Hacker News Board Hacker News, browsed like a classic message board
Live data from Hacker News

Seriously? Ads?

blog.dinkevich.com

Post reply on HN
Print view View original

121–130 of 229 posts

Re: Seriously? Ads?

#121

Post by [deleted] »

startupfounder wrote: post #110
JumpCrisscross wrote: post #98

> Fraud. Paypal and others use complex algorithms, special teams and God knows what. But Facebook has an unique and unparalleled data base of a user’s history, friends, activities and what not. The author seems to confuse credit risk and fraud risk. Credit risk pertains to the probability of you being unable or unwilling to honour your commitments. Fraud, within this context, pertains to the unauthorised use of funds…

"The Economist recently put the fraud loss rate at approximately 0.35% of transactions and up to 1.8% for online payments" For the ~$2 trillion[1] going through online payments, bringing down the online fraud loss by every 0.1% is equal to $2B, if over time Facebook can reduce that online fraud rate by 0.5% or more there is your $10B. Using your real identity to make online payments could reduce that to real world le…

[deleted]

Re: Seriously? Ads?

#122

Post by [deleted] »

startupfounder wrote: post #110
JumpCrisscross wrote: post #98

> Fraud. Paypal and others use complex algorithms, special teams and God knows what. But Facebook has an unique and unparalleled data base of a user’s history, friends, activities and what not. The author seems to confuse credit risk and fraud risk. Credit risk pertains to the probability of you being unable or unwilling to honour your commitments. Fraud, within this context, pertains to the unauthorised use of funds…

"The Economist recently put the fraud loss rate at approximately 0.35% of transactions and up to 1.8% for online payments" For the ~$2 trillion[1] going through online payments, bringing down the online fraud loss by every 0.1% is equal to $2B, if over time Facebook can reduce that online fraud rate by 0.5% or more there is your $10B. Using your real identity to make online payments could reduce that to real world le…

[deleted]

Re: Seriously? Ads?

#123

Post by planetguy »

olalonde wrote: post #99
jiggy2011 wrote: post #21

Are online payments such a big unsolved problem? It takes me all of 10 seconds to type my CC number and associated security codes. Sites that I use a lot tend to allow subsequent purchases without re-entering them anyway. If everyone's facebook account has CC details attached and a 1 click "pay now" button you are only 1 XSS vulnerability from fraud on an unprecedented scale.

It takes me at least 5 minute just finding my cc.

This is gonna sound crazy, but I wrap mine in a piece of dead animal skin and stick it in my pocket.

Re: Seriously? Ads?

#125

Post by digitalsushi »

snowwrestler wrote: post #100
digitalsushi wrote: post #29

It would be very convenient for someone, somewhere, to establish a widely accepted micropayment system for the Internet. I sure can just whip out the CC, type in the 16 things, the special code, the expiration date, maybe a second screen the CC vendor presents to get my address or phone number for additional verification... But I would never bother for a 3 or 5 cent article. And I firmly believe that's why there is n…

Micropayments haven't taken off because people don't want to pay 3 to 5 cents for anything. The perception of value is so low that even a one-button form is too much friction in the user experience. If your article is only worth 3 cents, just show it to me for free and put an ad on the page.

If the transaction processing costs were 0, do you suppose this payment system would still continue to not exist?

Re: Seriously? Ads?

#126

Post by startupfounder »

planetguy wrote: post #119
startupfounder wrote: post #110

Earlier quoted context omitted.

"The Economist recently put the fraud loss rate at approximately 0.35% of transactions and up to 1.8% for online payments" For the ~$2 trillion[1] going through online payments, bringing down the online fraud loss by every 0.1% is equal to $2B, if over time Facebook can reduce that online fraud rate by 0.5% or more there is your $10B. Using your real identity to make online payments could reduce that to real world le…

Using your real identity to make online payments could reduce that to real world levels How many of your friends have had their facebook accounts stolen? For me, it's a few percent. "Oh look, another random acquaintance is stuck in Abu Dhabi and needs me to wire them some money" Facebook security isn't nearly good enough to be handed my wallet. Actually it's not my wallet that's the problem, it's the wallet of everyb…

Very true, now the question is who they need to acquire to gain that technology (Square? Maybe, maybe not). Paypal processed US$ 71 billion in 2009, an increase of 19 percent over the previous year. I don't know what they did in 2011, but it might be around $100B?

The question is not if online payments is able to work, it is a question of if Facebook is able to crack the nut and reduce the fraud by using real identities. There are real problems as you have pointed out, but (and it is still a very big BUT) IF (and that is a very big IF) they are able to pull it off it will be a game changer for them.

Re: Seriously? Ads?

#127

Post by m0shen »

rmc wrote: post #112
jurre wrote: post #27

Earlier quoted context omitted.

I think your parent was being sarcastic. We need a sarcasm tag in HTML.

There is an irony/snark/sarcasm punctuation symbol in English: ⸮ cf. http://en.wikipedia.org/wiki/Irony_punctuation

I'm not sure why, but the mark you posted doesn't work for me, but these work from wikipedia, sarcasm mark: ¡ , irony mark: ؟

Re: Seriously? Ads?

#128

Post by pbreit »

JumpCrisscross wrote: post #98

> Fraud. Paypal and others use complex algorithms, special teams and God knows what. But Facebook has an unique and unparalleled data base of a user’s history, friends, activities and what not. The author seems to confuse credit risk and fraud risk. Credit risk pertains to the probability of you being unable or unwilling to honour your commitments. Fraud, within this context, pertains to the unauthorised use of funds…

It's the opposite: Facebook data can mostly help out with fraud (identifying, authenticating users) and is nearly useless for assessing credit risk.

Re: Seriously? Ads?

#129

Post by run4yourlives »

SonicSoul wrote: post #67
jiggy2011 wrote: post #21

Are online payments such a big unsolved problem? It takes me all of 10 seconds to type my CC number and associated security codes. Sites that I use a lot tend to allow subsequent purchases without re-entering them anyway. If everyone's facebook account has CC details attached and a 1 click "pay now" button you are only 1 XSS vulnerability from fraud on an unprecedented scale.

Credit cards suck for many reasons other than just convenience of use. Credit card companies are big cartels with hefty fees to retailers, slow and unpredictable turnaround between when a payment is made, and when it gets to retailers bank, and infrastructure that's not well suited for micro payments, or peer to peer payments. http://www.wired.com/magazine/2010/02/ff_futureofmoney/all/1

>Credit card companies are big cartels with hefty fees to retailers, slow and unpredictable turnaround between when a payment is made, and when it gets to retailers bank, and infrastructure that's not well suited for micro payments, or peer to peer payments.

The consumer doesn't give two flying fucks about any of this. This is a very important point.

Re: Seriously? Ads?

#130

Post by [deleted] »

startupfounder wrote: post #126
planetguy wrote: post #119

Earlier quoted context omitted.

Using your real identity to make online payments could reduce that to real world levels How many of your friends have had their facebook accounts stolen? For me, it's a few percent. "Oh look, another random acquaintance is stuck in Abu Dhabi and needs me to wire them some money" Facebook security isn't nearly good enough to be handed my wallet. Actually it's not my wallet that's the problem, it's the wallet of everyb…

Very true, now the question is who they need to acquire to gain that technology (Square? Maybe, maybe not). Paypal processed US$ 71 billion in 2009, an increase of 19 percent over the previous year. I don't know what they did in 2011, but it might be around $100B? The question is not if online payments is able to work, it is a question of if Facebook is able to crack the nut and reduce the fraud by using real identit…

[deleted]
Post reply on HN