Bank transfers as a payment method

- first, SEPA has several message types

- SEPA SCT: A standard transfer, usually settled the next day - SEPA SCT Inst: a realtime transfer, to be settled within 10 seconds max (check rulebook on ECB website) - SEPA SDD Core: Direct debit, this can be used to pay your utility bills e.g.; though you can revert this one up to a couple of month - SEPA SDD B2B: Direct debit for businesses, this one can't be reverted as you gave an explicitly signed permission to execute those (this one is used between businesses)

So, my idea here would be that COINBASE is supporting/using a partnerbank/PSP which allows SEPA SCT Instant.

Regarding fraud: - if one gets aware of your IBAN, the other party can try to pull an SDD, thats right. But: you can claim this one at your bank and you will be refunded immediately. (with SEPA SDD B2B, this wouldn't be possible as you would have a signed a permission) Though, unless a fraudster is counterfeiting your signature, no one will pull a SEPA SDD B2B. But, sure: Check your accounts regulary.

- regarding SEPA SCT Instant: To execute such transaction, you need to verify it by 2FA. If you give permission on your 2FA device, the money is send out.

- what if you do a typo with SEPA SCT Instant or if someone get somehow around your 2FA? In this case, you could reach out to the other bank with a so called R-Transaction, though if a fraudster is aware of all this, i'm pretty sure the person is capable of managing the rest of the track to pull the money out by doing additional subsequent transfers to other banks

P.S.: As far as i can see, Coinbase is not running through us, you may check your bank statement to see which way the money went ;-)

A normal SEPA payment, is a "push" affair. These have (for all intents and purposes, though not technically) been a thing ever since the euro was introduced, whereas SEPA Direct Debit is more recent, replacing many of the existing domestic direct debit schemes.

Then there's the Instant Payments bit: these are a thing but they're not used all that often (yet?). Most banks charge a hefty fee for an instant payment (mine charges €1.25). Some banks don't offer them at all. Adoption will grow and costs will decrease over time.

In most countries, payments within the same bank have been instant (and free) for a very long time. This is one of the reasons why many companies have accounts with multiple banks.

I'm sure some "weaker" european countries may have laxer fraud controls, but that's a temporary problem. ECB reporting is quite strict, and most banks do take fraud detection very seriously. Reputation is important for a bank, and if you're a truly disreputable bank you'll soon find yourself without friendly correspondent banks. Then you'll have a choice: fix your fraud problems, or become a useless island.

The recipient of Japanese bank transfers only gets the name. The phone number is only for the sending bank's side to reach out to the sender in case the transfer failed. Particularly of importance when you make transfers without owning an account at the sending bank (not sure how common that feature is outside Japan).

Also of note, the Zengin system actually allows additional metadata in so-called EDI messages. However it's somewhat rare to see this offered by interfaces, and so likely not generally suitable. Here's one example: https://faq-chibabank.dga.jp/faq_detail.html?id=31

> The Single Europe Payment Area (SEPA) offers free, instant transactions between European banks. They’re pull based

There are also push based SEPA transfers. Not that the article claims there aren't, just seems incomplete to present only the push based version for Japan (and not furikae and its challenges) and only the pull based version for Europe.