow, and we are choosing bitcoin because its decentralised, we dont want any supervision or tracking from anyone and that is causing bitcoin without any consumer protection
Is bitcoin has consumer protection?
That will depend upon the countries that legalized and regulates bitcoin because if bitcoin is declared legal in a certain country, the government of that country is now a 100% responsible of the consumers welfare including protection in which equally the same protection with the consumers that are using fiat.
One of the most common problems that people mention about Bitcoin is the lack of consumer protection. All Bitcoin transactions are irrevocable and if you don’t get the product you purchased you have no recourse to get your money back. Some see this as a positive as Bitcoin avoids fees that are charged by credit card companies by not having an institution to intermediate chargebacks. Hopefully, before your purchase, you have formed a relationship with the merchant so you’re chances of fraud is low but these cases do happen and Bitcoin hasn’t been able to help those customer a lot.
Until now. Bitcoin has found a solution to its new age problem. Payments will now go through escrow and will only be released once it’s confirmed by the customer that they have received the product. This, however, is not just a straight forward escrow account, Bitcoin is doing a multisignature transaction. What does that mean? Instead of the customer sending money to an escrow agent, it gets sent to two of three multisignature addresses that are created using the public keys of the customer, the merchant and the escrow agent. So, basically, the funds from the customers address can only be spent when two of the three parties cooperate.
So it works like this –
Jack wants to send money to Jane through an escrow agent for an iPhone 6. Jack searches the website Bitrated choosing “Browse arbitrators” and finds an escrow agent named Jill. He clicks to start the transaction and includes what the transaction conditions are – for example, he says that for 1.5 BTC, Jane will send him an iPhone, unused and undamaged and he clicks to begin the process. Jack is provided with a link to send Jane and when Jane receives it, she opens up the link and accepts.
Bitrated then creates the three multisignature addresses between Jack, Jane and Jill (even though Jill has not participated yet, Jack has Jill’s public key so the address can be made). Jack sends the money and Jane will see through a confirmation that the money is in escrow. When Jack receives the phone and is ready to release the money, he just enters Jane’s address and how much should be released. Jane can see that money is pending and she can then click on the pending transaction to review it. Once she sees it’s the correct amount, she can approve it and the transaction is complete.
If there was a dispute over the transaction, either one of them could click a link on the page to contact Jane to mediate the dispute. She gathers information from both of them and then makes a decision based on the information who is right in the dispute and her decision settles the matter.
There are several advantages to this system. Most transactions will not need a mediator so there won’t be a fee that is incurred. If the mediator does get involved, there will probably be a fee but it is paid by the people using the service, it’s not spread out across all the users of the system. If Jack and Jill decided that Jane is doing a bad job, they can together decide to use a different mediator. And the mediator cannot take the money herself since she needs the signature of one of the other parties to do this.
The security of the multisignature system is well thought out as Bitrated does not keep any of the data on its own server. All the information of the escrow transactions are kept in the user’s URL. The only drawback is the fact that the escrow agents are unregulated so you’re really not sure how honest they are. It would help if Bitrated put in a system to vet the agents, especially for new users who are not familiar with the system.
Bitrated needs to make its next step to include e-commerce into this setup. As it stands, the service is only for person-to-person money transfers. Having a mediator available for online store transactions would give customers the confidence in their transaction and feel like they have someone to help them if the product they purchased does not arrive. If this system becomes a standard in the Bitcoin world, it could even transfer as a lower cost alternative for merchants using credit cards as they would never have to pay a fee as long as they delivered the products that were purchased.
Another area Bitcoin is improving in customer protection is allowing businesses to do a public audit of its assets which permits a business to prove the use of its Bitcoin assets without providing any private information about its customers. This allows customers to do their own research on companies that they will be dealing with.
Bitcoin is making strides to make its currency and its use more secure to encourage growth and confidence. In order to get rid of a lot of myths about Bitcoin and its uses, these changes will change the Bitcoin’s reputation and the world’s trust in its service.
Until now. Bitcoin has found a solution to its new age problem. Payments will now go through escrow and will only be released once it’s confirmed by the customer that they have received the product. This, however, is not just a straight forward escrow account, Bitcoin is doing a multisignature transaction. What does that mean? Instead of the customer sending money to an escrow agent, it gets sent to two of three multisignature addresses that are created using the public keys of the customer, the merchant and the escrow agent. So, basically, the funds from the customers address can only be spent when two of the three parties cooperate.
So it works like this –
Jack wants to send money to Jane through an escrow agent for an iPhone 6. Jack searches the website Bitrated choosing “Browse arbitrators” and finds an escrow agent named Jill. He clicks to start the transaction and includes what the transaction conditions are – for example, he says that for 1.5 BTC, Jane will send him an iPhone, unused and undamaged and he clicks to begin the process. Jack is provided with a link to send Jane and when Jane receives it, she opens up the link and accepts.
Bitrated then creates the three multisignature addresses between Jack, Jane and Jill (even though Jill has not participated yet, Jack has Jill’s public key so the address can be made). Jack sends the money and Jane will see through a confirmation that the money is in escrow. When Jack receives the phone and is ready to release the money, he just enters Jane’s address and how much should be released. Jane can see that money is pending and she can then click on the pending transaction to review it. Once she sees it’s the correct amount, she can approve it and the transaction is complete.
If there was a dispute over the transaction, either one of them could click a link on the page to contact Jane to mediate the dispute. She gathers information from both of them and then makes a decision based on the information who is right in the dispute and her decision settles the matter.
There are several advantages to this system. Most transactions will not need a mediator so there won’t be a fee that is incurred. If the mediator does get involved, there will probably be a fee but it is paid by the people using the service, it’s not spread out across all the users of the system. If Jack and Jill decided that Jane is doing a bad job, they can together decide to use a different mediator. And the mediator cannot take the money herself since she needs the signature of one of the other parties to do this.
The security of the multisignature system is well thought out as Bitrated does not keep any of the data on its own server. All the information of the escrow transactions are kept in the user’s URL. The only drawback is the fact that the escrow agents are unregulated so you’re really not sure how honest they are. It would help if Bitrated put in a system to vet the agents, especially for new users who are not familiar with the system.
Bitrated needs to make its next step to include e-commerce into this setup. As it stands, the service is only for person-to-person money transfers. Having a mediator available for online store transactions would give customers the confidence in their transaction and feel like they have someone to help them if the product they purchased does not arrive. If this system becomes a standard in the Bitcoin world, it could even transfer as a lower cost alternative for merchants using credit cards as they would never have to pay a fee as long as they delivered the products that were purchased.
Another area Bitcoin is improving in customer protection is allowing businesses to do a public audit of its assets which permits a business to prove the use of its Bitcoin assets without providing any private information about its customers. This allows customers to do their own research on companies that they will be dealing with.
Bitcoin is making strides to make its currency and its use more secure to encourage growth and confidence. In order to get rid of a lot of myths about Bitcoin and its uses, these changes will change the Bitcoin’s reputation and the world’s trust in its service.
the explanation is quite satisfactory.
Bitcoin has it own protection but when it comes to buying and owning, the holder or consumer is always at risk. The bitcoin holder must ensure that his/her bitcoin is well-protected from any hacking. Some governments are also taking steps to provide consumer protection by creating some regulations.
Bitcoin is making strides to make its currency and its use more secure to encourage growth and confidence. In order to get rid of a lot of myths about Bitcoin and its uses, these changes will change the Bitcoin’s reputation and the world’s trust in its service.
"Consumer protection" is the buzzword used by industry incumbents to protect their industry by using the local governments' authority raising the barriers to entry.
Generally it results in fewer choices for consumers, and less competition. Very often the result is that there are no good choices remaining.
Pre-emptive Consumer protections tend to accomplish the opposite of their legislative intent.
Generally it results in fewer choices for consumers, and less competition. Very often the result is that there are no good choices remaining.
Pre-emptive Consumer protections tend to accomplish the opposite of their legislative intent.
One of the most common problems that people mention about Bitcoin is the lack of consumer protection. All Bitcoin transactions are irrevocable and if you don’t get the product you purchased you have no recourse to get your money back. Some see this as a positive as Bitcoin avoids fees that are charged by credit card companies by not having an institution to intermediate chargebacks. Hopefully, before your purchase, you have formed a relationship with the merchant so you’re chances of fraud is low but these cases do happen and Bitcoin hasn’t been able to help those customer a lot.
Until now. Bitcoin has found a solution to its new age problem. Payments will now go through escrow and will only be released once it’s confirmed by the customer that they have received the product. This, however, is not just a straight forward escrow account, Bitcoin is doing a multisignature transaction. What does that mean? Instead of the customer sending money to an escrow agent, it gets sent to two of three multisignature addresses that are created using the public keys of the customer, the merchant and the escrow agent. So, basically, the funds from the customers address can only be spent when two of the three parties cooperate.
So it works like this –
Jack wants to send money to Jane through an escrow agent for an iPhone 6. Jack searches the website Bitrated choosing “Browse arbitrators” and finds an escrow agent named Jill. He clicks to start the transaction and includes what the transaction conditions are – for example, he says that for 1.5 BTC, Jane will send him an iPhone, unused and undamaged and he clicks to begin the process. Jack is provided with a link to send Jane and when Jane receives it, she opens up the link and accepts.
Bitrated then creates the three multisignature addresses between Jack, Jane and Jill (even though Jill has not participated yet, Jack has Jill’s public key so the address can be made). Jack sends the money and Jane will see through a confirmation that the money is in escrow. When Jack receives the phone and is ready to release the money, he just enters Jane’s address and how much should be released. Jane can see that money is pending and she can then click on the pending transaction to review it. Once she sees it’s the correct amount, she can approve it and the transaction is complete.
If there was a dispute over the transaction, either one of them could click a link on the page to contact Jane to mediate the dispute. She gathers information from both of them and then makes a decision based on the information who is right in the dispute and her decision settles the matter.
There are several advantages to this system. Most transactions will not need a mediator so there won’t be a fee that is incurred. If the mediator does get involved, there will probably be a fee but it is paid by the people using the service, it’s not spread out across all the users of the system. If Jack and Jill decided that Jane is doing a bad job, they can together decide to use a different mediator. And the mediator cannot take the money herself since she needs the signature of one of the other parties to do this.
The security of the multisignature system is well thought out as Bitrated does not keep any of the data on its own server. All the information of the escrow transactions are kept in the user’s URL. The only drawback is the fact that the escrow agents are unregulated so you’re really not sure how honest they are. It would help if Bitrated put in a system to vet the agents, especially for new users who are not familiar with the system.
Bitrated needs to make its next step to include e-commerce into this setup. As it stands, the service is only for person-to-person money transfers. Having a mediator available for online store transactions would give customers the confidence in their transaction and feel like they have someone to help them if the product they purchased does not arrive. If this system becomes a standard in the Bitcoin world, it could even transfer as a lower cost alternative for merchants using credit cards as they would never have to pay a fee as long as they delivered the products that were purchased.
Another area Bitcoin is improving in customer protection is allowing businesses to do a public audit of its assets which permits a business to prove the use of its Bitcoin assets without providing any private information about its customers. This allows customers to do their own research on companies that they will be dealing with.
Bitcoin is making strides to make its currency and its use more secure to encourage growth and confidence. In order to get rid of a lot of myths about Bitcoin and its uses, these changes will change the Bitcoin’s reputation and the world’s trust in its service.
Until now. Bitcoin has found a solution to its new age problem. Payments will now go through escrow and will only be released once it’s confirmed by the customer that they have received the product. This, however, is not just a straight forward escrow account, Bitcoin is doing a multisignature transaction. What does that mean? Instead of the customer sending money to an escrow agent, it gets sent to two of three multisignature addresses that are created using the public keys of the customer, the merchant and the escrow agent. So, basically, the funds from the customers address can only be spent when two of the three parties cooperate.
So it works like this –
Jack wants to send money to Jane through an escrow agent for an iPhone 6. Jack searches the website Bitrated choosing “Browse arbitrators” and finds an escrow agent named Jill. He clicks to start the transaction and includes what the transaction conditions are – for example, he says that for 1.5 BTC, Jane will send him an iPhone, unused and undamaged and he clicks to begin the process. Jack is provided with a link to send Jane and when Jane receives it, she opens up the link and accepts.
Bitrated then creates the three multisignature addresses between Jack, Jane and Jill (even though Jill has not participated yet, Jack has Jill’s public key so the address can be made). Jack sends the money and Jane will see through a confirmation that the money is in escrow. When Jack receives the phone and is ready to release the money, he just enters Jane’s address and how much should be released. Jane can see that money is pending and she can then click on the pending transaction to review it. Once she sees it’s the correct amount, she can approve it and the transaction is complete.
If there was a dispute over the transaction, either one of them could click a link on the page to contact Jane to mediate the dispute. She gathers information from both of them and then makes a decision based on the information who is right in the dispute and her decision settles the matter.
There are several advantages to this system. Most transactions will not need a mediator so there won’t be a fee that is incurred. If the mediator does get involved, there will probably be a fee but it is paid by the people using the service, it’s not spread out across all the users of the system. If Jack and Jill decided that Jane is doing a bad job, they can together decide to use a different mediator. And the mediator cannot take the money herself since she needs the signature of one of the other parties to do this.
The security of the multisignature system is well thought out as Bitrated does not keep any of the data on its own server. All the information of the escrow transactions are kept in the user’s URL. The only drawback is the fact that the escrow agents are unregulated so you’re really not sure how honest they are. It would help if Bitrated put in a system to vet the agents, especially for new users who are not familiar with the system.
Bitrated needs to make its next step to include e-commerce into this setup. As it stands, the service is only for person-to-person money transfers. Having a mediator available for online store transactions would give customers the confidence in their transaction and feel like they have someone to help them if the product they purchased does not arrive. If this system becomes a standard in the Bitcoin world, it could even transfer as a lower cost alternative for merchants using credit cards as they would never have to pay a fee as long as they delivered the products that were purchased.
Another area Bitcoin is improving in customer protection is allowing businesses to do a public audit of its assets which permits a business to prove the use of its Bitcoin assets without providing any private information about its customers. This allows customers to do their own research on companies that they will be dealing with.
Bitcoin is making strides to make its currency and its use more secure to encourage growth and confidence. In order to get rid of a lot of myths about Bitcoin and its uses, these changes will change the Bitcoin’s reputation and the world’s trust in its service.
Thank you for the advice...
There are no legislative actions at international level and we need Court precendents for this.Court practice is very poor about this cases.The Courts must define legal definition of bitcoin to regulate consumer protection,This is directly related to protection.But now,they said,that judges
are not experts in this digital space.In my opinion,There must be used legal norms as in Contractual agreement is regulated,despite the fact,that relations about bitcoin are not standart type of contractual agreements.In other cases there will be injustice,because we cann't protect our property.
are not experts in this digital space.In my opinion,There must be used legal norms as in Contractual agreement is regulated,despite the fact,that relations about bitcoin are not standart type of contractual agreements.In other cases there will be injustice,because we cann't protect our property.
Is bitcoin has consumer protection?
In a system , you can only talk about protection where you have rights and in the case of bitcoin, there are no rights yet and therefore ; no remedy as to consumer protection.
Bitcoin is a pair to pair transaction and no third party until if there will be any regulations and then one can now take their complaints to a body or agency saddled with the responsibility of regulating it.
For now therefore, one has to be careful about the address you are sending to because once lost, you can't recover back.
Right now, there are no laws protecting consumers with their usage of Bitcoin as a mode of payment. This can be really hard to do as sellers or establishments can take advantage of its volatility during and after a sale. During the sale they have the advantage to change the price regularly since the price of Bitcoin moves a lot, giving them the advantage of holding the price when it is favorable for them. Also after the sale, they can hold the Bitcoin for them to earn from capital gains which is really unjust for such establishments to do so that they can maximize their earnings. These are some of the problems I see that needs to be answered by the government when it comes to consumer protection.
Banks are the ones that will give you consumer protection but bitcoin will not. Everything that will happen to your bitcoin is your own responsiblity and no one controls it so let me remind you again that it is decentralized at the first place.
Yes I agree with your opinion. Bitcoin is our own responsibility. The Bank will only provide protection to consumers rather than on bitcoin.Let say if government already legalize bitcoin, it means that they have protect bitcoin usage but the other disadvantage is bitcoin is not consider as decentralized currency anymore as they also apply tax on them.
In other side ,it's prevent scam attempt as we know bitcoin = criminal money
Banks are the ones that will give you consumer protection but bitcoin will not. Everything that will happen to your bitcoin is your own responsiblity and no one controls it so let me remind you again that it is decentralized at the first place.
Yes I agree with your opinion. Bitcoin is our own responsibility. The Bank will only provide protection to consumers rather than on bitcoin.Let say if government already legalize bitcoin, it means that they have protect bitcoin usage but the other disadvantage is bitcoin is not consider as decentralized currency anymore as they also apply tax on them.
In other side ,it's prevent scam attempt as we know bitcoin = criminal money
Banks are the ones that will give you consumer protection but bitcoin will not. Everything that will happen to your bitcoin is your own responsiblity and no one controls it so let me remind you again that it is decentralized at the first place.
Yes I agree with your opinion. Bitcoin is our own responsibility. The Bank will only provide protection to consumers rather than on bitcoin.Let say if government already legalize bitcoin, it means that they have protect bitcoin usage but the other disadvantage is bitcoin is not consider as decentralized currency anymore as they also apply tax on them.
In other side ,it's prevent scam attempt as we know bitcoin = criminal money
Consumer protection is what we really needed but it is not embrace by bitcoins blockchain. Any transactions that is process every minute and every hour doesn't have a protection, the way to protect is to double check and be wise. Even in web wallet sites there is no consumer protection.
Bitcoin now also allows a business to do a public audit of its assets. This in a way improves the consumer protection. A business can prove the use of its bitcoins without providing information about the source i.e. the customers. This gives scope for the consumer to do their research about the merchant before they do transactions.
The relationship between the bitcoin and its consumer are protected by the jurisdiction of the law. Through this they always provide actions wherein there is no bias in every decision that they made.
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