That’s a great idea for the Europeans! This article focuses on the European gripes about data privacy (real problem to be sure), but they don’t mention the fact that Visa/Mastercard fees are a leech on the economy! Removing those fees can make sure the whole economy is more efficient.
Visa fees are basically a tax on every transaction.
I'm curious to learn more about your thought process here. My tacit assumption is that credit card companies add a lot of value, since escrow has - throughout human history - been one of the trickiest problems to solve. (In short, "how to I get money to you without handing you a precious metal? How do I trust third parties?") The revolution in finance/banking led by the dutch completely changed the world, for instance; in the historical lens paying ~2% for escrow is almost free. What's your thinking?
Yeah, as I was reading this I was thinking it was weird for the article to have this brief aside that basically goes “and here is a vastly more preferable option with fewer middlemen involved”.
The challenge is getting there. The current solution doesn't directly contest the various national banking systems or private financial companies, which is why they're able to get it up and working. For the moment, EU independence from American financial systems seems more important to them than stripping out the EU specific middlemen.
Some American cards like Amex and Discovery have tried and failed to gain foothold, but like Europe, if we get a good push and incentivize, I'm sure people are going to switch. A, offer lower fees for merchants to switch, and then B, offer enticing introduction cards for buyers, and C, make all kinds of government or infrastructure stuff Wero as well. It doesn't mean people HAVE to switch but it's nice to have an alternative for competition
This is great, though I'm curious about what their plan is for a system that works without a functional smartphone on the buyer, since this system seems to be dependent on QR codes for in-person payments.
Great news for the EU. I do hope this means they'd give US networks some competition. As far as I know, there shouldn't be anything stopping them from operating in the US since we also have the UnionPay network here. Even though I'm not a big privacy buff, it's insane to me that every single European transaction record has traveled outside the EU to be processed.
apolz | 6 hours ago
That’s a great idea for the Europeans! This article focuses on the European gripes about data privacy (real problem to be sure), but they don’t mention the fact that Visa/Mastercard fees are a leech on the economy! Removing those fees can make sure the whole economy is more efficient.
Visa fees are basically a tax on every transaction.
R3qn65 | an hour ago
I'm curious to learn more about your thought process here. My tacit assumption is that credit card companies add a lot of value, since escrow has - throughout human history - been one of the trickiest problems to solve. (In short, "how to I get money to you without handing you a precious metal? How do I trust third parties?") The revolution in finance/banking led by the dutch completely changed the world, for instance; in the historical lens paying ~2% for escrow is almost free. What's your thinking?
GOTO10 | 7 hours ago
Can't wait for the digital euro too, it makes so much sense.
Akir | 7 hours ago
Yeah, as I was reading this I was thinking it was weird for the article to have this brief aside that basically goes “and here is a vastly more preferable option with fewer middlemen involved”.
MimicSquid | 6 hours ago
The challenge is getting there. The current solution doesn't directly contest the various national banking systems or private financial companies, which is why they're able to get it up and working. For the moment, EU independence from American financial systems seems more important to them than stripping out the EU specific middlemen.
kingofsnake | 5 hours ago
This is incredible.
Not a legal scholar in any way, but I'd love to know what the big credit card companies have done to prepare for this moment.
I can't wait for this one so pumped to see it and the online harms stuff against tech companies play out.
chocobean | 4 hours ago
Good for them, and I hope Canada joins too.
Some American cards like Amex and Discovery have tried and failed to gain foothold, but like Europe, if we get a good push and incentivize, I'm sure people are going to switch. A, offer lower fees for merchants to switch, and then B, offer enticing introduction cards for buyers, and C, make all kinds of government or infrastructure stuff Wero as well. It doesn't mean people HAVE to switch but it's nice to have an alternative for competition
largepanda | 2 hours ago
This is great, though I'm curious about what their plan is for a system that works without a functional smartphone on the buyer, since this system seems to be dependent on QR codes for in-person payments.
artvandelay | 2 hours ago
Great news for the EU. I do hope this means they'd give US networks some competition. As far as I know, there shouldn't be anything stopping them from operating in the US since we also have the UnionPay network here. Even though I'm not a big privacy buff, it's insane to me that every single European transaction record has traveled outside the EU to be processed.
pxl | 2 hours ago
I can't wait. The Americans have us by the balls in so many ways... It really makes me increasingly uncomfortable.