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Block: Inflated user metrics and “frictionless” fraud facilitation

hindenburgresearch.com

211–220 of 324 posts

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

#211
post #141

Earlier quoted context omitted.

Risky move, given that Georgia is a constitutional carry state and castle doctrine extends to occupied vehicles.

Im pretty sure most guns are owned by hoarders sitting in a cabinet somewhere they aren’t likely to be in someone’s car who is ready to use it. Gun owners are a minority and they are just very enthusiastic individuals that they seem like a larger contingent than they are.

Mine is in my truck. So that's 1 data point.

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

#212
post #183

Earlier quoted context omitted.

I'm guessing by the rhetorical nature of the response, the details of "fine" aren't clear.

> the details of "fine" aren't clear They’re not, particularly since “spending and losing VC money” is often tossed around Uber, which doesn’t make sense, since it’s no longer VC backed. I’m interpreting your sentiment as having a cash-flow positive operating model. Ridesharing absolutely works on a fundamental level with enough gross profit to fairly compensate drivers. (It doesn’t if drivers can log on and off at w…

I'm sure we'll see plenty of "gross profit" in their non-GAAP financial statements. I guess it doesn't take much to have people defend companies they know so little about in industries they have no experience in. Marketing really works I guess. Btw the Revel NY ridesharing isn't going so well:

https://www.wsj.com/articles/new-york-city-commission-thwart...

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

#213
post #8

Earlier quoted context omitted.

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.

Block (and Jack Dorsey in particular) is enough of a silicon valley sweetheart that if they are inclined to sue I am sure there would be enough people lining up to bankroll the lawsuit. Given that intuition, I would assume Hindenburg is reasonably certain that they can legally defend whatever they are claiming.

Of course, I could be wrong, and Hindenburg may have bitten off more than they can chew. But my intuition says the accusations are at least defensible.

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

#214

Earlier quoted context omitted.

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…

> I'm not familiar with this situation, but I'm assuming that whoever is doing this isn't there to "clean" your windshield, and that the entire "transaction" is imbued with the implicit threat of violence not in the US - millions of people keep loaded guns in their vehicles

Do you have a reference on that number? I’d love to know what the number actually is.

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

#215

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…

> squeege kids And another euphemism.

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

#216
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.

It drives me nuts that anytime you indicate that a victim behaved unwisely and caution others to behave wisely to help avoid being victimized in the same way, somebody always gets their hackles up about “victim blaming”.

Two things can be true at once: the perpetrator of a crime is the one responsible, AND the victim might have avoided victimhood had they acted more prudently.

Humans communicate in stories. The “cautionary tale” or example of folly that led to woe is a pattern as old as our species could talk.

It is NOT true that cautioning people not to act imprudently, and providing an example, is “victim blaming”. I don’t hear anyone saying that we should not pursue and prosecute the perpetrator.

So just can it with the hair trigger “victim blaming” accusation.

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

#217

Earlier quoted context omitted.

What racial aspect? Please explain

I've explicitly mentioned that these analysts used only black people as the "criminals" in their example video. Interesting that it flew right past them.

> these analysts used only black people as the "criminals" in their example video

Block targets Black Americans. This is like complaining about a gardening company’s analysts only talking about gardeners.

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

#218

Earlier quoted context omitted.

If CashApp numbers are inflated by illegal activities that will go away if the law cracks down on them, that is a matter of concern for CashApp investors.

> illegal activities that will go away if the law cracks down on them, that is a matter of concern for CashApp investors. And indeed for any luxury brand that exists. I still don't understand how that makes the app itself a fraud.

The report reads like someone who doesn't seem to like the target demographic associated with CashApp and the type of music listed...

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

#219

Earlier quoted context omitted.

Right but does it match the net export number which is the legal one? or the fake one?

According to their terms, the correct, legal amount is the amount reported in the app. The illegal (and mismatched) amount in their export is what's being paid out.

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

#220

Earlier quoted context omitted.

This is at the core of Superman III. Richard Priors' character notices his paycheck gets rounded down, he writes an app to harvest up the rounded down tenths of pennies...

I have often thought this is the business model of most payment apps.

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