> That only works if you're talking about a customer buying something from an established merchant.

True. However my point stands: Bitcoin reduces fraud overall, because most transactions happen with reputable merchants.

> Charges that the credit card company pays, not you.

That's incorrect. In the end it comes from the customer's pocket. Because credit card companies have to have higher CC processing fees to cover higher fraud levels, which indirectly causes merchants to raise their prices. Sometimes it is not obvious (eg. all prices are 1-2% higher in an industry, eg. supermarkets), but sometimes it is more obvious. There is a perfect example from a few weeks ago demonstrating my point: AirBaltic charges a 5.99 EUR fee when processing a CC payment, but not when processing a Bitcoin payment: http://www.coindesk.com/airbaltic-waives-controversial-bitco...