At 11:14 AM 10/24/2005, cyphrpunk wrote:

Note that e-gold, which originally sold non-reversibility as a key
benefit of the system, found that this feature attracted Ponzi schemes
and fraudsters of all stripes, and eventually it was forced to reverse
transactions and freeze accounts. It's not clear that any payment
system which keeps information around to allow for potential
reversibility can avoid eventually succumbing to pressure to reverse

I don't think E-gold ever held out its system as non-reversible with proper court order. All reverses I am aware happened either due to some technical problem with their system or an order from a court of competence in the matter at hand.

Only a Chaumian type system, whose technology makes
reversibility fundamentally impossible, is guaranteed to allow for
final clearing. And even then, it might just be that the operators
themselves will be targeted for liability since they have engineered a
system that makes it impossible to go after the fruits of criminal

Its not clear at all that courts will find engineering a system for irreversibility is illegal or contributory if there was good justification for legal business purposes, which of course there are.


Reply via email to