Should have been using monero. Hell, even bitcoin.
Thank you for proving the only real use-case for cryptocurrencies is facilitating illegal transactions.
Stripe can completely ruin your 6-figure business in one minute
41–50 of 63 posts
Re: Stripe can completely ruin your 6-figure business in one minute
#42Earlier quoted context omitted.
As you claim, if they are a payment processor, then they shouldn't need another payment processor to handle money for them... their prospective customers could just use stripe directly.
I misunderstood your post, I thought you were blaming stripe. I agree with you though there is sometimes value in payment gateway aggregators. Having one for managing multiple processors, including payment methods stripe doesn’t support. Stripe itself is a payment processing aggregator: you could just implement the direct integrations from the banks/card networks. But yes fintech is built on middlemen building on top…
I think the worst part is these "companies" get shut down by stripe, and then wind up posting here as if we'll get out our pitchforks and demand stripe reinstate their accounts... we seem to get like one of these per month here...
Re: Stripe can completely ruin your 6-figure business in one minute
#43If getting shut down, blacklisted and fined $425000 is "a bit of bad news", I wonder what Stripe considers actually bad news.
The first email had a couple of typos in it too, made me a little suspicious as I’d assume Stripe would be using templates for such messages.
I guess this doesn't happen often enough to have a template.
Re: Stripe can completely ruin your 6-figure business in one minute
#44Earlier quoted context omitted.
The first email had a couple of typos in it too, made me a little suspicious as I’d assume Stripe would be using templates for such messages.
I guess this doesn't happen often enough to have a template.
It is always interesting see a large company lurch into action when they have to execute a series of high stakes manoeuvres that falls outside of their documented procedures. Even more interesting when they charge a low level employee to action it.
Re: Stripe can completely ruin your 6-figure business in one minute
#45>fine of $425,000 Legally speaking, can Stripe keep that money? Flurly will be broke and cannot payout their customers. Aren't those customers as entitled to their money as is Stripe or the card networks?
Stripe can keep the money on Flurly's account. That's why clients' money is often put on seggregated clients money accounts.
The issue of Flurly's debts is between them and it is creditors.
Re: Stripe can completely ruin your 6-figure business in one minute
#46So essentially Flurly is a payment processor for small businesses running atop on Stripe (that is the same) that runs atop of Visa and Master Card. Go figure there will be problems.
And apparently with zero due diligence on what these small businesses are actually doing Pro-tip: if your system is easy to be misused by bad actors, they will be most of your users
Ye it would not surprise me at all if most revenue is from small scale money loundring, e.g. card thefts.
Paying for a non-physical item seems way too perfect for that.
Re: Stripe can completely ruin your 6-figure business in one minute
#47Earlier quoted context omitted.
Not in the UK; contractual penalty clauses are illegal. You can only be held liable for damages caused by a breach of contract. I'm sure the card networks can do what they want and it'd be months before a court could catch up though.
That's interesting, so you couldn't set up a contract that said "I deliver 10 units of X every 10 days, and you pay me 100 units of money. If I fail to deliver the units, I pay you 50 units of money"?
Only if 50 units of money is a reasonable estimate of the losses of the other party for failure to deliver.
A judgment in 2015 clarified the test of a penalty clause:
"[T]he true test is whether the impugned provision is a secondary obligation which imposes a detriment on the contract-breaker out of all proportion to any legitimate interest of the innocent party in the enforcement of the primary obligation. The innocent party can have no proper interest in simply punishing the defaulter. His interest is in performance or in some appropriate alternative to performance."
via https://www.pinsentmasons.com/out-law/guides/practical-impli...
Re: Stripe can completely ruin your 6-figure business in one minute
#48This is a way, way bigger deal for this service than Stripe. Dissecting the email Stripe sent, though, the issue is actually that a card network found them in-violation of something, and shut them down. It doesn't name the card network, but the card network assessed an illegal transaction fine, and, well, ended their credit card processing with all networks and processors. > In addition, per card network rules, you a…
As mentioned above, this post's title is misleading.
The blog post makes clear this is a regulatory issue and that the decision wasn't made by Stripe. A card network found the business in violation (due to illegal transactions) and issued the fine.
In any case, this is a sad situation. If you're building a marketplace on Stripe, you need to use Connect (as the majority of businesses accepting multiparty payments do) and ensure you are clear on who assumes liability (as mentioned in the blog post).
Re: Stripe can completely ruin your 6-figure business in one minute
#49Earlier quoted context omitted.
Seriously? With the ongoing crypto meltdown?
The meltdown is only in 'modern' things like nfts. Classic things like monero, eth, and bitcoin are chugging along fine.
So all those services that went kaput and took users funds with them don't count?
And from what I can tell, BTC has lost 60% of it's USD value from the peak only a bit over a year ago. And you want people to depend on this for payments?
Re: Stripe can completely ruin your 6-figure business in one minute
#50How come both the card network and Stripe get to continue operating by simply firing their bad customer, but Flurly doesn't get that chance?
I don't mean "they had a chance to avoid the problem by switching everyone to Connect". I mean, how come Stripe and the card network both get to say "I'm good, just one of my customers is bad, so I'll just get rid of them now that you have told me you don't like them." But Flurly doesn't get to say that?
The card network gets to keep running as long as they do something about their bad customer Stripe. Stripe gets to keep running as long as they do something about their bad customer Flurly. They recieve a consideration that they don't grant in turn.
Don't base the answer on how obviously dodgy Flurly seemed to be "asking for it", without being able to show that Visa is never used for any illegal activity.