Overreacting:
- the most up-to-date technologies for anti-credit card fraud, namely variants of smart card/EMV, are already available and widely used by all the large credit card providers and banks in the EU and Asia (excluding domestic transactions in China and Japan). There are even US providers who use it in some situations.
- in addition, most merchants in those regions have upgraded their PoS terminals for smart cards and in some cases refuse to accept non-smart credit cards.
- he made no case for how HSBC money laundering and subprime crisis have anything whatsoever to do with anti-fraud credit card technologies. Just randomly put it out there...
Shallow:
- Not even a minor reference to the specific technology being discussed is made, only a vague mention of "public-key cryptography".
Misleading:
- the credit card industry HAS and IS deploying the most up-to-date technology. In some regions, e.g. US, there are legal or infrastructure barriers that take time to overcome.
- the key moment at which the new infrastructure is rapidly rolled out and fully enters the public consciousness is associated with the "liability shift" when credit card infastructure providers push liability for fraud to merchants, therefore forcing merchants to upgrade their equipment and processes:
-- Mastercard is implementing a liability shift for point of sale terminals in October, 2015. For pay at the pump, at gas stations, the liability shift is October, 2017. For ATMs, the liability shift date is in October 2016.
-- Visa is implementing a liability shift for point of sale terminals on October 1, 2015. For pay at the pump, at gas stations, the liability shift is October 1, 2017. For ATMs, the liability shift date is October 1, 2017. [1]
Bait-link:
- a solution is already out there. It is based on "public key cryptography". Whether it is "simple" or not is a matter of opinion at this point, without any further clarification by the author. Nothing he has proposed has improved on the solution.