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Comment by anotheraccount9 | Hacker News Reader

>"You can defraud people at scale and completely get away with it."

That's possible with any fiat currency too.

No it’s not. If my savings account gets drained by someone hacking my account, the bank gives me back my money up to 250k and they have mechanisms to claw back that money from other institutions.

With crypto you can commit fraud at scale with little risk of long prison sentences due to the non violent nature of the crimes and victims are SOL.

If you're talking about the FDIC, that protects you only in the case that the bank fails. It doesn't have anything to do with fraud against you in particular.

Yes actually it is, because the analogy is your storing your fiat in your house or in your pocket, which can of course be robbed, have you even insured cash stored in your house or pocket, I highly doubt it.

Just like fiat you can store your crypto with an insured custody provider (and still own your own keys), which is the norm with smart people who have a decent amount of crypto assets.

Your savings account is getting drained every year. The mechanism is called quantitative easing.

Quantitative easing doesn't drain anything except treasuries. It just swaps treasuries for liquid reserves. Banks may lend more but that is a different question.

With flat currency it is possible to have a well-designed banking system with mechanisms for boring human pen-and-paper recourse in case of fraud. El Salvador probably doesn't have one, but they can create one. With Bitcoin, they cannot, by design.

way way way harder than that.

> way way way harder than that.

Is it?

https://www.forbes.com/sites/instituteforjustice/2021/10/25/...

https://fortune.com/2016/06/09/civil-forfeiture-erad/

At least with Bitcoin they need your passphrase.

Way way harder unless you're in an authoritarian regime with control over the banking sector.

So is this that decentralization? With Bitcoin authoritarian regime has no borders.

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