> > For example Merchant offers a book for sale on his site, and you can pay with > > repudiable e-gold with a chargeback period of 15 days (merchant can choose the > > period), you can also pay with non repudiable e-gold at a slightly lower > > price. > > > In your scenario, there is a 15 day chargeback window. So someone orders a > book, and the merchant ships it out before the 15 days are up to the > customer. But why would I as a merchant accept this if after they receive > the merchandise they can suck the e-gold back into their account, and given > the nature of e-gold, disappear without a trace?
The merchant will accept this if the profit from the extra business he gains by offering repudiable payment outweighs the losses that result from fraudulous chargebacks. That's the same principle with CC too. It is simple mathematics and it depends on your type of business whether repudiable payment is viable or not. For example if you are in a business with very low profit margins (like an exchange provider for example) you are very likely to go broke if you offer repudiable payment. If you are in a business with very high profit margin, for example any type of electonic delivery product (which you can basically reproduce indefinitely once the product is made; like software, newsletter, music,...) , even a 50% chargeback percentage would not matter, these 50% that do not chargeback is pure extra profit for you, because sending out an extra copy of your software or music mp3 basically costs you next to nothing. It all depends on what business you are in an how trustworthy are the customers in your target market. So it is up to merchant whether he wants to accept repudiable e-gold or not. The creation of repudiable e-gold will not mean now everybody will be facing chargebacks. It just means one extra input field in the spend interface: 'chargeback period'. If your business is not suitable for repudiable payment, you just set the chargeback period to zero , and no chargebacks can be done against the payments you receive, they will be instant. If you think your business will benefit from offering repudiable payment, you can set the chargeback period to the number of days you feel appropriate. So I am not proposing to replace the existing e-gold and make everything repudiable. I am just proposing to broaden the concept of gold back payments, and offer both repudiable and non repudiable within the same system. The merchant can make his own decisions. If he doesn't want to take repudiable payment , just set the chargeback period to zero. It cannot be any simpler. When Ford introduced the reverse gear in cars, some people tought it crazy and now their car would drive backwards only. They were scared by the idea. Then when they saw the neighbour could go both back and forwards they finally got it. Once our mind is stuck in a certain way thinking of doing things it is hard to conceive a broader concept. Repudiable e-gold would not in any way compromise the non repudiable payments. And it will be the merchant's freedom and responsibility whether he wants to take repudiable e-gold or not. More clear I cannot explain it. But many have understood it already as I learn from the private feedback I am getting. It won't be long until you see some repudiable gold backed payment system around. And they can grow far bigger because they will accomodate the non repudiable customers as well. Cheers, Danny --- You are currently subscribed to e-gold-list as: [EMAIL PROTECTED] To unsubscribe send a blank email to [EMAIL PROTECTED] Use e-gold's Secure Randomized Keyboard (SRK) when accessing your e-gold account(s) via the web and shopping cart interfaces to help thwart keystroke loggers and common viruses.
