Block: Inflated user metrics and “frictionless” fraud facilitation • Hacker News Board

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#131

Post by CPLX » Thu, Mar 23, 2023, 2:00 PM UTC

fallingknife wrote: post #64

nluken wrote: post #38

Earlier quoted context omitted.

The “innovations” of many (but not all) post-2008 unicorns are more about creating a legal grey area to bypass regulation than they are actual technological advances. Uber and Airbnb are prime examples. If Uber was forced to used licensed cab drivers or Airbnb forced to use licensed hotels, you would see the breadth of what these companies actually bring to the table, which isn’t nearly as much as their valuations wo…

Yes, if Uber was forced to use the government cab cartel, then it wouldn't be better than the taxis. The entire point is they made taxis that actually work by getting around the taxi cartel.

But that's only half the story.

The other half is that they used nearly free money provided by the US central bank, routed through VC firms, and engaged in anti-competitive predatory pricing.

The pricing issue is stark and impossible to miss. I produce events for a living and I'm in a different city every week. The cost of an uber ride now is invariably 2-3x higher than it was a few years ago at minimum sometimes 5-10x higher.

I remember tooling around Chicago and getting fares that were like $2.17 and $3.22 a couple years ago. Any fares within downtown Brooklyn were $8, period, often discounted via a promo to $4-5. Now they're routinely $25, maybe $15-18 on a slow day.

That's where all the VC money went, and it simply wasn't possible to compete with that unless you had access to all that free money too, which local business didn't.

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#132

Post by mikeyouse » Thu, Mar 23, 2023, 2:01 PM UTC

EVa5I7bHFq9mnYK wrote: post #113

mmaunder wrote: post #25

The pre market is looking brutal: https://www.marketwatch.com/investing/stock/sq Those puts are going to pay off handsomely.

Looks like it's an easy way to make money, SEC won't do nothing of course.

What role would the SEC have? First amendment demands the freedom to publish whatever truthful information you want and there’s no restriction on profiting from “outside” information.

If allegations in the report are false, the traders face legal liability. If they’re true but the market disagrees with the impact, they’ll lose money on the trades.

What specific thing should the SEC be policing here?

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#133

Post by hoofhearted » Thu, Mar 23, 2023, 2:02 PM UTC

LBJsPNS wrote: post #116

hoofhearted wrote: post #50

Earlier quoted context omitted.

Correct. A scam here in Baltimore that keeps occurring is that the squeege kids will run up on someone unsuspecting and start cleaning their windshield. They will pressure the driver for a tip, and the driver will say they don’t have cash of course. They will say that’s cool, you can send me a tip. They ask the driver for their phone so they can look up their cashapp for them, and bam the driver got scammed. What’s h…

Roll up windows, lock doors, turn on windshield wipers. This scam was rampant in L.A. in the 1980 s.

The states attorney for Maryland in Baltimore lost her re-election bid because she refused to prosecute kids running a racket on the busiest streets.

A guy did exactly what you said, and they snapped his wipers off his truck. He parked highly upset, and stepped out with a bat to confront the kids. One of them pulled out a handgun and shot the dude down right in rush hour traffic.

She lost her job, and the city started enforcing a no squeege ban.

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#134

Post by [deleted] » Thu, Mar 23, 2023, 2:03 PM UTC

bfeynman wrote: post #68

hoofhearted wrote: post #50

Earlier quoted context omitted.

Correct. A scam here in Baltimore that keeps occurring is that the squeege kids will run up on someone unsuspecting and start cleaning their windshield. They will pressure the driver for a tip, and the driver will say they don’t have cash of course. They will say that’s cool, you can send me a tip. They ask the driver for their phone so they can look up their cashapp for them, and bam the driver got scammed. What’s h…

That is entirely on you if you give away your phone to those kids. I would think they would just run away with it

[deleted]

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#135

Post by [deleted] » Thu, Mar 23, 2023, 2:03 PM UTC

cccybernetic wrote: post #111

bfeynman wrote: post #68

Earlier quoted context omitted.

That is entirely on you if you give away your phone to those kids. I would think they would just run away with it

I was born outside the US and we had local gangsters that would walk up to you in the middle of the street and try to “sell” you a brick. Like a brick that you build a house or wall with. They would show it to you, and tell you that it was a great brick and that you should buy it. If you told them you didn’t want the brick, they would assure you that yes you most certainly do want the brick. You then bought the brick…

[deleted]

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#136

Post by wslh » Thu, Mar 23, 2023, 2:03 PM UTC

user3939382 wrote: post #79

FYI if anyone is interested I can prove it -- Cash App is engaged in a massive stock trading fraud. I noticed one day that my books were off (down) by 1 penny. When I dug into it, I figured out that Cash App is providing their customers with conflicting reports for their stock sales. In the app, the sales report rounds pennies up, in the actual sale, whose records are only available through more complex data export p…

This seems like a typical salami attack? [1].

[1] https://en.wikipedia.org/wiki/Salami_slicing_tactics

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#137

Post by phatfish » Thu, Mar 23, 2023, 2:03 PM UTC

paganel wrote: post #52

numlocked wrote: post #23

"CEO Jack Dorsey has publicly touted how Cash App is mentioned in hundreds of hip hop songs as evidence of its mainstream appeal. A review of those songs show that the artists are not generally rapping about Cash App’s smooth user interface—many describe using it to scam, traffic drugs or even pay for murder." Hindenburg made a music video compiling the references that is...uh...worth watching: https://www.youtube.co…

On the one hand it's obvious that the Hindenburg people are right on this when they say that Block's app is used for criminal activities and money laundering. On the other hand that's what we get for trying to push cash itself more and more outside the boundaries of modern society. That video in a way made me root for the bad guys, a no-cash society where petty crime doesn't happen because the powers that be control…

> As in there is no white rapper in that video of theirs.

Indeed, white rap artists are very underrepresented in mainstream popular music. There is a case for it being discrimination based on skin colour.

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#138

Post by hoofhearted » Thu, Mar 23, 2023, 2:03 PM UTC

PragmaticPulp wrote: post #129

jstx1 wrote: post #65

Earlier quoted context omitted.

I don't think you have anyone to blame if you give your phone with a logged in money app to a stranger who is begging for money.

> I don't think you have anyone to blame It’s a negligent move for sure, but a crime is still a crime. Having someone steal your money without your consent is still theft and they are still the perpetrator of the crime. The victim-blaming mentality on the internet is wild. Being negligent or naive doesn’t shift 100% of the blame to the victim when a crime occurs.

And then you call them to complain that someone was able to drain your bank account, and they say “sorry, you’re on your own”

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#139

Post by Pet_Ant » Thu, Mar 23, 2023, 2:04 PM UTC

sokoloff wrote: post #96

hoofhearted wrote: post #89

Earlier quoted context omitted.

It’s a high pressure situation in the middle of rush hour traffic. They like to target unsuspecting older white people, and unaware females. If you get aggressive, they will spit on your window, break your wipers off, and hit your car. Things can get really ugly if you get out of your car and try to confront them: https://www.thebaltimorebanner.com/community/criminal-justic...

This is not CashApp's responsibility to fix any more than it would be the US Treasury's responsibility to fix if I hand them a $100 bill.

If they ask for $10 and you give them a $100 asking for change yes it is the police's job to fix.

Re: Block: Inflated user metrics and “frictionless” fraud facilitation

#140

Post by theGnuMe » Thu, Mar 23, 2023, 2:04 PM UTC

krona wrote: post #8

propercoil wrote: post #2

[flagged]

I'm pretty sure he'd get sued in to the ground if anything published turned out to be materially false.

Has anyone successfully sued Hindenburg? I feel it can go both ways, one it brings the issue back up (if you survive the short) and two Hindenburg has already won multiple lawsuits.